The days when heavy trucks idle away the evening at truck stops and freight yards may be numbered. States and municipalities are cracking down on the practice, and DCs may be forced to follow suit.
Peter Bradley is an award-winning career journalist with more than three decades of experience in both newspapers and national business magazines. His credentials include seven years as the transportation and supply chain editor at Purchasing Magazine and six years as the chief editor of Logistics Management.
Old habits can be hard to break. But if it's a habit of idling a truck engine for hours on end, drivers might not have much choice in the matter. States and municipalities nationwide are cracking down on the practice, adopting new antiidling regulations (20 states now have restrictions) and stepping up enforcement of existing rules. These are no idle threats: Flout the regulations, and you risk a hefty fine.
But drivers risk more than fines if they don't kick the idling habit. They could also find themselves in hot water with their employers. Though they haven't always seemed terribly concerned about the practice, truckers today have become almost fervent in their zeal to minimize idling—and with good reason. Along with the potential legal exposure, they have powerful environmental (not to mention, public relations) incentives to reduce air pollution caused by idling trucks. And with diesel prices approaching a national average of $3 a gallon, their concerns about wasting fuel require no explanation.
For the nation's truckers, reducing idling could have a potentially enormous payoff. A typical long-haul tractor idles approximately 1,830 hours per year, according to the U.S. Department of Energy's Clean Cities program. Every year, U.S. trucks collectively burn more than 800 million gallons of diesel fuel while idling. The cost of that wasted fuel? Close to $3 billion a year.
A war on idling
Given those numbers, it's hardly surprising that truckers of all stripes—private fleets, truckload and less-than-truckload carriers, and small-package carriers—are vowing to cut back on idling. "Reducing idling makes great business sense," says Jim O'Neal, chairman of the Truckload Carriers Conference and president of O&S Trucking in Springfield, Mo. "It is a total waste of fuel and has a high maintenance cost to it. I'm not sure why we've done it all these years." Adds Dan Smith, corporate director of transportation for Smart & Final, a West Coast grocer that runs a private fleet of 55 tractors and 250 trailers, "Keeping idling to a minimum is good for the environment and good for the company."
As for how they're going about it, carriers have taken a variety of approaches. Some, like UPS Freight (the former LTL carrier Overnite Transportation), have chosen the technology route. UPS Freight has programmed its fleet vehicles' engines to turn off after five minutes of idling.
Others have taken what could be termed the behavior modification approach, rewarding drivers for cutting down on idling. Smart & Final, for example, offers additional compensation to drivers who avoid unnecessary idling. Smith reports that the strategy is working well. "Drivers are keyed into that. You rarely drive into one of our facilities and see a tractor idling."
Schneider National, the nation's largest truckload carrier, also rewards drivers for reducing idling time. Dennis Damman, Schneider's director of engineering, says the company asks drivers to idle their trucks only when the outside temperature drops below 10 degrees F. (Idling at low temperatures is necessary because it's difficult to start diesel engines when it is very cold.) Damman reports that the policy has been working. "Last January is a great example," he says. "We had 7,000 trucks that idled less than 5 percent of the time."
Carriers are also working with regulatory agencies to clean up their collective act. To date, well over 300 truckers (and a number of shippers) have joined the Environmental Protection Agency's SmartWay Transport Program. SmartWay, which includes an idling-reduction program, is a voluntary public-private partnership aimed at improving fuel efficiency and reducing greenhouse gas emissions in the freight transportation industry. Schneider National and O&S Trucking are both members of SmartWay, as is national LTL carrier FedEx Freight. "We view that as a commitment to our communities," says Doug Duncan, president of FedEx Freight.
No place for idling
The increase in state and local anti-idling ordinances might seem only peripheral to DC operations, but that's actually not the case. Though the regulations have the most direct effect on truckers, they're likely to have an impact on shipping and receiving operations as well.
Wal-Mart can attest to that. In 2005, the mega-retailer was fined by the Environmental Protection Agency (EPA) for clean air violations caused by idling trucks. In the fall of 2004, EPA inspectors had observed trucks owned by Wal-Mart and by other trucking companies idling for long periods at six different Wal-Mart properties in Connecticut and Massachusetts.
As part of the settlement, Wal-Mart agreed to pay a $50,000 penalty and establish idle-reduction programs at all of its facilities nationwide. The retailer also agreed to notify other delivery companies that idling is not permitted on Wal-Mart property and may violate state or local idling restrictions.
With the settlement behind it, Wal-Mart now prefers to frame its anti-idling initiatives as part of its broader environmental sustainability crusade. By establishing a "no idle" policy for its trucks and retrofitting them with high-efficiency generators, Wal-Mart claims it will save 10 million gallons of diesel fuel each year, reducing carbon dioxide emissions by 100,000 tons. It will also save nearly $26 million, according to company statements. (Wal-Mart officials declined to be interviewed for this story.)
Wal-Mart's initiatives have not gone unnoticed by other DC managers. O'Neal believes the retailer's anti-idling efforts have prompted others to follow suit, adding that he sees more shipping facilities establishing anti-idling rules.
One company that has cracked down on idling at its DCs is Smart & Final. Smith says the company has instructed inbound dry freight carriers not to idle in its yards, although he notes that the grocer makes an exception for temperature-controlled carriers that must run their engines to keep trailer-cooling systems operating.
What DCs can do
When it comes to discouraging idling, DCs have a huge role to play—one that goes well beyond simply handing down anti-idling rules, according to John Gentle. Gentle, the former global transportation leader at Owens Corning and now an independent consultant, believes DCs bear much—if not most—of the responsibility for the idling that takes place on their premises. And while creating anti-idling policies is a good start, Gentle maintains there's much more DCs can do.
To begin with, Gentle urges shippers and receivers to offer decent accommodations for drivers waiting for their trailers to be loaded or unloaded. When drivers are forced to sit in their rigs while awaiting their turn at the dock, they have no choice but to keep their engines running in order to maintain a comfortable cab temperature. That wouldn't be necessary if they had an acceptable place to wait, argues Gentle, who notes that he's seen some pretty small, uncomfortable waiting areas for drivers.
Offering comfortable quarters isn't just good business, Gentle says; it's basic decency. "Quite honestly, if shippers knew what some DCs looked like and how people are treated, they would be offended," he adds. "I'm not saying it's typical, but it is not an unfamiliar conversation."
The other thing DC managers can do, Gentle says, is take a candid look at their scheduling practices. Addressing any scheduling issues is imperative to reducing waiting—and therefore, idling—time. A history of long waiting times is an indication that DC operations are less efficient than they should be, he says. "If you cannot move a driver in and out, that's a problem."
Gentle adds that he doesn't buy the excuse that DCs have little control over what goes on outside their premises. "People say they measure from the time a truck pulls into the gate," he says. "That's a bunch of baloney. If a trucker is waiting two miles up the road to get in, you are kidding yourself."
Duncan of FedEx Freight agrees with Gentle that many DC traffic backups can be traced to scheduling problems. Noting that carriers are often willing to work with customers to improve turn times, he urges shippers experiencing tie-ups to take advantage of their truckers' expertise. Duncan adds that FedEx has found that setting up appointments at shipping and receiving locations can make a big difference in smoothing the flow of traffic.
Keeping their cool
In their zeal to put a stop to idling, state and municipal governments have inadvertently created a dilemma for long-haul truck drivers. What some (though not all) of the regulations fail to consider is that drivers need a way to heat or cool their sleeper cabs during their federally mandated rest periods. In the past, that has generally meant keeping their tractors running all night long. Now, bans in some areas are forcing drivers to choose between violating the law and risking heat exhaustion or hypothermia.
To address the heating and cooling issue, fleets are increasingly turning to technology solutions. They're installing auxiliary power units (APUs), which require only a fraction of the amount of fuel used during idling. Wal-Mart, for example, reports that it installed APUs in its entire fleet last year. According to the EPA, APUs typically consume between 0.05 and 0.2 gallons of fuel per hour, compared to about a gallon per hour for an idling truck.
However, the auxiliary units are costly, which may put them out of reach for many smaller carriers. "The expense is rather large," says O'Neal. "Certainly, the return on invested capital is there, but they are still too expensive."He adds that truck makers are currently developing low-power heating and cooling units that could be specified as original equipment on a vehicle. But he notes that the technology is still four to six years away.
