Topic: News

For optimistic folks still holding on to the hope of a long-term federal transportation authorization coming to fruition before the next Presidential election, it is likely time to label those hopes as wishful thinking. That’s the word from James H. Burnley, a partner at Washington D.C.-based law firm Vebnable LLP and former Secretary of Transportation under the late President Ronald Reagan.

Infrastructure is becoming like the weather: nearly everyone in Washington complains about it, but nothing really ever gets done about it.

With e-commerce growing at the rate of more than 15% annually, logisticians have been studying the best way to deliver all these home deliveries faster and cheaper than ever.

Effective June 23, the United States Postal Service (USPS) will formally make a change in how it implements its dimensional weight rules. This will be done through lowering the dimensional divisor to 166 from its current level of 194, which is in line with the 139 dimensional divisor used by the parcel duopoly of UPS and FedEx.

Rail carloads, at 257,385, were down 4.6% annually, and intermodal containers and trailers, at 270,604, fell 6.2%.

In the wake on intense executive recruitment search, the American Association of Port Authorities has opted to name a former ocean carrier executive to become its next president and CEO.

Uber Freight’s Facility Insights Report is based on data culled since the beginning of 2019, with the company saying it illustrates facility trends and provides specific insight into how carriers and drivers engage with facilities at national and regional levels.

Ottawa-based Shopify, a multi-channel commerce platform, said this week it has introduced a fulfillment network, entitled the Shopify Fulfillment Network. Company officials said that this network “will provide United States-base merchants with a network of distributed fulfillment centers, coupled with machine learning to ensure timely deliveries and lower shipping costs, putting their brand and customer experience front and center.”

CBRE reported that there is more than 255 million square-feet of warehouse space under construction, with 70.2% of it being speculative. What’s more, CBRE said that based on data issued by CBRE Econometric Advisors, going back to 2015, warehouse demand has outpaced new construction completions by 169 million square-feet, with rents up 19.2% over that same period.

Austin, Texas-based freight brokerage and transportation management services provider Arrive Logistics said this week it has closed on a $25 million Series B equity financing. This round of financing was led by Lead Edge Capital.

The ATA’s advanced seasonally-adjusted (SA) For-Hire Truck Tonnage Index for May, at 114 (2015=100) fell 6.1% compared to April’s 121.8, which was up 7% over March. And compared to May 2018, SA tonnage eked out a 0.9% gain, which ATA said marks its smallest annual SA tonnage gain going back to April 2017.

May shipments, at 1.128, slipped 6% annually and were down 2.8% compared to April. This marks the sixth consecutive month that annual shipments were down. Freight expenditures in May, at 2.845, were down 1.08% annually and down 2.2% compared to April.

Riding a booming economy, U.S. Business Logistics Costs (USBLC) rose 11.4% to reach $1.64 trillion-- or 8% of 2018’s $20.5 trillion gross domestic product (GDP). That’s according to the authoritative State of Logistics report released today by A.T. Kearney, sponsored by the Council of Supply Chain Management Professionals and presented by Penske Logistics.

Falling 3.5 cents, the national diesel average is $3.070, following declines of 3.1 cents, 1.5 cents, and 1.2 cents, respectively, over the previous three weeks.

May shipments, at 1,078,514, rose 0.8% annually. On a year-to-date basis, shipments through May, at 4,974,896, are up 2.5% compared to the same period a year ago. The firm added that containerized freight was up 3% in May.

Commerce reported that May retail sales, at $519.0 billion, were up 0.5% compared to April and up 3.2% annually. NRF reported that May retail sales were up 0.5% in May on a seasonally-adjusted basis compared to April, and up 3.2% annually on an unadjusted basis.

Truckload rates, which measure linehaul rates, headed up 1.2% annually to 135.3 (January 2005=100), extending a stretch of gains going back to November 2017. On the intermodal side, total May intermodal pricing was up 4.2% annually, to 147.0, and down 1.9% compared to April.

DHL Supply Chain, a subsidiary of Deutsche Post DHL Group, said this week it is taking steps to expand its pharmaceutical and medical device distribution network by 40% in 2019, through a $150 million investment.

Rail carloads, at 246,758, fell 9.1% compared to the same week a year ago, and intermodal units, at 266,341, slipped 8%.

Air, sea, and surface transportation/logistics modes will be examined closely by panel of industry experts when the 2019 USC Marshal Global Supply Chain Excellence Summit convenes in August. Among the speakers will be Mathew Joseph Elenjickal , Founder and CEO, FourKites. In this exclusive interview, he shares a few insights on the current state on best management practices.