Despite a slower than anticipated peak season, FTR expects that the trucking regulations that will soon take effect will tighten conditions in 2016. Read the November Market Update for more on this and other highlights on key factors that impact the transportation industry in North America. Then, share your thoughts on these topics and other issues that affect your business.
Large Scale Market Indicators
The FTR Shippers Conditions Index (SCI) remains at a moderate level. According to Larry Gross, senior consultant at FTR, “Shippers are currently receiving the benefit of relatively slow growth in transport demand coupled with adequate transport capacity, resulting in a relatively placid peak season in 2015.”
Following a decrease of 0.9% in August, the American Trucking Associations’ (ATA) seasonally adjusted For-Hire Truck Tonnage Index increased 0.7% in September. When compared year over year for September, the index increased 3.1%.
With 34,700 trailer orders in September, net orders were better than expected: 47% more orders than August and up 8% year over year. For the last 12 months, order totals come in at 338,000. Read more.
Large truckload carrier driver turnover rose to 87%, an increase of 3%, in Q2 2015. The 87% mark is still below the 95% average turnover of 2014. Smaller truckload carriers, by contrast, saw turnover drop by 7%, to 76%. Read more.
The House approved a bill to spend up to $325 billion on transportation projects on Thursday, November 5, after a weeklong debate about federal gas taxes. The bill includes $261 billion on highways and $55 billion on transit over six years. The measure must now be conferenced with a separate Senate measure on highways. Read more.
Diesel prices fell 3.3 cents after a brief increase earlier in the month. For the week ending October 26, the average national price for diesel is $2.498 per gallon, following a 2.5 cent drop the week prior.