At least one of the major players is searching for a system that doesn't require the use of diesel at all. Damman says that although Schneider has not decided on a technology for cooling tractor interiors without running the engine, it would like to find a battery-operated system. The company currently has 200 tractors in test programs for engine-off air conditioning equipment. "I think in the near future, we will find a cab-cooling solution," he says.
As for what lies ahead on the anti-idling front, carriers are generally optimistic about their prospects for reining in the practice. Duncan, for one, is confident that truckers and their equipment suppliers will succeed in getting better mileage from their equipment and reducing emissions, though he admits that both tasks seem daunting. "We have to do both and we can do both," he says. "If you look at it from a macro level, it looks impossible. You have to do it a piece at a time."
For both truckers and DC managers, the benefits of reducing idling go well beyond regulatory compliance or public relations, says Gentle. It's also good business, he says, citing the potential payoffs in better fuel mileage and more efficient DC operations. "We really need to do a better job of managing the challenge," he adds. "We will have less pollution and better asset utilization. It should really be about that, not the EPA."
"but officer, the sign said the county line was back there …"
The right thing to do shouldn't be the hard thing to do. But for truckers trying to stay in compliance with a vast array of state and local anti-idling ordinances, that's all too often the case.
In the absence of federal rules, the nation has ended up with a crazy quilt of state and municipal regulations, whose time limits, penalties, and exemptions vary widely from city to city and state to state. As things stand now, truckers driving across, say, northern Nevada had better figure out what county they're in before stopping to take a 20minute break. If they're in Humboldt County, they can safely leave the engine running. But if they're in neighboring Washoe County, they'd better turn it off—Washoe County bans idling for more than 15 minutes. (The American Transportation Research Institute maintains a list of state and municipal antiidling regulations as well as a downloadable cab card on its Web site. Visit www.atri-online.org and click on Idling Regulations Compendium.)
Fearing that the confusion would only worsen as more states and municipalities adopted anti-idling regulations, the Environmental Protection Agency (EPA) in 2004 announced that it would develop a model anti-idling law for states to use as a guideline. After soliciting suggestions during a series of public workshops held around the country, the agency unveiled a model law last May. The model, which has no regulatory weight, generally limits heavy-truck engines from idling for more than five minutes. Of particular interest to DC managers, it also prohibits shipping or receiving locations from causing trucks to idle for more than 30 minutes while waiting to load or unload. For a look at the model, visit www.epa.gov/smartway. Click on Idling Reduction, then on State Laws.
Congestion on U.S. highways is costing the trucking industry big, according to research from the American Transportation Research Institute (ATRI), released today.
The group found that traffic congestion on U.S. highways added $108.8 billion in costs to the trucking industry in 2022, a record high. The information comes from ATRI’s Cost of Congestion study, which is part of the organization’s ongoing highway performance measurement research.
Total hours of congestion fell slightly compared to 2021 due to softening freight market conditions, but the cost of operating a truck increased at a much higher rate, according to the research. As a result, the overall cost of congestion increased by 15% year-over-year—a level equivalent to more than 430,000 commercial truck drivers sitting idle for one work year and an average cost of $7,588 for every registered combination truck.
The analysis also identified metropolitan delays and related impacts, showing that the top 10 most-congested states each experienced added costs of more than $8 billion. That list was led by Texas, at $9.17 billion in added costs; California, at $8.77 billion; and Florida, $8.44 billion. Rounding out the top 10 list were New York, Georgia, New Jersey, Illinois, Pennsylvania, Louisiana, and Tennessee. Combined, the top 10 states account for more than half of the trucking industry’s congestion costs nationwide—52%, according to the research.
The metro areas with the highest congestion costs include New York City, $6.68 billion; Miami, $3.2 billion; and Chicago, $3.14 billion.
ATRI’s analysis also found that the trucking industry wasted more than 6.4 billion gallons of diesel fuel in 2022 due to congestion, resulting in additional fuel costs of $32.1 billion.
ATRI used a combination of data sources, including its truck GPS database and Operational Costs study benchmarks, to calculate the impacts of trucking delays on major U.S. roadways.
