Subscribe to our free, weekly email newsletter!


January truck tonnage takes a weather-influenced step back, reports ATA

By Jeff Berman, Group News Editor
February 19, 2014

Difficult winter weather conditions played a significant role in January truck tonnage, according to data released by the American Trucking Associations (ATA) today.

Seasonally-adjusted (SA) truck tonnage in January dropped 4.3 percent, following a 0.8 percent drop in December. The index was at 124.4 (2000=100), and the all-time high was November’s 131.0, which was 2.7 percent better than December. On an annual basis, the January SA was up 1.2 percent.

The ATA’s not seasonally-adjusted (NSA) index, which represents the change in tonnage actually hauled by fleets before any seasonal adjustment was 122.3 in January, down 0.3 percent from December’s 122.7 and was down .01 percent annually.

As defined by the ATA, the not seasonally-adjusted index is assembled by adding up all the monthly tonnage data reported by the survey respondents (ATA member carriers) for the latest two months. Then a monthly percent change is calculated and then applied to the index number for the first month.

“Like most economic indicators, truck tonnage was negatively impacted by bad winter weather in January,” said ATA Chief Economist Bob Costello said in a statement. “The thing about truck freight is that it’s difficult to catch up. Drivers are governed by hours-of-service regulations and trucks are limited to trailer lengths and total weights, thus it is nearly impossible to recoup the days lost due to bad storms. January wasn’t just one storm, it was several across a large part of the country. Therefore, I wouldn’t panic from the largest monthly drop in two years. I’ve heard from many fleets that freight was good, in-between storms. The fundamentals for truck freight still look good.”

Weather aside, many shippers and carriers indicate that things are moving along as expected when viewing the market on a seasonal basis.

But they concede that such atypical weather patterns are making an imprint on supply chain operations, with far more contingency and capacity planning being required than normal.

Morgan Stanley analyst Bill Greene said in a research note that the underperformance in the NSA index reflects a tough sequential comp and severe weather conditions, adding that truckload carriers suggest underlying freight fundamentals remain solid.

About the Author

Jeff Berman headshot
Jeff Berman
Group News Editor

Jeff Berman is Group News Editor for Logistics Management, Modern Materials Handling, and Supply Chain Management Review. Jeff works and lives in Cape Elizabeth, Maine, where he covers all aspects of the supply chain, logistics, freight transportation, and materials handling sectors on a daily basis. .(JavaScript must be enabled to view this email address).


Subscribe to Logistics Management magazine

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your
entire logistics operation.
Start your FREE subscription today!

Recent Entries

Josh Green, CEO of Panjiva, an online search engine with detailed information on global suppliers and manufacturers, said despite the recent trends coming out of China, it is important to remember is that on a big picture level, its impact on the global economy is big and growing.

Diesel gasoline’s average price per gallon dropped for the ninth week in a row, according to data issued by the Department of Energy’s Energy Information Administration (EIA) this week.

Citing currency exchange rates and lower fuel surcharges, second quarter revenue for transportation and logistics titan UPS dropped 1.2 percent to $14.1 billion, the Atlanta-based company reported today. Even though revenue was slightly down, earnings per share saw a 12 percent annual gain at $1.35, which was above Wall Street estimates of $1.27.

Does your organization struggle with the integration of information between your internal systems, processes and partner portals? You're not alone! Kapow Software alongside EFT has surveyed over 200 organizations regarding the importance of information access, visibility and discusses some of the major goals for supply chain and logistics organizations.

The U.S. Department of State maintained Thailand’s Tier 3 ranking, the lowest category, in its annual Trafficking in Persons (TIP) Report, which was released this week.

Article Topics

News · Trucking · ATA · All topics

Comments

Post a comment
Commenting is not available in this channel entry.


© Copyright 2015 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA