The domestic transportation industry experienced “tepid” growth for the first half of the year, and only modest improvements are expected for the rest of the year, according to a study by Fitch Ratings.
In Global Infrastructure & Project Finance U.S. Transportation Trends, Fall 2013, the agency noted the industry is still exposed to declines in performance in the domestic and worldwide economies falter.
The agency said while half of the domestic ports have experienced slight increases in activity so far this year, the other half has seen decreases in volumes. Overall, ports saw an activity decline of 1.2 percent through June, but Fitch expects “modest” improvements for the rest of the year, partly on the strength of the holiday retail season. The impact of shipping alliances could also have an affect.
“In some cases (Seattle and Los Angeles) declines are partly due to shifts in service from one port to another during the past 12 months,” Fitch wrote. “The effects of these service changes should clear the year-over-year data during third-quarter 2013, allowing a like-for-like comparison going forward.”
Modest transport industry growth seen for rest of 2013
