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Will AI rewrite America’s freight strategy?

DOT Headquarters in Washington, D.C.

WASHINGTON — The Trump administration is updating its national freight strategy to address urgent new policy priorities, including the effects of emerging technology as well as regulatory barriers to improving the transportation system.

To help plan for a projected 50% increase in U.S. freight tonnage by 2050, the U.S. Department of Transportation is seeking input from freight carrier owners and operators, shippers, and government agencies to improve on the National Freight Strategic Plan (NFSP) issued in 2020.

“More than ever, we need to plan transportation and infrastructure investments – especially for freight – by looking at the big picture,” DOT wrote in an information request published on Monday.

“This means considering all transportation modes and both public and private sector needs to maintain America’s competitive edge globally. DOT recognizes the importance of engaging with the public and private industry to develop a clear and inclusive national vision for freight transportation.”

Required by Congressional mandate in 2015, the NFSP outlined strategy objectives across all freight transportation modes. It highlighted eight key trends in U.S. freight transportation, including diversifying global supply chains, rising domestic energy production, changing urban-rural dynamics and increasing e-commerce.

The NFSP also pointed out that the country’s network of million miles of highways, railways, and waterways linked through hundreds of intermodal facilities, seaports and airports make freight markets “fertile ground for applications of wireless connectivity, machine learning, and artificial intelligence that can improve our ability to track freight movements and optimize supply chains.”

With a clearer understanding since then of AI’s potential to transform the industry as backdrop, DOT is asking for public input on how emerging operational or technological advances are likely to reshape freight movement over the next five years, and what actions public agencies should take to enable or accelerate their adoption.

Also, “What are the most significant regulatory, technological, procedural, institutional, or statutory barriers to freight system performance – especially at intermodal connectors and freight origin and destination points?” asked DOT in the information request. “How should any existing goals or strategies be reframed given changes in the freight system since 2020?”

Other questions to which DOT is requesting public comment:

  • How can DOT support greater private-sector investment, and what investment roles are best suited for public versus private actors?
  • How has the 2020 NFSP influenced freight planning, policies, or investments at the Federal, State, local, or private sector levels?
  • What metrics – across safety, efficiency, resilience, or infrastructure condition – should DOT use to evaluate multimodal freight system performance?
  • What strategies should DOT consider to strengthen the freight system’s resilience to natural disasters, economic shocks, or other disruptions?
  • How will an officially designated National Multimodal Freight Network help or influence the way public agencies plan and invest in the freight system?

Comments must be received by DOT on or before August 14.

Click for more FreightWaves articles by John Gallagher.

FedEx buys world’s first ATR 72-600 passenger-to-freighter aircraft

A small purple-and-white FedEx plane powered by propeller turbine engines in the air as seen from above.

FedEx will operate the world’s first ATR 72-600 turboprop aircraft to undergo conversion from passenger to freighter configuration after signing a purchase agreement last week.

Dublin-based ACIA Aero Leasing said it plans to deliver the converted freighter to FedEx (NYSE: FDX) by December, according to a news release. It’s possible the plane could enter commercial service before the end of the year or in early 2026. Neither company has indicated where the cargo plane will be deployed, but there are several possibilities based on existing business relationships.

The last time FedEx acquired a converted freighter — a Boeing 757 — was in 2016. Most of the 757 fleet consists of converted aircraft. FedEx last received a converted ATR freighter — an ATR 72-200 — was in 2011, company spokesman Jonathan Lyons said.

FedEx owns 24 factory-built ATR 72-600 freighters, 19 older ATR 72-200s and 16 ATR 42s, which it supplies to partner airlines in North America and Europe to fly feeder routes on its behalf. Of the 24 ATR 72-600s, 13 are based in Europe: Spain-based Swiftair operates four of them for FedEx and nine are with ASL Airlines Ireland. The remaining aircraft are almost evenly split between Idaho-based Empire Airlines, Gulf & Caribbean Cargo and Mountain Air Cargo, according to the Flightradar24 database.

