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Logistics Intelligence Brief
Tuesday, September 27, 2022


Ian now Category 3, on its way to Tampa Bay as major hurricane

The Tampa Bay Times September 27, 2022

After a night of intensification, Hurricane Ian has emerged as a major hurricane Tuesday - still following its track toward Tampa Bay.
The Category 3 storm is just off the coast of Cuba, about 5 miles south of Pinar Del Río and 175 miles southwest of the Dry Tortugas, according to a 5 a.m. update from the National Hurricane Center. Ian is moving north at about 12 mph and forecasters expect the storm to turn toward the north-northeast while beginning to slow Tuesday night into Wednesday.
Related: Freight Waves ALAN sets schedule for responding to Hurricane Ian

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Insurance experts offer insights on how to lower carriers’ rates

CCJ Angel Coker September 26, 2022

“It's all about action in my mind and how you take insights that are being delivered by (technology) … and how you then turn that into improved performance through your drivers; how you apply management and training and support to a driver,” Flaherty said. “It improves the overall driving performance of the fleet, which we believe there's a direct correlation to (accident) frequency, which we directly correlate to overall losses. So if you can create that happy circle over a couple or few policy periods, I think you're going to be sitting in the catbird seat with some of the best rates, terms and conditions that you can get in the industry.”

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Is Hydrogen Really Trucking’s Fuel of the Future?

Truckinginfo.com Jim Park September 23, 2022

As of 2019, global consumption of hydrogen (all types) was 115 million tons, the vast majority of which went to heavy industry, including steel making, petrochemical refining and heating. Transportation of all types accounted for less than 10,000 tons. By 2030, transportation’s share is expected to reach 1.6 million tons, rising to 66.5 million tons by 2050, and almost 160 million tons by 2070, according to IEA.
Producing that much green hydrogen will be daunting. IEA suggests around 300 metric tons of hydrogen could be produced from electrolyzers in 2070 under what it calls the Sustainable Development Scenario. This would require 13,750 terawatt-hours of electricity — equivalent to half of global electricity generation today, IEA says. By 2070, electrolyzer capacity would have to rise from 170 megawatts today to more than 3,000 gigawatts.
In other words, reaching the net-zero targets in 2050 will require a six-fold increase in hydrogen production over current output.

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FMCSA Seeks Input on CDL Third-Party Training, Testing Programs

Transport Topics Eric Miller September 26, 2022

Expressing concern over commercial driver license issuance delays and possible fraud, federal trucking regulators are seeking public comment on the effectiveness of third-party training and testing programs as they relate to CDL skills, knowledge tests and minimum testing standards.
“Many jurisdictions rely extensively on third-party entities to provide training and conduct knowledge and skills tests,” a Sept. 22 Federal Motor Carrier Safety Administration Federal Register notice said. “FMCSA currently prohibits the same third-party entity from serving as both trainer and examiner.”
Link: Federal Register Effectiveness of Third-Party Testing and Minimum Standards for Commercial Driver's License (CDL) Knowledge and Skills Tests

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Diesel Falls 7.5¢ to $4.889 a Gallon

Transport Topics September 26, 2022

• Diesel’s fourth consecutive decline — totaling 22.6 cents — pushed the price for a gallon below $4.90 for the first time since it cost $4.849 on March 7.
• Trucking’s main fuel still costs $1.483 more for a gallon than it did at this time in 2021.
• The price of diesel fell in all 10 regions EIA surveys, ranging from a high of 11.4 cents in the Midwest to a low of 3.9 cents in California.

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August intermodal volumes trend up, reports IANA

Logistics Management Jeff Berman September 26, 2022

Through the first eight months of 2022, IANA reported that total intermodal volume—at 12,010,490 units—is down 4.2%. Trailers—at 642,494—are down 21.0%, and domestic containers—at 5,504,843—are up 4.3% annually. All domestic equipment—at 6,147,337—fell 0.9%. ISO containers—at 5,863,153—are down 9%.

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Oakland, Seattle-Tacoma hit by ILWU job slowdowns as deal remains elusive

The Journal of Commerce Bill Mongelluzzo September 26, 2022


Members of the International Longshore and Warehouse Union (ILWU) last week engaged in job actions in Oakland and the Northwest Seaport Alliance of Seattle and Tacoma that slowed down cargo-handling operations and prevented some terminal operators from working night shifts, waterfront sources told JOC.com.
That comes as ILWU leadership and the Pacific Maritime Association (PMA) continue to negotiate a new contract almost three months after the prior deal expired on July 1. The moves are seen as a way for the union to flex its muscle to press the PMA for concessions.

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Schneider to partner with Torc Robotics on autonomous truck pilot

Transport Dive David Taube September 26, 2022

• Torc Robotics is partnering with Schneider National to pilot the tech company’s autonomous test fleet, according to a Sept. 20 press release.
• As part of the pilot, Schneider National will provide Torc with freight loads for its pilot operations to “guide the development” of the robotics company’s autonomous technology and ensure it’s meeting industry needs, according to the announcement.
• The multi-phased agreement includes an initial evaluation by Schneider National of Torc’s technology, followed by system integration and day-to-day commercial operation pilots throughout 2023.

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Amazon Adds Second Prime Member Sales Event in October

The Wall Street Journal Ginger Adams Otis September 26, 2022


Amazon.com Inc. has added another Prime Day-like event to its annual sales calendar.
The retail giant on Monday said its 48-hour “Prime Early Access Sale” will take place Oct. 11-12 for members of its Prime subscription program. The two-day event continues a recent trend of Amazon holding sales events over multiple days to maximize its revenue.
Amazon already offers Prime members a July shopping extravaganza on its annual Prime Day. The company said customers purchased more than 300 million items during its July Prime Day event, which was held July 12-13.
Related: Retail Dive Amazon, Target kick off holiday sales early

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Fleets can pivot to tackle chronic driver turnover

Fleet Owner Cristina Commendatore September 26, 2022

Fellow panelist Leah Shaver, president and CEO of The National Transportation Institute, built her career around focusing on the lifespan of the professional driver—from pre-hire to retire. She pointed out that the carriers who provide training, upskilling, promotional opportunities, and the ability for their drivers to sidestep into different roles within the company succeed in retaining those employees.
Shaver added that the companies who limit their driver workforce to a particular job profile are the most challenged when it comes to seating their trucks.

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Why CEOs From Coca-Cola to Hershey Are Talking About ‘Price Elasticity’

The Wall Street Journal September 26, 2022


Consumer spending has held up relatively well so far despite inflation, but experts say we’re approaching an inflection point. WSJ’s Sharon Terlep explains the role "elasticity" plays in a company’s decision on whether to raise prices. Photo illustration: Adele Morgan

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