Many shippers are aware that the truckload market has taken a nose dive this fall. We have gradually seen a capacity crunch with the uptick in the economy. To make matters worse, add in a couple of hurricanes and this has created an enormous truck deficit in almost all markets. In September, the cost of trucks, on average, was at its highest since 2014. Now, with the retail season in full swing, the driver shortage continuing on, and the Electronic Logging Device (ELD) mandate rolling out at the end of 2017, we don’t anticipate the market to bounce back to where it was.
What Does This Mean?
We are currently seeing a trend where there are more loads than trucks. This is happening in almost every market in America.
As a result, you are likely to experience higher prices than you were accustomed to seeing, especially in some extreme deficit lanes, where capacity is limited. This hasn’t happened since the Polar Vortex of 2014 and doesn’t look to be coming to an end anytime soon.
To overcome these challenges, Mohawk Global Logistics partners with thousands of carriers across North America and has representatives standing by to assist in procuring capacity for all of your needs. Please contact our domestic division anytime for assistance at DomesticSales@mohawkglobal.com.
Matt McKinstry is Truckload Sales Manager for Mohawk Global Logistics.