There’s a photo from 1971 that John Kent, professor of supply chain management at the University of Arkansas, likes to show. It’s of a shaggy-haired 18-year-old named Glenn Cowan grinning at three-time world table tennis champion Zhuang Zedong, while holding a silk tapestry Zhuang had just given him. Cowan was a member of the U.S. table tennis team who participated in the 1971 World Table Tennis Championships in Nagoya, Japan. Story has it that one morning, he overslept and missed his bus to the tournament and had to hitch a ride with the Chinese national team and met and connected with Zhuang.
Cowan and Zhuang’s interaction led to an invitation for the U.S. team to visit China. At the time, the two countries were just beginning to emerge from a 20-year period of decidedly frosty relations, strict travel bans, and trade restrictions. The highly publicized trip signaled a willingness on both sides to renew relations and launched the term “pingpong diplomacy.”
Kent, who is a senior fellow at the George H. W. Bush Foundation for U.S.-China Relations, believes the photograph is a good reminder that some 50-odd years ago, the economies of the United States and China were not as tightly interwoven as they are today. At the time, the Nixon administration was looking to form closer political and economic ties between the two countries in hopes of reducing chances of future conflict (and to weaken alliances among Communist countries).
The signals coming out of Washington and Beijing are now, of course, much different than they were in the early 1970s. Instead of advocating for better relations, political rhetoric focuses on the need for the U.S. to “decouple” from China. Both Republicans and Democrats have warned that the U.S. economy is too dependent on goods manufactured in China. They see this dependency as a threat to economic strength, American jobs, supply chain resiliency, and national security.
Supply chain professionals, however, know that extricating ourselves from our reliance on Chinese manufacturing is easier said than done. Many pundits push for a “China + 1” strategy, where companies diversify their manufacturing and sourcing options beyond China. But in reality, that “plus one” is often a Chinese company operating in a different country or a non-Chinese manufacturer that is still heavily dependent on material or subcomponents made in China.
This is the problem when supply chain decisions are made on a global scale without input from supply chain professionals. In an article in the Arkansas Democrat-Gazette, Kent argues that, “The discussions on supply chains mainly take place between government officials who typically bring many other competing issues and agendas to the table. Corporate entities—the individuals and companies directly impacted by supply chains—tend to be under-represented in the conversation.”
Kent is a proponent of what he calls “supply chain diplomacy,” where experts from academia and industry from the U.S. and China work collaboratively to create better, more efficient global supply chains. Take, for example, the “Peace Beans” project that Kent is involved with. This project, jointly formed by Zhejiang University and the Bush China Foundation, proposes balancing supply chains by exporting soybeans from Arkansas to tofu producers in China’s Yunnan province, and, in return, importing coffee beans grown in Yunnan to coffee roasters in Arkansas. Kent believes the operation could even use the same transportation equipment.
The benefits of working collaboratively—instead of continuing to build friction in the supply chain through tariffs and adversarial relationships—are numerous, according to Kent and his colleagues. They believe it would be much better if the two major world economies worked together on issues like global inflation, climate change, and artificial intelligence.
And such relations could play a significant role in strengthening world peace, particularly in light of ongoing tensions over Taiwan. Because, as Kent writes, “The 19th-century idea that ‘When goods don’t cross borders, soldiers will’ is as true today as ever. Perhaps more so.”
Hyster-Yale Materials Handling today announced its plans to fulfill the domestic manufacturing requirements of the Build America, Buy America (BABA) Act for certain portions of its lineup of forklift trucks and container handling equipment.
That means the Greenville, North Carolina-based company now plans to expand its existing American manufacturing with a targeted set of high-capacity models, including electric options, that align with the needs of infrastructure projects subject to BABA requirements. The company’s plans include determining the optimal production location in the United States, strategically expanding sourcing agreements to meet local material requirements, and further developing electric power options for high-capacity equipment.
As a part of the 2021 Infrastructure Investment and Jobs Act, the BABA Act aims to increase the use of American-made materials in federally funded infrastructure projects across the U.S., Hyster-Yale says. It was enacted as part of a broader effort to boost domestic manufacturing and economic growth, and mandates that federal dollars allocated to infrastructure – such as roads, bridges, ports and public transit systems – must prioritize materials produced in the USA, including critical items like steel, iron and various construction materials.
