LTL - or less-than-load - freight has been increasing across North America in recent years due to an increase in e-commerce, the capacity crunch, the driver shortage, and numerous other factors. It is unlikely that these factors will change much in 2019, meaning demand for LTL freight is expected to rise. However, competition is minimal in the LTL industry, with a few major players occupying more than 90% of the space. Increased demand with limited competition may lend itself to rapidly increasing rates in 2019.
It is important that companies within the logistics industry know the signs that LTL rates are going up so they can better prepare themselves and their supply chain partners. So what signs should we be looking for?
Signs of LTL Rate Hikes