Market Updates

TL and LTL Monthly Market Update

April 2024

In the logistics landscape, the paths of LTL (Less Than Truckload) and TL (Truckload) markets are diverging, each with its own set of financial outcomes. While TL rates have been at an all-time low for over a year, LTL rates have skyrocketed to unprecedented highs, a trend expected to continue as carriers maintain strict pricing discipline.

The departure of Yellow from the scene means there are now fewer carriers in the market offering reduced rates. Starting an LTL operation comes with high costs and significant time investments, leading to an inevitable rise in rates as demand increases. This market shift is reshaping long-standing shipper-carrier relationships, prompting both shippers and third-party logistics providers (3PLs) to seek new partnerships to keep rate increases in check.

International Market Update

April 2024

On March 26, the Singapore-flagged vessel Dali hit the Francis Scott Key Bridge in Baltimore, causing significant damage and the port's indefinite closure. This incident has led to operational disruptions, with ocean carriers declaring force majeure and rerouting voyages via New York and Norfolk.

Nearly 4,700 containers were on board, including 56 with hazardous materials, but no immediate environmental threat was identified. The US Army Corps of Engineers and the Biden Administration are assisting in recovery efforts, with $60 million in federal aid approved. The port closure affects thousands of jobs and daily vehicle shipments, with over 70 ships being rerouted or trapped.

IL2000 is providing alternative solutions for impacted customers, while Maersk advises quick container pickup at alternative ports to ease congestion.