Tag Archives: logistics news

Trending Transportation Updates: June 2020

There were many new transportation updates in the shipping industry last month. Check out some of the top stories and transportation updates in June 2020!

Trending Transportation Updates: June 2020

May Truck Tonnage Drops 9.6% Year-Over-Year

According to the ATA report, the May truck tonnage index dropped 9.6% compared to the previous years. This is the largest year-over-year drop in a decade. However, it is an improvement from the April sequential result of a 10.4% fall. Bob Costello, the chief economist in ATA, isn’t too worried: “While tonnage fell in May, even though other economic indicators like retail sales and housing starts rose, I’m not overly concerned”. Read more here.

FMCSA extends HOS emergency once again

With President Trump issuing the national emergency declaration in response to coronavirus, FMCSA has reformed HOS rules to align with the current industry conditions. Last month, a HOS emergency was extended until June 14 but was extended for one more month with an estimated expiration date on July 14. “This extension addresses national emergency conditions that create a need for immediate transportation of essential supplies and provides necessary relief from the FMCSR’s (Federal Motor Carrier Safety Regulations) for motor carriers and drivers,” said FMCSA. Read more here.

The first electric truck sales mandate approved in California

In a long-awaited vote, California Air Resources Board (CARB) approved an electric truck mandate that will require medium- and heavy-duty truck manufacturers to sell a growing percentage of electric vehicles starting in 2024. This is the first rule of its kind in the world. The mandate is called the Advanced Clean Truck rule. According to the new rule, by 2035, about 75% of Class 8 big rigs sold will need to be zero-emission. “Fundamentally, the point of this regulation is not to simply require things, it is to push the market more quickly, transitioning away from fossil fuels as fast and effectively as we can,” – said Andy Schwarz, one of the Tesla executives. Read more here.

Earthquakes shake the Southern states

On June 24, the Southern California area was rattled by a 5.8 magnitude earthquake. The epicenter of an earthquake was in Cartoga, Owens Valley region. Earlier this month, a much stronger 7.4 magnitude quake hit Southern Mexico, causing at least 6 fatalities and material damage. It is yet unknown if the wave of earthquakes will continue in the region, but some seismologists expect more rattles. Read more here.

Trending Transportation Updates: March 2020

There were many new transportation updates in the shipping industry last month. Check out some of the top stories and transportation updates in March 2020!

Trending Transportation Updates: March 2020

Senate approves $2 trillion stimulus bill

To avoid the complete breakdown of the economy, the US Senate and the White House have struck a deal on a $2 trillion stimulus package. After several days of negotiations, Congress has finally reached a risky and one of the most expensive decisions in the financial history of the US. According to legislation, an aid package will cover payments for individuals, families, and cover loans for distressed businesses. Read more here.

FMCSA extends the rule-changing order

On March 13, FMCSA postponed Hours of Service regulations in all states and Washington D.C. The exemption was applicable for drivers who are directly providing essential supplies for the COVID-19 pandemic. The waiver got an expansion on March 18, and now also includes drivers who are hauling paper products, fuel, and items required for the manufacturing of essential materials. Read more here.

USPS will get $10 billion from a newly approved stimulus package

Global posting services, including the USPS, UPS, and FedEx, warned about the severe impact on shipment delivery as the coronavirus outbreak worsens. Despite hopes of getting as much as $25 billion, the U.S. Postal Service (USPS) will get a $10 billion line of credit under the U.S. Senate’s $2.1 trillion coronavirus economic relief legislation approved on March 25. Read more here.

CVSA puts off International Roadcheck from May to an undetermined date

The CVSA International Roadcheck, that was to take place from May 5 – 7, is postponed to an undecided date. The annual testing procedure includes an advanced check of truck and equipment safety and drivers’ compliance with CVSA requirements. CVSA President John Samis commented: “With last year’s federal electronic logging device full-compliance mandate in the U.S., the Alliance decided that this year’s International Roadcheck would be the perfect opportunity to revisit all aspects of roadside inspection driver requirements.” Read more here

Trending Transportation Updates: February 2020

There were many new and exciting transportation updates in the shipping industry last month. Check out some of the top stories and transportation updates in February 2020!

