TCI Business Capital is pleased to present the latest trucking news & information for the US freight industry. The news and information are compiled from a variety of sources across the web.
Courtesy of US Energy Information Agency
|09/07/20||09/14/20||09/21/20||Week Ago||Year Ago|
|East Coast (PADD 1)||2.511||2.499||2.486||-0.013||-0.597|
|New England (PADD 1A)||2.612||2.605||2.601||-0.004||-0.469|
|Central Atlantic (PADD 1B)||2.689||2.676||2.662||-0.014||-0.590|
|Lower Atlantic (PADD 1C)||2.370||2.357||2.343||-0.014||-0.628|
|Midwest (PADD 2)||2.321||2.308||2.282||-0.026||-0.710|
|Gulf Coast (PADD 3)||2.184||2.172||2.157||-0.015||-0.701|
|Rocky Mountain (PADD 4)||2.378||2.368||2.348||-0.020||-0.686|
|West Coast (PADD 5)||2.964||2.955||2.941||-0.014||-0.709|
|West Coast less California||2.584||2.575||2.557||-0.018||-0.681|
September 16 , 2020 – Courtesy of DAT Trendlines
September 2020 Freight Rates
|Sept 7 – 13 vs Aug 31 – Sept 6||August 2020 vs July 2020||Aug 2020 vs Aug 2019|
|Spot Market Loads||-14.6%
|Spot Market Capacity||-10.1%||-6.1%||-15.3%|
|Van Rates (Spot)||+2.9%||+8.9%||+22.2%|
|Flatbed Rates (Spot)||+1.7%||+4.2%||+4.4%|
|Reefer Rates (Spot)||+1.7%||+61%||+13.8%|
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The four elements that affect the trucking market show inbound container shipments are up. Load volume is up, truck capacity is down, and fuel prices are down.
Freightwaves.com reports only 1 of the 15 markets they track was positive on a week over week basis. Freightwave’s analysts attribute this to the labor day holiday and expect volumes to bounce back quickly. They also are predicting a strong 4th quarter for freight volume as retail inventories are low heading into the holiday season and another round of stimulus payments before the election should increase consumer spending.
DAT.com’s most recent trendlines report is showing van rates are continuing a steady climb. The September 14th report shows national van rate averages are at $2.37 per mile, a $.15 increase above the August average. According to DAT, the West has the highest average van rates at $2.50 per mile, and the lowest average rates are in the Northeast at $1.92 per mile. According to DAT, load-to-truck ratios are highest in the southwest and central part of the country, and lowest east of the Mississippi river.
Van Rates – Source Dat.com
Reefer freight rates are averaging $2.58 per mile, a $.14 increase over the August average. Reefer rates are highest in the Midwest, averaging $2.81 per mile, and the lowest rates are in the Northeast, with an average of $2.12 per mile. Current load-to-truck capacity shows reefer demand is highest in the Midwest plains states, the lowest ratios are along the Eastern seaboard.
Reefer Rates – Source Dat.com
National average flatbed rates are at $2.37 per mile, an $.08 increase from the August average. The highest average flatbed rates are in the Southeast at $2.50 per mile, and the lowest rates are in the Northeast, with an average of $2.06 per mile. Load-to-truck ratios are highest from the Southeast to Northwest. The lowest are in the New England states.
Flatbed Rates – Source Dat.com
Taking a look at fuel prices, the latest Energy Information Administration data shows the national average diesel price is at $2.42 per gallon. Regional diesel prices range from an average of $2.17 in the gulf coast states to $2.68 in the central Atlantic region. California diesel prices are averaging $3.27 per gallon.
Trucking and freight factoring is a type of financing commonly used by fleet owners to improve their cash flow. Factoring is simply the converting or selling of open receivables to a factoring company for immediate cash. Companies using invoice factoring have consistent cash to use towards fuel, payroll, maintenance, and more.
TCI Business Capital has been a leader in trucking and freight factoring since 1994. From the knowledge and experience built up from years of serving clients in the trucking industry, TCI Business Capital offers customized factoring solutions for each client. For more information on our factoring programs, fill out the form on our website or call (800) 707-4845.