The Ontario Trucking Association is reporting what looks to be the start of a banner year in the trucking industry.\u00a0 With 42% of carriers reporting improved volumes this quarter within Ontario and almost half of carriers reported (48%) that volumes to\/from the US increased.<\/p>\n
At the same time, TransCore Link Logistics, a leading provider of freight matching services reported opening the year with never before seen highs in load volumes posted on their network.\u00a0 January was reported to be 47% up year over year.\u00a0 Link also reported that transborder postings were up 65% year over year for shipments originating in Canada and up 42% for shipments originating in the US.<\/p>\n
It doesn\u2019t appear pricing has taken on a dramatic upswing despite the growing freight volumes.\u00a0 However, signs of rising prices are evident with the OTA reporting that 23% of carriers were reporting higher rates in Q1 2014.\u00a0 This is surprising given that the industry has been in a capacity crunch for years.\u00a0 One would expect this number to be much higher.\u00a0 As the market tightens and capacity is further squeezed, it\u2019s likely there will be more upward pressure on pricing in the months to come.<\/p>\n
Diesel fuel costs are back on the rise.\u00a0 After a year of declining prices, the on-highway price of diesel fuel has risen back over $4.00\/US per gallon.\u00a0 If rising freight volumes are the sign of a strong economy, the demand for diesel usually goes up and results in higher fuel prices.<\/p>\n
Based on the economy regaining strength, and excessively positive signs from the trucking industry in Q1 2014, it looks like the industry is in for a busy and profitable year.\u00a0 High freight volumes will inevitably translate into a capacity crunch, allowing carriers a choice of better paying freight, resulting in on average higher rates and better margins for carriers.<\/p>\n
Here at XTL Transport we\u2019re excited about 2014 and have just been listed in Today\u2019s Trucking as #20 on their Top 100 List of the Largest Carriers in Canada.\u00a0 We\u2019re bullish about the future and are standing by to help our customers get their goods delivered safely, on-time and in an economical matter.\u00a0 If you\u2019re experiencing the capacity crunch this year and haven\u2019t tried XTL in the past.\u00a0 We\u2019re here to help you.\t\t<\/p>\n","protected":false},"excerpt":{"rendered":"
Freight Volumes The Ontario Trucking Association is reporting what looks to be the start of a banner year in the trucking industry.\u00a0 With 42% of carriers reporting improved volumes this quarter within Ontario and almost half of carriers reported (48%) that volumes to\/from the US increased. At the same time, TransCore Link Logistics, a leading provider of freight matching services reported opening the year with never before seen highs in load volumes posted on their network.\u00a0 January was reported to … <\/p>\n