Empowering Freight Broker and Carrier TMS through insight and innovation
In This Issue:
- Cargo Theft: An Escalating Challenge
- Market Overview: Stability and Change
Cargo Theft: An Escalating Challenge
The logistics industry is facing a sharp rise in cargo theft, with close to $130 million worth of cargo reported stolen in the US during 2023 alone—a 57% increase from the previous year. Technological advancements have paradoxically aided criminals, allowing thefts to become more sophisticated and strategic. To combat this growing threat, trucking businesses and brokers are deploying more secure technologies and refining operational processes to safeguard goods in transit and minimize opportunities for theft. Learn more about cargo theft trends and responses. Learn how a modern TMS can help.
Market Overview: Stability and Change
As we move deeper into 2024, the freight market continues to show signs of both recovery and ongoing challenges. Despite a general trend towards stability, the trucking markets are currently facing an unexpected continuation of downward price trends for Van/Reefer into the end of April 2024, indicating mid-single digit declines from the second half of 2023. In contrast, Flatbed rates are showing early signs of the typical seasonal uptick, although year-over-year comparisons are still down across all three modes.
Regional analysis reveals more nuanced dynamics; the West US, particularly the South West, is experiencing a year-over-year rate increase of +6.7% for Van/Reefer. This contrasts with the North West region, which is showing a marginal decline of -0.5% year-over-year, a figure that stands out compared to other US markets which are hovering between -3.4% to -4.5%. These variations highlight the regional disparities that continue to shape the logistics landscape, according to Greenscreens.ai in their latest market report.
The second quarter of the year is typically a leading indicator of market strength for the latter half, and with ongoing capacity reductions, the sector is closely monitoring for signs of a post-COVID correction. The anticipated recovery has yet to fully materialize, suggesting that the trucking industry may still be in search of a clear bottom. As we navigate through these turbulent times, EKA Solutions remains committed to providing cutting-edge insights and forecasts to help our clients effectively adapt to these market dynamics.
Texas continues to emerge as a pivotal freight hub, reflecting potential shifts in geographical logistics dynamics. With increased demand anticipated in sectors such as construction materials, home goods, and beverages, the market is expected to approach a semblance of "normalcy" in the latter half of the year. Read more on market predictions.
Looking Ahead
As we navigate through 2024, EKA Solutions remains committed to delivering innovative, secure, and efficient solutions tailored to the dynamic needs of the freight brokerage and carrier markets. Stay connected with us for more insights and updates on how we're driving the industry forward.
Learn more about EKA, a freight broker, shipper and carrier TMS, on our website here. If you’d like a demo, please don’t hesitate to schedule one here.