Transportation Updates: February 2020

FMCSA present Tech Celerate, a new safety program

FMCSA has recently announced the rollout of the newest program, Tech Celerate 2020, that aims to accelerate governmental and private sector institutions and projects to increase trucking safety. The program will bring together the influential players of tech and safety industries to implement and develop advanced driving assistance systems. The initiative is believed to ease the integration of new technology into trucking and increase driver safety. To read more, click here.

More than 8,000 violations detected through Alcohol and Drug Clearinghouse

Since the Drug and Alcohol Clearinghouse rolled out on January 6th, more than 8,000 substance abuse violations were uncovered through the system. The new FMCSA initiative is an online database where drivers’ substance violations abuse history can be seen and tracked. So far, Drug and Alcohol Clearinghouse has more than 650,000 drivers registered. To read more, click here.

U.S. DOT gives $1 million investment grant to infrastructure projects

The U.S. Department of Transportation announced a $1 million grant for highway infrastructure projects, including projects related to building bridges, highways, rails, and improving intermodal connectivity. Transportation agencies can apply as they meet DOT requirements, such as safety impact, environmental sustainability, innovation advancement, and economic vitality. To read more, click here.

Coronavirus disrupts supply chains

As the newly discovered coronavirus keeps spreading around the world, it has a drastic impact on the global economy and supply chains. Chinese exports have already fallen around 3 times, and the Chinese economy is seemingly coming to a recess. Considering the drop in stock costs and companies shutting down facilities in the most infected areas, Asia will likely experience the intense disruption. Globally, Europe and the U.S. are limiting import freight and preparing for the wave of virus disruption. To read more, click here.

Trending Transportation Updates: November 2019

There were many new and exciting transportation updates in the shipping industry last month. Check out some of the top stories and transportation updates in November!

Transportation Updates: November 2019

Walmart Canada launches world’s largest blockchain application

The retail giant has recently announced its plan to set up a huge freight and payment network, powered by blockchain technology. Walmart Canada collaborated with DLT Labs to develop the application. The industry blockchain solution will process payments, store data, verify transactions, and track freight shipments. The final launch of a web portal that will also be available as the mobile application is planned on February 1, 2020. Read more here.

Amazon will open grocery stores without human cashiers

Amazon is extending its retail initiatives by preparing a network of supermarkets and grocery stores called Amazon Go. The retail mogul plans to make the stores cashiers and take out checkout lines. The project is currently being tested in the facility in the Seattle Capitol neighborhood. Amazon is also planning to sell the license after successfully launching the initiative. Read more here.

The consequences of a trade war could cost the U.S. economy $186 billion

The recent study on the implementation and impact of Trump’s import tariffs reveals the risks these changes can cost each state nationwide. Turns out, the two years of a trade war with China can threaten nearly 1.5 million US jobs and $186 billion of the country’s economic activity. Read more here.

UPS expects a record amount of returns during the holiday season

Every year the holiday season gets busier, and this year is expected to set the record for return goods, according to UPS estimates. Postal service expects returns to rise 26% up compared to last year, which will represent 1.9 million packages on January, 2. Before Christmas day, the carrier plans to handle 1.6 million returns per day. Read more here.

Trending Transportation Updates: September 2019

There were many new and exciting updates in the shipping industry last month. Check out some of the top stories and transportation updates in September!

Transportation updates in September 2019

Amazon to start a logistics business

The e-commerce mogul has announced it’s a plan to start a business in the logistics industry. Amazon wants to develop its own delivery fleet by renting aircrafts and launching an employee support program. The company is offering $10,000 to the workers so they can start their shipping business. “I think Amazon has stated that they’re now a competitor to the transport industry. FedEx has clearly viewed them as an increasing competitor following their recent moves,” – said Ken Hoexter, a research analyst at Bank of America. Read more here.