Mountain Air Cargo and Empire Airlines operate the ATR 72-200s, along with Morningstar Air Express in Canada.

An ATR 72-600 passenger aircraft is retrofitted with a large cargo door at overhaul specialist Empire Aerospace. (Photo: Empire Aerospace)

ACIA launched the ATR 72-600 series conversion program in mid-2024 on a speculative basis. An ACIA subsidiary designed the aircraft modification kit, holds the certificate for commercial use and selected Empire Aerospace, the maintenance and repair sister of Empire Airlines, to perform the structural modifications. Empire Airlines connects smaller cities in the western half of the United States to FedEx hubs.

The conversion process requires technicians to remove the existing upper and lower skin sections, door and door frame; completely rebuild the door frame and surrounding support for the outer surface layer; install a wide cargo door; reinforce the interior floor; and install fire protective liners in the cargo compartment.

Empire says the process can take four to seven months, depending on customer specifications.

ACIA said FedEx will use the ATR 72-600 converted freighter to replace an older aircraft. 

FedEx has six more ATR’s scheduled for delivery by the end of next year under a pre-existing order. In March, FedEx placed a firm order with Toulouse, France-based ATR for 10 additional ATR 72-600 production freighters, with deliveries scheduled between 2027 and 2029. 

With a payload of about 10 tons, the ATR 72-600 can carry bulk cargo, five 88-by-108-foot pallets or up to seven smaller LD3 containers.


Click here for more FreightWaves/American Shipper stories by Eric Kulisch.

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June produces mixed freight trends, recovery remains ‘elusive’

Front view of a white tractor pulling a trailer on a highway

Freight volumes remained pressured in June, but expenditures stepped higher again on a year-over-year comparison. Uncertainty around trade policy continues to cloud shippers’ decision making, extending an already prolonged freight downturn, according to a Monday report from Cass Information Systems.

Freight shipments captured by the multimodal index fell 2.4% y/y during the month and were off 0.2% from May (with and without a seasonal adjustment). June marked 29 straight months of y/y declines for the dataset. The y/y decline in June was the smallest in seven months.

On a two-year-stacked comparison, volumes were down 8.3%.

June 2025
y/y
2-year
m/m
m/m (SA)
Shipments-2.4%-8.3%-0.2%-0.2%
Expenditures2.6%-7.0%-1.2%-2.9%
TL Linehaul Index1.9%-0.5%0.4%NM
Table: Cass Information Systems (SA – seasonally adjusted)

Cass’ outlook calls for a 5% y/y decline in shipments during July, but noted a recent rise in imports could produce better-than-normal seasonal trends in the month.

The report warned that inventory buildup by shippers to get ahead of tariffs will eventually lead to a destocking period, and that “the effects of tariffs may worsen, as higher goods prices reduce affordability and real incomes.”

“With this outlook, the cycle upturn for the transportation industry remains elusive.”

Conversely, Cass’ freight expenditures dataset, which measures total freight spend including fuel, increased 2.6% y/y, a third consecutive y/y increase. The index was off 1.2% from May, 2.9% lower when seasonally adjusted.

Netting the decline in shipments from the increase in expenditures shows actual freight rates were 5.2% higher y/y during the month. A higher percentage of truckload shipments with a lower mix of less-than-truckload moves drove the change to the inferred rate index. While a mix shift toward TL can be a positive indicator for the freight cycle, the report cautioned it is “more likely a head-fake related to pre-tariff shipping.”

SONAR: Outbound Tender Reject Index for 2025 (blue shaded area), 2024 (green line) and 2023 (pink line). A proxy for truck capacity, the Outbound Tender Reject Index shows the number of loads being rejected by carriers. Current tender rejections are outperforming prior-year levels but still not signaling a recovery. To learn more about SONAR, click here.
SONAR: National Truckload Index (linehaul only – NTIL) for 2025 (blue shaded area), 2024 (green line) and 2023 (pink line). The NTIL is based on an average of booked spot dry van loads from 250,000 lanes. The NTIL is a seven-day moving average of linehaul spot rates excluding fuel. Spot rates remain slightly higher on a y/y comparison.

