The DHL Supply Chain Pricing Power Index fell another 5 points this week to its lowest total in series history. Volumes are beginning to come back to life, but capacity remains historically loose and spot rates are extremely low.
The shippers are in the strongest pricing power position in the DHL Supply Chain Pricing Power Index history, but for all the wrong reasons. Volumes are stable, but well below normal levels, and tender rejections are at the lowest level in the index’s 3-year history.
Pricing power shifts towards the shippers in a major way this week. Contract freight volumes are now at Labor Day 2019 levels and are poised to go lower. Rejection rates are encroaching on a rare 4% mark, and spot rates are in the bin.
Knowing exactly where shipments are and when they will arrive is more important now than ever.
Carriers give back pricing power as volumes and rejections rates plummet. Spot rates are negative week-over-week for 95% of lanes from Truckstop.com.
Morgan Stanley survey shows coronavirus disruption is accelerating for carriers, shippers and brokers, but the height of the disruption may be closer than some may think.
National freight volumes and tender rejections are falling as fast as they rose. Carriers remain in slight pricing power position, but their footing is slipping with each passing week,
On EP22, Kevin and Andrew discuss the inevitable accounts receivable risk incoming in the transportation industry with Peter Rentschler from CarrierDirect. Andrew introduces a new segment and expectations are set for the March unemployment rate. Check out other episodes here.
While this may be the peak pricing power for the carriers for this freight cycle, the carriers gain another 10 points in the DHL Supply Chain Pricing Power Index this week.
The continuation of panic buying and restocking has swung the DHL Supply Chain Pricing Power Index violently to the upside. Carriers are now in dominant pricing power position for the first time since we began this series in September.
American consumers are panic buying goods from every aisle. To meet this spike in demand, shippers must procure trucking capacity at higher-than-contracted rates creating a significant 15 point swing to the carriers.
Nuclear verdicts have been a rising phenomenon in the trucking industry over the past decade. Are large lawsuits the cost of doing business, or is there a way to defend against them?
The carriers gained pricing power this week as volumes jumped over 6%, capacity tightened slightly and spot rates increased across the country.
The coronavirus has made its first impact upon the American economy – the stock market. The novel virus is also impacting import volumes from China and the effect will quickly trickle into the trucking market. It has not yet, but will soon. This week, spot rates bounced back slightly with a bump in outbound volumes. Capacity remains very loose.
This week, the shippers gain pricing power for the 5th time in the first seven weeks of 2020. Volumes are flat, rejection rates are low and rates are even lower.
The Truckload Carriers Association (TCA) will bring an opportunity for education and networking to for-hire carriers, private fleets, associates and driver-training school members, as well as prospects, next month.
In a monotonous week in the freight industry, we believe neither the shippers nor carriers gained any pricing power.
Shippers gain another 5 points of pricing power in this week’s DHL Supply Chain Pricing Power Index.
Despite strong economic data in favor of the carriers, flat volumes and loosening capacity garners a power grab by the shippers.
Outbound volumes and rejections were horizontal this week. Target’s poor earnings are not enough for us to believe the retail sector is in danger of a slowdown, but it is slightly alarming.