Holiday season begins: The U.S. ports admit record freight volumes

As the holiday season rolls out, the largest ports are seeing an increase in inbound freight since August. The Port of Oakland states a 3.1 percent increase for imports and 1 percent for export freight. The Port of Los Angeles Executive Director, Gene Seroka, commented, “The final monthsshipping port of 2018 ended with an extraordinary influx of imports to beat expected tariffs on China-origin goods. We don’t expect to see that kind of volume in the months ahead. We need a negotiated settlement of the U.S.-China trade war to restore global trade stability.” Read more here.

IMO 2020: Experts expect oil price volatility and an increase in freight costs

 

Effective January 1, 2020, the International Maritime Organization’s low-sulfur mandate will become valid. Logistics experts believe it can lead to significant disruptions in the industry, including freight cost increase and price volatility. “The industry is still in a financial tailspin since the financial crisis, but the technology is ready and mandates being enforced by each country will make this a reality,” said Jigar Shah, co-founder, and president of Generate Capital. Read more here.

Trending Transportation Updates: August 2019

There were many new and exciting updates in the shipping industry last month. Check out some of the top stories and transportation updates in August!

China & U.S. trade war: President Trump raises tariffs

On August 23, President Trump responded to Beijing’s retaliation with raising tariffs for China. Now, taxes on $250 billion of imports will rise from 25 percent to 30 percent starting October 1. Also, effective September 1, the duties for $300 billion in Chinese imports will increase to 15 percent instead of 10 percent.  To read more about the tariffs, click here.

Truckers respond to the new HOS regulations

After the latest tweak in the hours-of-service rules, truckers are suggesting changes for more flexibility. Currently, truck drivers have a ten-hour period for rest with a suggested eight hours of rest and two hours of non-driving time. Also, they have a mandatory 30-minute break. In particular, many drivers wanted to split the 30-minute break into two smaller intervals, and be more flexible with the way they use their time off. To read more, click here.

Truck tonnage to increase by 25.6 percent by 2030

The new report by the American Trucking Association stated truck tonnage to increase by 25.6 percent over the next decade. Responsively, the revenue is expected to go 54 percent up and reach $1.6 trillion. Chris Spear, ATA President, spoke up on the importance of adjusting to market growth: “Freight Forecast clearly lays out why meeting challenges like infrastructure and workforce development are so critical to our industry’s success”. To read more, click here.

Truck wait times at border are increasing

Truck wait times at the United States – Mexico border are beginning to increase. Industry professionals say the longer wait times are a result of slow border inspection routines and truck drivers waiting to load and unload freight at docks and intermodal facilities. To read more about the border congestion, click here.

Trending Transportation Updates: July 2019

There were many new and exciting updates in the shipping industry last month. Check out some of the top stories and transportation updates in July!

FMCSA Offers a New Rule on CDL Home State Requirement 

The Federal Motor Carrier Safety Administration introduces a new rule that will allow truck drivers to get a commercial driver’s license (CDL) outside of their state of residence. The new proposal was created to reverse the current requirement to register in their birthplace state. This way, FMCSA tries to simplify the application procedure for drivers entering the market. Read more here

New ATA Report: Driver Shortage is Going to Increase Over the Next Decade

A new report by the American Trucking Association shed light on the current state of truck driver workforce market and highlighted forecasts of shortage growth over the next ten years. The study indicates the industry will need 1.1 million truck drivers hired throughout the next decade, which equals 25 percent of new hires. Read more here.  

eBay to Present New ‘Managed Delivery’ Service by 2020

The retail giant eBay announced its plan to launch a new delivery system for high-volume shippers. The main concept suggests that large sellers will be able to store, pack and deliver their products within the network of specifically located facilities and vendors. Managed Delivery is estimated to be live in 2020 and reduce delivery times all over the country. Read more here

Tensions sharpen in Strait of Hormuz: Two British Ships Seized 

Strait of Hormuz, an extremely important economical area between the Persian Gulf and Oman Gulf with $1.2 billion worth oil transported each day is in a tense situation. In particular, Iran is accused of seizing two British tankers and attacking a few more ships, as well as shutting down the U.S. drone. Read more here.

