JOPLIN, MO — JANUARY 31, 2023 — The truckload market is famous for its boom-and-bust cycles. A downturn in the economy sends the market reeling with too many trucks chasing too little freight. Independent carriers and small fleets, unable to cover their costs in a rate-depressed market, scale back or park their trucks. Then as the economy recovers and freight rebounds, volumes trend up, capacity tightens, and shippers scramble for trucks. It’s a scenario about as regular as spring following winter.
In this second of a four-part series, titled “Fluctuations and Normalcy,” CFI President Greg Orr shares insights and perspectives on this market reality, some tips for shippers on how to weather the storm, and how the CFI team works through market cycles to maintain reliable capacity, collaborating with customers to help them manage the ebbs and flows of their supply chains.
“Truckload carriers play a critical role in supply chain velocity and the reliable delivery of goods, for everyone from a mom-and-pop business to large national corporations,” Orr notes. “With more visibility and understanding of common industry issues, we can all be part of the solution to successfully navigate these challenging cycles typical of an active freight economy.”
The four installments in the series are:
• Capital & Capacity (released January 24)
• Fluctuations & Normalcy (released January 31)
• Oil & Inflation (Scheduled for February 7)
• Relationships & Stability (Scheduled for February 14)
The next video discusses the impact of oil availability as well as overall inflation on truckload carriers. The final video explores the carrier and shipper relationship. The best players are successful at developing trusted, strong relationships that endure through any market by valuing stability with a business partner.
The next chapter in the series will drop on Tuesday, February 7. Go to the CFI newsroom, learn.cfidrive.com to follow along.
ABOUT CFI – CFI is a multifaceted carrier with a balance of asset and non-asset services driving supply chain solutions for businesses across North America. A wholly owned operating company of Heartland Express, Inc. (NASDAQ: HTLD), CFI’s portfolio includes asset-based Truckload and Temp-Control services as well as non-asset-based Mexico services. A staple of shippers, CFI delivers on time, safely as promised. Operations in Mexico combine intra- and inter-Mexico LTL and TL trucking with a robust lineup that includes: transloading, consolidation, deconsolidation, brokerage, and experienced cross-border. With Canada to Panama expertise, at CFI, people drive possibility. For more information, visit: cfidrive.com.
https://learn.cfidrive.com/2023-state-of-industry
