Transportation TIP List: Week of December 2nd, 2018
With Hanukkah starting this week and Christmas and Kwanzaa a few weeks away, we hope you are well underway on your holiday wish list. We’ve also been making a list and checking it twice – of the biggest trending transportation topics that you need to know, from the signing of the USMCA to the impact of the holiday retail shopping season on trucking. Read on for a little industry holiday cheer!
- U.S., Mexico and Canada Sign Pact to Replace NAFTA: Last week the U.S., Mexico and Canada took a step toward easing commercial tensions in the region, as leaders of the three countries signed a new pact called the United States-Mexico-Canada agreement (USMCA), overhauling and updating the quarter-century-old free-trade agreement, NAFTA.
- Retail Federation Says Trucking Industry Has Enough Capacity to Meet Holiday Demand: The NRF recently noted that the 2018 holiday shopping season is off to an excellent start, and the tight capacity of the trucking industry is not an impeding factor so far, as retailers have more than enough inventory in stock to carry them through the end of the year.
- U.S. Spot Truck Rates Rising in Retail-Rich Lanes: With Thanksgiving and Black Friday sales in the rearview mirror, trucking activity should be winding down. 2018 has shattered trucking spot market number projections and there are signs rates can still increase more by the end of year.
- Companies Go for IoT: According to Forrester, companies will spend $434.9 billion to design, plan, build and run IoT solutions by 2023, up from $186.1 billion in 2017. The research company predicts that inventory and supply chain management will be the largest use case with the market growing at a 20.2% CAGR and reaching $113.5 billion by 2023.
- FTR’s Shippers Conditions Index Sees Ongoing Moderate Signs of Improvement: For September, the most recent month for which data is available, the Shippers Conditions Index was -7.6, marking a 1.2-point improvement over the -8.8 reading recorded in August.
What’s topping your list of holiday transportation trends this week?