All articles tagged with #freight
FedEx executives said demand remained resilient, with strength in premium segments and shipments converting into repeat revenue, while inventory restocking continues. They also highlighted AI and data-center spending as a rapidly scaling growth driver, suggesting AI capex is broadening and supporting upside for the global economy despite shocks.
Amazon announced a full-scale Less-Than-Truckload (LTL) service open to third-party shippers, moving from inbound-only to a hub-and-spoke pallet-delivery network with next-day pickup, same-day drop-trailer options, and real-time tracking. The expansion, under Amazon Freight within Amazon Supply Chain Services, broadens offerings to non‑Amazon shippers and could position Amazon as a freight broker rather than an asset-based LTL carrier, potentially disrupting traditional carriers and shifting competition toward freight brokers like C.H. Robinson and Echo Global Logistics.
A diesel price surge threatens to lift costs across the U.S. economy and freight networks, potentially shaping voter sentiment before the midterms as prices approach record highs driven by Iran-related disruption; the White House frames it as a temporary spike, but analysts warn elevated diesel costs will linger in supply chains, impacting trucking, farming, and consumer prices.
Rising diesel prices—about 41% since the Iran-related conflict began to an average near $5.38 a gallon—are crushing cash flow for small owner-operators who pay the fuel bill and lack automatic surcharges, while many long-haul carriers shielded by contracts and hedging see steadier profits; with a post-pandemic oversupply and volatile spot rates, some independents are parking rigs as freight demand remains uncertain, even as a few survivors tighten budgets and push back on unprofitable loads.
A surge in diesel prices driven by Iran’s conflict and the near-cessation of shipping through the Strait of Hormuz is squeezing small operators and potentially lifting inflation. While big carriers can shrug off costs via surcharges, independent truckers face tighter margins, delayed repairs, and pressure to raise freight rates, with broader risks to groceries and the economy if prices stay elevated.
The Mark W. Barker freighter hauling salt lost propulsion and ran aground near Belle Isle in the Detroit River. The United States Coast Guard reported that the freighter is stuck in dirt or mud, but it is a "soft aground."
FedEx Freight is set to close 29 locations and consolidate its operations into other locations effective August 13, with another round of furloughs for some employees beginning at the end of May. The company did not disclose which locations would be affected. FedEx Freight will remain a stand-alone company and continue to provide less-than-truckload freight transportation services. The cost-cutting decisions come as the logistics giant looks for greater savings due to decreasing demand and high operating costs following a series of disappointing quarterly earnings reports.
FedEx Freight is closing 29 locations and consolidating operations into other locations, effective August 13, 2023, as part of its efforts to adapt to an evolving global business environment and improve customer service levels while lowering its cost to serve. The company is also enacting an additional furlough for certain job classes beginning May 28, 2023, and eligible employees will be offered permanent transfer opportunities to other markets that have hiring needs. This is a temporary workforce adjustment, and all furloughed employees will be recalled on or before August 25, 2023.
FedEx Freight is set to close 29 locations and consolidate its operations into other locations effective August 13, while also beginning another round of furloughs for some employees at the end of May. The company did not disclose the locations set for closure. The latest round of furloughs will begin on May 28 and will impact a small percentage of total FedEx Freight employees. The cost-cutting decisions come as the logistics giant looks for greater savings due to decreasing demand and high operating costs.