Hyster-Yale’s footprint in the U.S. is spread across 10 locations, including three manufacturing facilities.
“Our leadership is fully invested in meeting the needs of businesses that require BABA-compliant material handling solutions,” Tony Salgado, Hyster-Yale’s chief operating officer, said in a release. “We are working to partner with our key domestic suppliers, as well as identifying how best to leverage our own American manufacturing footprint to deliver a competitive solution for our customers and stakeholders. But beyond mere compliance, and in line with the many areas of our business where we are evolving to better support our customers, our commitment remains steadfast. We are dedicated to delivering industry-leading standards in design, durability and performance — qualities that have become synonymous with our brands worldwide and that our customers have come to rely on and expect.”
In a separate move, the U.S. Environmental Protection Agency (EPA) also gave its approval for the state to advance its Heavy-Duty Omnibus Rule, which is crafted to significantly reduce smog-forming nitrogen oxide (NOx) emissions from new heavy-duty, diesel-powered trucks.
Both rules are intended to deliver health benefits to California citizens affected by vehicle pollution, according to the environmental group Earthjustice. If the state gets federal approval for the final steps to become law, the rules mean that cars on the road in California will largely be zero-emissions a generation from now in the 2050s, accounting for the average vehicle lifespan of vehicles with internal combustion engine (ICE) power sold before that 2035 date.
“This might read like checking a bureaucratic box, but EPA’s approval is a critical step forward in protecting our lungs from pollution and our wallets from the expenses of combustion fuels,” Paul Cort, director of Earthjustice’s Right To Zero campaign, said in a release. “The gradual shift in car sales to zero-emissions models will cut smog and household costs while growing California’s clean energy workforce. Cutting truck pollution will help clear our skies of smog. EPA should now approve the remaining authorization requests from California to allow the state to clean its air and protect its residents.”
However, the truck drivers' industry group Owner-Operator Independent Drivers Association (OOIDA) pushed back against the federal decision allowing the Omnibus Low-NOx rule to advance. "The Omnibus Low-NOx waiver for California calls into question the policymaking process under the Biden administration's EPA. Purposefully injecting uncertainty into a $588 billion American industry is bad for our economy and makes no meaningful progress towards purported environmental goals," (OOIDA) President Todd Spencer said in a release. "EPA's credibility outside of radical environmental circles would have been better served by working with regulated industries rather than ramming through last-minute special interest favors. We look forward to working with the Trump administration's EPA in good faith towards achievable environmental outcomes.”
Editor's note:This article was revised on December 18 to add reaction from OOIDA.
A Canadian startup that provides AI-powered logistics solutions has gained $5.5 million in seed funding to support its concept of creating a digital platform for global trade, according to Toronto-based Starboard.
The round was led by Eclipse, with participation from previous backers Garuda Ventures and Everywhere Ventures. The firm says it will use its new backing to expand its engineering team in Toronto and accelerate its AI-driven product development to simplify supply chain complexities.
According to Starboard, the logistics industry is under immense pressure to adapt to the growing complexity of global trade, which has hit recent hurdles such as the strike at U.S. east and gulf coast ports. That situation calls for innovative solutions to streamline operations and reduce costs for operators.
As a potential solution, Starboard offers its flagship product, which it defines as an AI-based transportation management system (TMS) and rate management system that helps mid-sized freight forwarders operate more efficiently and win more business. More broadly, Starboard says it is building the virtual infrastructure for global trade, allowing freight companies to leverage AI and machine learning to optimize operations such as processing shipments in real time, reconciling invoices, and following up on payments.
"This investment is a pivotal step in our mission to unlock the power of AI for our customers," said Sumeet Trehan, Co-Founder and CEO of Starboard. "Global trade has long been plagued by inefficiencies that drive up costs and reduce competitiveness. Our platform is designed to empower SMB freight forwarders—the backbone of more than $20 trillion in global trade and $1 trillion in logistics spend—with the tools they need to thrive in this complex ecosystem."