Cass’ TL linehaul index, which tracks rates excluding fuel and accessorial surcharges, increased 1.9% y/y, up 0.4% from May. June marked the sixth consecutive y/y increase in linehaul rates. The dataset is forecast to increase slightly this year after 10% and 3.4% declines in 2023 and 2024, respectively.

Data used in the indexes comes from freight bills paid by Cass (NASDAQ: CASS), a provider of payment management solutions. Cass processes $36 billion in freight payables annually on behalf of customers.

More FreightWaves articles by Todd Maiden:

FedEx to celebrate Fred Smith’s life at Memphis event

Close up photo of gray-haired Fred Smith testifying before Congress.

FedEx will hold a public memorial on Aug. 11 at the FedExForum in Memphis, Tennessee, to honor founder Fred Smith, who passed away on June 21. 

Smith built the company from scratch in 1973 into an iconic American brand with annual revenue last year of $88 billion, setting the standard for the modern parcel logistics industry. FedEx (NYSE: FDX) has the world’s largest cargo airline and is a barometer of global trade because its delivery network spans more than 220 countries and territories.

Smith thought the word “federal” suggested an interest in nationwide economic activity and hoped the name would resonate with the Federal Reserve Bank, a potential customer for overnight movement of checks and financial documents, according to a chronology of the company on its website.

The public memorial will feature speakers and musical tributes honoring Smith’s legacy and the role he played in Memphis and the world, according to a Facebook announcement. The event is open to the public, but registration is required for entry.

The FedExForum is the arena where the NBA’s Memphis Grizzlies play.

The Commercial Appeal in Memphis was first to report about the memorial ceremony. 

Smith developed the idea of an overnight, hub-and-spoke express delivery company for a term paper at Yale University and turned it into a business after four years in the Marines and fighting in Vietnam. Federal Express began operations in Memphis with 389 employees. On the first night, 14 aircraft delivered 186 packages to 25 U.S. cities.

Smith guided the company as CEO until 2022 and then became executive chairman. 

The Memphis-Shelby County Airport Authority recently passed a resolution to rename the Memphis International Airport after Smith.

Click here for more FreightWaves/American Shipper stories by Eric Kulisch.

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Fred Smith, FedEx founder and parcel industry pioneer, dies at 80

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SONAR and WeatherOptics Deepen Partnership to Deliver Hyperlocal Weather Intelligence Through Enhanced Critical Events Module

SONAR, a leading global supply chain intelligence platform, is pleased to announce an enhanced partnership with WeatherOptics, a leading weather impact and risk intelligence provider. This collaboration allows mutual customers to customize the Critical Events module within the SONAR platform by easily uploading their own specific locations and facilities, enabling them to better anticipate and track weather issues that could impact their supply chain.

Through this expanded partnership, users can now upload their specific business locations to map critical weather events directly onto their supply chain network. While all SONAR users have access to a high-level overview of major weather events like hurricanes and severe storms, this enhancement provides mutual customers with deeper, more tailored insights for the locations that matter most to their business.

Benefits for these customers include automated notifications for key operational locations, daily executive briefings with 72+ hour forecasts on major weather threats, and access to comprehensive risk data. This data includes real-time and predictive insights on how weather is expected to impact key operations like shipment delays, road danger, power outages, flooding, and overall risk to daily business. Users can also monitor live disruptions such as storm damage, wildfires, road incidents, and lightning strikes as they occur.

This integration leverages WeatherOptics’ proprietary weather impact indices. The company specializes in translating weather data into actionable business impacts by combining hyperlocal weather predictions with non-weather variables such as hydrological and geospatial data. This creates sophisticated models that provide a granular depiction of weather’s effect on operations, generating insights that don’t just forecast the weather, but predict the impact. 

“The WeatherOptics team has the best meteorologists focused on transportation,” said JulieVan de Kamp, Chief Customer Officer at SONAR. “At this time, with an unprecedented hurricane forecast and increasingly volatile weather throughout the year, it’s important to monitor the impacts on transportation. Nobody is doing that better than WeatherOptics, and we are excited to have a partnership with them for SONAR’s Critical Events application.”

