Posts Tagged ‘freight rates’

Trailer trucking tourists go for a ride!

Friday, May 28th, 2010

Have you ever wondered what it’s like to travel across North America in a trucking transport? Maybe you have always wanted to experience the trucking life that you have heard about from your trailer trucking friends? It could be as simple as you wanting to experience the open highway from the cab of a big rig taking a load of freight to a destination thousands of miles away.

If this is you? You should probably give fellow Welshman John Rogers a call or check out his business idea called “See It By Truck”, which he came up with after taking a trip with a friend that works in the trucking services industry of North America. John was in Vanderhoof, a small town only a few kilometres from my home town of Prince George, British Columbia a few years ago, after just completing an 11,000 mile trip in the company of his friend that inspired him to begin his business.

Three years later John Roger’s inspiration is still in the beginning stages of being a business idea that might in a few years be an idea that could be paying owner operators as much as 35 cents a mile in order to take interested individuals along with them on their adventures on the open roads of North America.

Does this sound like something that could interest you as an owner operator of one of North America’s trucking transports? Would you like to maybe take a look at what the idea might be able to offer you? Check out “See It By Truck.com, for information on John Roger’s business idea and to see how you can take advantage of an opportunity that could provide you as an owner operator with a little more income.

Looking for Space for Freight, The price of the business of freight, freight carriers, freight rates

Friday, April 16th, 2010

It appears there’s a crisis of sorts that has freight carriers dealing with unusually high air freight rates and a lack of available capacity for the demand for services. The crisis has some freight carriers looking under every available rock for another solution that costs a little less and allows them to get customers freight to destination in a more reliable and cost efficient manner. Freight forwarders and shippers have to get real creative in finding alternatives that in many cases are apparently including both sea and air freight options in order to find the best solution. This of course isn’t a surprise, since companies will do whatever is necessary in order to get the job done as efficiently and profitably as possible.

Things appear to be pretty chaotic at times lately in the freight markets around some parts of the world and this of course makes it difficult to accurately predict the future. If the air rates continue to be high and ocean freight capacity difficult to find for shippers though, it is probably going to make the job of some freight forwarders and shippers more difficult. Also, if demand exists to move freight the price isn’t going to be important for some shipments as others and the volumes of some type of freight are probably going to increase more than others. This is going to make some types of freight more attractive for companies and they might certainly look at more long term contracts with high volume freight less worried about the cost of transport.

http://www.ifw-net.com/freightpubs/ifw/ind…20017766232.htm

Feb. New Class 8 Truck Sales Up 20% from Jan, Still 24% Down from Feb 2009 Levels

Friday, April 2nd, 2010

Sales are still not good for new truck dealers, and that’s continued good news for freight carriers who are interested in expanding their fleet. Class 8 truck sales were up in February by 20% over January; that’s good news, but given the lame numbers from January, that’s a left-handed complement on a par with “He runs well for a catcher.”

Measured year-to-year, new truck sales were down a roughly a quarter from February 2009 (7628 versus 10,064); that’s not good news when you note that a year ago was in the teeth of the recession and lenders were shaking in their boots after overextending credit in the years leading into the Black September meltdown of 2008. A shaky recovery has started since then and lenders are not quite reaching for the Depends like they were last winter.

However, the used truck market is in a buyer’s market given the amount of bankruptcies in the trucking transport industry. New emission standards for 2010 have also raised the prices of new trucks, so a combination of higher prices and a glut of good used-truck substitutes have driven the demand for new trucks down.

The good news for trucking service firms is that it’s going to be easier to get good used trucks, lowering your cost of replacing trucks or expanding your fleet. New truck dealers might be looking to drop prices in order to start moving inventory as well. The bad news is that your competitors or new entrants can buy those trucks cheap as well, leading to continued downward pressure on freight rates.

Source: http://www.thetrucker.com/News/Stories/201…hlyaverage.aspx

WTSA Recommends a General Rate Increase, The change price of container services

Tuesday, March 30th, 2010

After a terrible 2009 we’re finally into 2010 and with freight volumes going up slightly in the first part of 2010, along with freight rates, things are starting to look a little better for freight carriers using container shipping services from the United States to Asia.

This is great news for an industry that has had to deal with one problem after another, but it’s only a small improvement and we need to control our responses to the upturn in business. The improvement in the numbers could just be a temporary thing and we need to keep our responses to the improvement in the numbers well measured.

Just as we’re starting to get a little excited about the improvement in the freight carrier business news comes in that the Westbound Transpacific Stabilisation Agreement (WTSA) has decided that freight rates still need to be increased in order to help freight carriers deal with the problems they’re experiencing. The Transpacific Stabilisation Agreement members include APL, Cosco, Evergreen, Hanjin, Hapag-Lloyd, Hyundai Merchant Marine, K Line, NYK, OOCL and Yangming.

According to the WTSA freight carriers continue to head into the red as we head further into 2010, despite the increase in freight volumes and the present freight rates, and a further rate increase is necessary to help companies try to stay afloat.

