Trucking
Transport Topics Dan Ronan July 19, 2023
UPS Inc. and the International Brotherhood of Teamsters jointly announced July 19 that negotiations between the two sides for a new labor contract for unionized workers will resume the week of July 24. No specific date or location has been announced, but the
two sides said decisions on those details will be made soon.
“This is very positive. We don’t know what the reason was for this positive development, but it’s much better than posturing and not talking to each other with the deadline looming at the end of the month,” said Paul Bingham, director of transportation consulting
with S&P Global Market Intelligence. “It’s better for everyone involved if they are going to work towards a resolution of the contract — I don’t know how you can view it any other way. This is a very positive development.”
Transport Dive Larry Avila July 19, 2023
• J.B. Hunt Transport Services reported plunging Q2 revenues, with executives blaming an 18% YoY drop on a persistently weak freight market during an earnings call Tuesday. The company reported revenues of $3.13 billion, down from $3.84 billion a year ago.
• The carrier reported YoY volume declines across all segments. J.B. Hunt logged a 7% drop in intermodal while its integrated capacity solutions business fell 26%.
• Company President Shelley Simpson said Q2 marked the second consecutive quarter that the trucking industry was dealing with a freight recession. And based on current economic conditions, a normal freight peak in the second half of the year appears unlikely,
said EVP and President of Highway Services Brad Hicks.
The Journal Of Commerce Ari Ashe July 19, 2023
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North America’s largest domestic intermodal provider said in its second-quarter earnings release Tuesday that June’s volumes were down 4% from June 2022, which showed a slowing in the year-over-year deficit compared with May’s 8% decline.
For the second quarter as a whole, J.B. Hunt’s volumes were down 7% from second-quarter 2022.
Darren Field, president of the company’s intermodal division, said June’s results were a positive, but cautioned it is too soon to draw any conclusions on the direction of the market.
“While we are hesitant to suggest the presence of any green shoots [in demand], we saw evidence from customers in June that the destocking trend has moderated,” Field said on J.B. Hunt’s Q2 earnings call Tuesday.
Shippers/3PLs
Retail Dive Daphne Howland July 19, 2023
“The impact of a supply chain disruption is no longer an academic exercise,” RILA said on Wednesday. “We need only look in our rear-view mirror to see the economic and consumer harm that resulted from supply chain bottlenecks and delays that rippled throughout
the economy post pandemic. Having worked through these challenges methodically over the past two years, retailers are loathe to stress-test contingency plans again.”
Government/Safety/Sustainability
Freight Waves John Kingston July 19, 2023
“If you get away from California and start getting into America’s heartland, where some of these states are already ranking high in the adoption of advanced diesel trucks from our recent analysis, you have to wonder whether they’re going to have a supportive
ecosystem and infrastructure,” Schaeffer said during his Drilling Deep appearance.
The agreement between the OEMs and CARB signed earlier this month, Schaeffer said, “raises some questions.”
The deal between the two parties does not slow the calendar for full ZEV adoption in California. But it did see CARB withdrawing its own regulations on NOx emissions, which called for stricter standards beginning next year, in favor of adopting the tighter
federal standards that go into effect in 2027.
“I think California was out on a limb in terms of the timing of their NOx standards and some other provisions that just were not in line with the Clean Air Act,” Schaeffer said. States that have declared their intention to go along with what California intends
to do through its Clean Truck and Clean Fleets rules will now find that on NOx, “California is not going to be different.”
Workforce
Freight Waves Grace Sharkey July 19, 2023
The trucking industry has recently witnessed a steady rise in the number of women venturing into careers traditionally dominated by men. However, industry misconceptions continue to discourage generations of women from participating, making recruiting and retaining
women a concern for fleet operators.
On Wednesday during FreightWaves’ Enterprise Fleet Summit, Jennifer Hedrick, the president and CEO of the Women In Trucking Association, shed light on these challenges.
One of the primary misconceptions surrounding the industry is that truck driving does not offer the flexibility required by women with family responsibilities. Hedrick challenged this notion by highlighting the evolving landscape of the industry — including
positions that offer regional or local routes.
“There is still this perception that if you are an over-the-road driver, you are gone for long periods of time. … There are a lot of driving careers where women can leave in the morning and return in the evening to fulfill all the responsibilities that they
need to handle,” she said.
She believes it’s important to present a more accurate portrayal of the diverse range of driving opportunities available to women.
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