Scott Pecoriello, co-founder and CEO at WeatherOptics, added, “Expanding our partnership  with SONAR is  key for us to  deliver top-tier weather and risk intelligence to the supply chain and logistics industry. The SONAR platform is leading the charge in innovative data for this sector, and we’re excited to combine forces, leverage their extensive reach, and help more businesses mitigate weather-related risks.”

Activation for the enhanced features is available directly within SONAR. Current SONAR customers can add this functionality by reaching out to their account manager. To learn more about SONAR or this new customization feature, visit gosonar.com to request a demo.

Fresh tomato prices could jump as tariff takes effect

The U.S. is pulling out of a three-decade-old tomato trade agreement with Mexico on Monday, while adding between a 17% to 21% tariff on most Mexican tomato imports.

The Trump administration said in April it plans to withdraw from the Tomato Suspension Agreement between the two countries that has been in place since 1996.

Tomatoes sold in the U.S. from Mexico are controlled by the Department of Commerce through the suspension agreement, which sets minimum pricing and regulates sales between growers and importers.

“The [Tomato Suspension Agreement] has failed to protect U.S. tomato growers from unfairly priced Mexican imports, as Commerce has been flooded with comments from them urging its termination. This action will allow U.S. tomato growers to compete fairly in the marketplace,” the department said in a news release on April 14.

Mexican-grown tomatoes account for nearly 70% of the U.S. market, while U.S. growers’ share is currently around 30%. 

In 2024, the U.S. imported $3.12 billion worth of fresh tomatoes from Mexico. This accounted for the majority of the total U.S. tomato imports, which were valued at $3.63 billion, according to the Observatory of Economic Complexity and Texas A&M. 

The Laredo customs district in South Texas — which includes Laredo’s World Trade Bridge and the Pharr-Reynosa International Bridge in Pharr — accounts for the majority of tomato imports from Mexico, followed by the border crossing in Nogales, Arizona.

Mexican tomato producers signed an agreement with President Donald Trump’s first administration in 2019 to end a tariff dispute.

As part of the 2019 agreement, Mexico-based growers agreed not to sell tomatoes below a reference price, a seasonably adjusted floor price at which Mexican tomatoes can’t fall underneath and still be exported to the U.S.

The termination of the agreement has created fierce opposition by farmers and lawmakers in Arizona and Texas versus growers in Florida.

The Florida Tomato Exchange claims that Mexico’s agriculture industry is dumping tomatoes at margins of up to 273% below the agreed minimums in the U.S. that continues to harm domestic farmers.

“The only way to level the playing field is to end the agreement and enforce fair trade,” Robert Guenther, executive vice president of the Florida Tomato Exchange, told Fox Business. 

Trade stakeholders and lawmakers in Texas and Florida said any tariff being placed on imports of Mexican tomatoes will harm their state economies and provide consumers with less choice and higher prices.

“We don’t want tomatoes to become the new egg crisis,” Rep. Vicente Gonzalez, D-Texas, said during a news conference on Friday, according to the Rio Grande Guardian.

Gonzalez, along with other Texas lawmakers and the Texas International Produce Association (TIPA), are requesting a 90-day delay to withdraw from the agreement to allow more consideration and resolutions for the issue.

Dante Galeazzi, CEO of TIPA, said the Tomato Suspension Agreement is crucial to South Texas.

“Terminating this agreement will undo three decades of stability and bring about a 17% duty on all Mexican tomatoes entering this country,” Galeazzi said during the same Friday news conference as Gonzalez.

FreightWaves launches FreightTech 2026 awards

FreightWaves is announcing the opening of nominations for its annual FreightTech Awards, a prestigious recognition program honoring the most innovative technology companies and transportation providers in North American freight. Nominate your company here.

As the industry recovers from a multiyear downturn that’s affected both freight and technology sectors, the FreightTech 2026 awards take on added significance. This year’s list should offer valuable early insights into which companies are best positioned to lead and thrive in the next freight bull market.