This decision by the WTSA isn’t surprising since companies are continuing to loose money with the present rates that are being charged and a firm won’t be in business long if it keeps losing money. Companies need to make a profit and the price of freight services will have to be set at a level that allows firms to make a profit.

http://www.ifw-net.com/freightpubs/ifw/ind…tid=20017752615

Trucking Transport Improving in Canada, Canadian trailer trucking industry

Tuesday, March 30th, 2010

The last twenty months has been chaos for a Canadian transport trucking industry that has had to deal with unstable freight rates for trucking transport, but there are reports by Canadian agencies tasked with watching over the freight industry in Canada think that things could be starting to return to normal and freight rates could start being a little more stable as we head further into 2010. The latest figures indicate according to some freight industry experts that the Canadian freight trucking industry has made it through the worst part of the recession. Hopes are that the recession is over and the improvement in the numbers isn’t just a temporary event and that we’ll get to win back some of the losses that we all have seen during the past twenty months of financial instability.

This is great news for the Canadian trucking industry and the freight industry as a whole if the experts are right and the recession is starting to lessen and we can expect the numbers to begin to get better. Stable prices for transporting truck freight is going to give customers and freight carriers more confidence that things are finally beginning to turn around in the freight industry and business around the world as a whole. This could mean firms are going to be willing to spend a little more to build business, which is going to make business even better.

If the price of trucking transport continues to be chaotic though, things are going to get even tougher for some firms in the Canadian trucking industry that are already close to the financial edge. The longer we spend in recession, the more trucking firms are going to head into the red on the accounting sheet and the more losses we are going to see.

http://www.ctl.ca/issues/story.aspx?aid=1000360715

Baltic Dry Futures Contract Proposed by LME, Baltic Exchange Cool to Proposal, freight rates, freight carriers

Thursday, March 25th, 2010

The Baltic Dry Index is a commonly-used measure of bulk shipping rates; if the London Metals Exchange gets its wish, it will be trading BDI futures in the near future, giving freight carriers and their customers a more transparent way to hedge their shipping costs. However, the parent company of the BDI, the Baltic Exchange, has a profitable business arranging ad-hoc forward contracts between shipping firms and clients and is rather cool to the idea.

Forward contacts are a bit like futures in that they are locking in a price for a transaction in the future, except that they’re generally custom-made between parties (banks often offer foreign currency forward contracts to customers) and don’t have the transparency of an exchange-traded futures contract. Direct participants can use the Baltic Exchange’s forward contracts, but other parties that have a stake in freight rates might be interested in the LME’s futures contract.

For now, the Baltic Exchange is happy to be doing their freight forward contracts and making a nice profit being the middle-man for the deals; the proposed partnership with the LME has been turned down to date.

It may be up to the financial regulators in Britain and the EU to determine whether a shotgun marriage between the Baltic Exchange and the LME is needed; regulators are a bit spooked by ad-hoc “over the counter” derivatives and may look to make the market a bit easier to regulate. Current customers may lose out on the customized nature of forward rates, so their will be parties with vested interests on both sides of the issue.

Source: http://online.wsj.com/article/SB1000142405…ies_LEFTTopNews

Trucking in Europe Tough Business, European trucking transport, freight rates, trucking services

Wednesday, February 10th, 2010

The European trucking services industry has been heading down a dark and unknown tunnel the past thirteen months but a light has finally appeared ahead in the darkness that drivers are hoping will take them to their destination.

The past year has been a tough road for European trucking firms as agencies report that freight volumes were down about 30 percent in 2009. This in turn has resulted in over 200 percent increase in firms deciding to park their trucks for the last time and close the doors. The competitioin between firms vying for the business of the available customers who do want freight to be moved and other factors has lead to a decrease in freight rates at the same time.

Europe is a big place with lots of boundaries and geographical areas with varying needs for freight movements that in combination with the drop in freight being moved has resulted in varying conditions existing in different regions of Europe. Countries with trucking industries that are still young in comparison to older and more established markets have had a tougher time during the financial crisis.
The French freight industry has been going through a really rough spell that has been made worse by the French governments decisions during the crisis. Over in the United Kingdom, Ireland’s freight industry has had a toughest time dealing with the crisis, while Britain has faired pretty well. At the present moment the only direction appears to be up for the European freight industry, at least that’s the hope.

Companies in the trailer trucking industry have had to make the normal moves to deal with the financial crisis and lack of business during the recession. They have reduced the percentage of their fleet in operation and this has resulted in drivers losing work and they have decreased the number of suppliers they deal with in many cases. A few firms have even had to liquidate equipment in order to keep the doors open, which is going to cost them down the road when the industry rebounds and they want to put more trucks on the road.

The European freight industry has also seen the normal contractions in the industry during a recession that has resulted in smaller companies going bust or being consumed by bigger companies with big appetites. This of course means that customers have less choice in the firms they can hire to move freight and less freight capacity could mean during times of increased need that customers will suffer the consequences.

Industry experts in Europe think the container trucking industry in Europe could be about to get around the corner of the street of recession they have been on. Hopefully, this is the case and the effect trickles down to the trucking transport industries of other geographical regions of the world.

http://www.bharatbook.com/Market-Research-…ht-Outlook.html
http://www.transportintelligence.com/marke…eight-2008/221/