TLI's Weekly State of Transportation Update
Week of September 6, 2021
Labor Day Weekend
Hurricane Ida crippled the south and northeast's supply chain last week as carriers continued to work to alleviate congestion caused by Ida and the holiday weekend. Spot rates rose in response to the storm.
Hurricane Ida caused serious disruptions throughout the south and northeast of the United States with dangerous winds and flooding. This also caused great disruption to supply chains through series of limited operations from LTL carriers and forced delays in the truckload environment. Carriers are actively working to alleviate the disruptions that were caused by Hurricane Ida. TLI will continue to update our shippers if any embargos/restrictions come from these disruptions.
LTL carriers continue working through capacity issues on a terminal, shipment, and day-to-day basis. Weekly updates/directions are given by carriers to help alleviate their terminal which may include: freight embargos, dimension/quantity restrictions, and transit delays. TLI is actively monitoring these situations and will update any affected customer with solutions.
Latest additional LTL embargos from the past week:
UPS/T-Force: Additional embargo to the over 10' piece rule. UPS placed embargos to certain terminals within the states of CO, FL, MA, NH, OR, UT, WA, WY for specific TLI customers. Affected customers will not see UPS as an option for these lanes. (Effective 9/7/2021)
Ward Trucking: Advised that through Friday, 9/10 - IB/OB shipments to Harrisburg/Baltimore terminals will not be picked up in an effort to clear back up at terminals. (Effective 9/8/21)
According to DAT, Load-to-Truck ratios dropped even though spot rates increased heading into last weekend. Key players in this were the cancellation/delaying of shipments due to Hurricane Ida. Continue to look for higher spot rates this week as shippers look to put these delayed/cancelled shipments back on board.
Ports across the nation have been backed up with no current sign of easing up. US imports from China have been gearing up ahead of the holiday-season. Cost-per-container has risen to records high above $20,000 per container from U.S. to China. Some factors that have caused recent spikes are shutdowns from COVID 19-Delta variant and typhoons affecting the coast of China.
Ports on the East, West, and Gulf coasts are still experiencing back ups. Check out this video from 8/15.
TLI is actively monitoring situations in the industry, such as acquisitions, embargos, and other industry disruptions. If a TLI client is directly affected by any of these events, your TLI representatives will reach out to discuss what this means for your account.
TLI highly suggests that on all shipments you provide our team with the “Must Arrive by Date” (MABD) as to when you need the product delivered. This will help us select the proper transit time / equipment type at the best current freight rate.
Please contact your Translogistics team at 610-280-3210 for any further questions.
*article written by Mitchell Kinek, Inside Sales Executive, Translogistics. Any questions, please do not hesitate to reach out!
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