This year’s awards follow a particularly notable edition in the series’ history. The 2025 FreightTech 25, announced at the F3: Future of Freight Festival last year, featured a number of unexpected selections. FreightWaves CEO Craig Fuller called it “the most disrupted list I’ve ever seen.”

As we look ahead to FreightTech 2026, many are eager to see if this trend of surprises continues or if established industry leaders will reassert their dominance.

Nominations for FreightTech 2026 are open from Monday, July 14, through Sept. 1. The FreightTech 100 will be unveiled Sept. 22, and the top 25 will be revealed about two months later — on Oct. 22 at F3 in Chattanooga, Tennessee.

One important note: FreightWaves has introduced a new tiered pricing structure for nominations, and it pays to nominate early.

  • Early Entry (July 14-27): $499
  • Standard Entry (July 28-Aug. 17): $549
  • Last Chance (Aug. 18-Sept. 1): $599

This approach is designed to streamline the nomination process and ensure that the most innovative and impactful companies receive the recognition they deserve.

The selection process begins with FreightWaves’ research team, market analysts and journalists carefully evaluating nominations to determine the FreightTech 100. Following this initial selection, an independent panel of industry specialists, including analysts, transportation executives and other thought leaders, have the challenging task of narrowing down the list to the elite FreightTech 25.

Past honorees read like a who’s who of the freight industry, featuring established giants such as Amazon, FedEx and J.B. Hunt, alongside innovative startups like Platform Science, Samsara, Motive, Cargado, and Highway.

Whether you’re part of a cutting-edge startup, an established industry leader or simply an admirer of freight innovation, we encourage you to participate in this celebration of progress.

Nominate a deserving company or learn more about FreightTech 2026 by visiting www.freightwaves.com/awards/2026-freighttech-award.

Key dates to remember

  • July 14: Nominations for the FreightTech awards open at Early Entry price ($499).
  • July 27: Early Entry ends.
  • July 28: Standard Entry ($549) begins.
  • Aug. 17: Standard Entry ends.
  • Aug. 18: Last Chance ($599) begins.
  • Sept. 1: Nominations for the FreightTech awards close (at 6 p.m. EDT Monday)
  • Sept. 22: FreightTech 100 winners announced.
  • Nov. 20: FreightTech 25 winners announced at F3: Future of Freight Festival.

Click here to nominate a company for the 2026 FreightTech awards.

China-US container trade trending down as peak season nears

Indicators of China-U.S. container traffic are trending down even as the peak shipping season draws closer.

On Monday the Port of Los Angeles Port Optimizer showed 128,720 twenty foot equivalent units (TEUs) import volume due in July 13-19, up 8.68% from the past week and 13.23% ahead of the year-ago week. 

That’s the good news.

More troubling, the port is showing 120,072 TEUs arriving the week of July 20-26, down 6.72% w/w and 11.47% y/y. Worse yet, projected import volume for July 27-August 2 plunges to 78,025 TEUs, a decrease of 35.02% w//w and 22.10% from a year ago.

(Chart: Port Optimizer)

Similarly, the SONAR Inbound Ocean TEUs Volume Index, China to the United States, fell to 929.53 as of Monday.

The Ocean TEU Index represents how much containerized volume is being tendered to ocean carriers (booked) with ocean carriers and/or 3rd party logistics companies (freight forwarders/ NVOCCs). 

Arrow points to current index. (Chart: SONAR)

 The decline comes as global container volumes reached a record 16.34 million TEUs in May, breaking the previous record of 16.31 million TEUs set in March of this year, according to Container Trade Statistics. 

Total exports from the Far East region grew 3% y/y in May, most in the world, on record traffic to Europe. Notably, North America and Central and South America saw export volumes tumble from April, off 9.2% and 3.5%, respectively.

Imports in April to May were stronger as North America saw a 2% increase year-to-date, even as May volumes fell 9%. Europe containers were up 10% in May y/y.

Find more articles by Stuart Chirls here.

