Domestic Market Updates –
Truckload Market:
The Labor Day holiday showed minimal impact on the U.S. trucking market, as rates remain steady. Per Freightwaves data, national dry van spot rates declined leading up to the holiday, while tender rejection rates briefly increased before seeing a decline this past week.
U.S. Labor Uncertainty:
The ILA has wrapped up their two-days of meetings (Sept 4th-5th) during which it updated their wage scale committee on proposed contract terms and prepared members for the potential of a work stoppage at East/Gulf Coast ports. The President of the ILA, Harold Daggett, said they will hit the streets on October 1st, if they don’t receive the contract they feel they deserve.
For months the ILA and USMX have been at an impasse, following a halt in talks back in June when the union learned that automated systems were being used at some ports to process trucks.
Port Infrastructure: The Los Angeles Harbor Commission greenlights $52 million for on-dock rail capacity upgrades for Pier 300 terminal, per the port in a press release. Construction is expected to start in 2025 and will include the addition of five new loading and unloading tracks in the intermodal yard, the port said in a press release.
Canada Labor Uncertainty:
The Canadian Teamsters (TCRC) filed four separate appeals, contesting the Labor Minister’s arbitration order and the CIRB’s decision to end the lockout and work stoppage, per Freightwaves. Two appeals are related to each railroad. This action follows the union’s pledge to challenge the ruling.
The parties involved have been ordered to binding arbitration and the CIRB has issued an order for no additional strikes/lockouts to occur during this process.
Port of Portland: A group of shipping stakeholders have given Oregon Governor a business plan to maintain international container service at the Port of Portland’s Terminal 6. The plan addresses past issues with container volumes and outlines efforts to increase vessel allocations. The port aims to double container volumes at T6 by 2032 and has agreed to raise carrier rates by 16-20% starting in 2023.
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