Trending Transportation Updates: April 2019

There were many new and exciting transportation updates the transportation and shipping industry last month. Check out some of the top stories that made headlines during April!

Amazon has bought Canvas robotic systems

Famous for the use of different robotic devices from Google, Toyota and Kiva systems, Amazon acquires Canvas systems. Founded just in 2015, Canvas has already demonstrated robust innovation with its focus on cart fulfillment devices. “We are inspired by Canvas Technology’s innovations, and share a common vision for a future where people work alongside robotics to further improve safety and the workplace experience,” the Amazon spokesperson said. To read more about Canvas systems acquisition, click here.

DOT assigned $900 billion for the transportation grant program

Recently, the United States Department of Transportation (DOT) has launched a Notice of Funding Opportunity (NOFO) for $900 million in elective grant capital through the BUILD program (Better Utilizing Investments to Leverage Development). “These BUILD Transportation grants will provide needed infrastructure investment to better connect rural and urban communities around our nation,” announced the U.S. Secretary of Transportation Elaine L. Chao. To read more about the DOT grant program, click here.

Walmart starts using more than 4,000 robots

In their efforts to give employees more time to serve customers live, Walmart expands

 its robotic device network. The giant retailer has announced to add more than 4 thousands robots to handle the operations. Mostly, devices will be used to check product availability, correct pricing, and supplies location. To read more about Walmart’s new robots, click here.

Companies support Earth Day

On Monday, April 22, the world celebrated its largest environmental movement – Earth Day. Many logistics and retail companies have joined the initiative to push sustainable shipping and production trend forward. For example, Walmart partnered with HSBC to develop a supply chain sustainability program for the suppliers. To read more about the Walmart green initiative, click here.

transportation updates march

Trending Transportation Updates: March 2019

March was packed full of logistics-related news and transportation updates. We’ve summed up the most important events and trends that took place during the month:

Sober Steering Aims to Add Sobriety Tests to Steering Wheels 

A Canadian company, Sober Steering, makes alcohol-detecting devices attached to steering wheels. It is striving to expand usage to North American trucking companies. For now, the use of devices spreads on steering wheels of school buses in Canada. It has successfully saved the lives of many from drivers under the influence.  Read more about Sober Steering technology. 

FMCSA will review HOS regulations and ELD rules transportation updates march

The Federal Motor Carrier Safety Administration (FMCSA) head Ray Martinez stated that the organization will review HOS rules soon with possible future changes. The information was announced at the annual Truckload Carriers Association meeting. The changes will mainly touch on HOS compliance rigidity, including the 100 air-mile “short haul” exemption, the mandatory 30-minute rest break, and more. Click here to read more about the possible HOS rules changes.

Boeing to stop moving freight on 737 MAX 8 aircraft

The company paused the operation and production of more than 4,500 Boeing 737 MAX 8 planes. The main reason for a decision is the second lethal crash of this model since October. Experts estimate these actions will cost Boeing huge amounts of money, considering the needed space to park planes and pay airline companies for a disruption. Read more about the Boeing pause here.

Ocean carriers will need to increase surcharges by 35 – 40 percent to offset IMO 2020 costs

According to a recent study, ocean carriers will have to increase fuel surcharges in 2019 to maintain margins and deal with the low-sulfur regulations costs from the International Maritime Organization (IMO) in 2020. To stay financially stable, carriers on Asia-Europe ways would need to raise surcharges by 40%, while ones routing through Asia-Americas lanes would increase fees by 33%. Read more about ocean carriers surcharge growth here.