Related coverage:

Container Q2 volumes up 4.4% for OOCL parent 

Longshore unions to unite for ‘anti-automation’ protest

Tariff pauses ‘unlikely’ to halt tumbling trans-Pacific rates: Freightos

June rebound as West Coast containers best East, Gulf ports

Report: Interact Analysis cuts robot market growth forecast by $800M

Global supply chain automation analysts at Interact Analysis have lowered their projected growth for the mobile robot market by $800 million, citing shifts in global supply chains and heightened uncertainty, largely due to tariffs.

The revised outlook, detailed in a May report, follows a previous adjustment by the firm, which had already lowered its short-term growth expectations for the mobile robot sector through 2027. That earlier report projected an 18% decline in growth over the next two years.

According to a new report released this week by Ash Sharma, chief commercial officer at Interact Analysis, the mobile robot industry is “currently undergoing a period of challenges and readjustment.”

“Our latest analysis presented an $800 million reduction in the 2025 market forecast, with lower growth predicted across all major regions,” Sharma wrote. “This adjustment reflects a broader reassessment of the industry’s growth trajectory, with the 2030 revenue projection now standing at $15.6 billion—down from our earlier, more optimistic estimates.”

As a result of this revision, the compound annual growth rate (CAGR) for the industry has dropped from 26% to 21% over the next five years.

Despite the downturn, a 21% CAGR indicates that companies continue to invest significantly in automation technologies.

Tariffs to blame

Sharma attributes much of the slowdown to “damaging global tariffs” imposed during the Trump administration, which have disrupted supply chains and introduced new uncertainty into capital investment planning.

These uncertainties are now delaying decisions and putting large-scale automation investments at risk.

“The Global Economic Policy Uncertainty (GEPU) Index hit an all-time high of 430 in January 2025,” Sharma noted. “This level of uncertainty surpasses that seen during the 2008 financial crisis and the COVID-19 pandemic. As a result, many companies are adopting a ‘wait-and-see’ approach, delaying strategic investments in warehouse automation and infrastructure.”

The report identifies several robot categories particularly affected by tariffs, including:

  • Automated guided vehicle (AGV) conveyors and material transport robots: Shipment growth between 2025 and 2030 is now projected at 4%, down from 6%, due to a weakened economy and lower automotive sector demand.
  • Large-form autonomous mobile robot (AMR) conveyors: Shipments are expected to decline by 15–20%, with a slight reduction also projected for smaller form factors.

“The message from Interact Analysis is clear: the mobile robot industry is still growing, but not as fast or as smoothly as once expected,” the report concludes. “Tariffs, economic uncertainty, and shifting global dynamics are forcing companies to rethink their strategies and timelines. For stakeholders across the automation ecosystem—from vendors and integrators to end users and investors—this is a time for strategic patience and adaptability. The fundamentals of automation remain strong, but the path forward will require careful navigation.”

Container Q2 volumes up 4.4% for OOCL parent 

Orient Overseas (International) Limited said it carried 4.4% more containers in the second quarter from the same period a year ago.

The gain was generally in line with global container volumes for the quarter.

The Hong Kong-based parent (0316.HK) of Orient Overseas Container Line, a unit of China’s Cosco, said liner revenue fell 6.5% y/y to $2.12 billion for the quarter ending June 30 as revenue per twenty foot equivalent unit slid 10.4%, from $1,205 to $1,079 per TEU. The largest decline was seen on Asia-Europe services, down 17.2%.

Loadable capacity was 7.5% higher while the overall load factor fell by 2.4%.

For the first six months ended June 30, liner revenue increased by 4.4% and total liftings increased by 6.8% y/y. The carrier’s capacity was 8% higher, while the load factor fell 0.9%. Average revenue per TEU was off by 2.2% compared to a year ago.

Find more articles by Stuart Chirls here.

Related coverage:

Longshore unions to unite for ‘anti-automation’ protest

Tariff pauses ‘unlikely’ to halt tumbling trans-Pacific rates: Freightos

June rebound as West Coast containers best East, Gulf ports

Port Newark opens new electric drayage charging station