Topics: Carrier Solutions, Transportation Industry, Newsletters, Trade Policies, Economic Shifts
We’re no fools. We know the tariff tit for tat will continue throughout April (and perhaps the next four years). So we’re not going to focus the entire newsletter on tariffs. There will be plenty of tariff talk next month and the next …
Trust Cass Information Systems to keep carriers informed about everything that’s happening in the freight industry, from nuclear verdicts to leadership changes, from freight recession remedies to legislation fighting cargo theft.
Tariff Worries Send Freight Rates Higher
Trucking Dive reported flatbed trucking rates have surged over the last month as steel and lumber shippers rushed to stockpile inventory amid tariff uncertainty. It cited DAT Freight & Analytics, which said a six-week increase in rates led to the highest flatbed pricing to start a year since 2017.
“The tariffs and their effects on flatbed freight are a wild card,” Dean Croke, DAT’s principal analyst, told Trucking Dive. “The timing, the types of freight involved, and the posture of the U.S. are still uncertain for commodities that move on flatbed trailers.”
President Donald Trump may be softening his stance on tariffs, saying they now will be more “lenient than reciprocal.” CNBC said that shift “could soothe investors worried a global trade war will slow down the U.S. economy.”
Court Cuts $462M Judgment in Wabash Trailer Case
A U.S. Circuit Court has slashed a $462 million verdict against trailer manufacturer Wabash National to $119.5 million.
The verdict stems from a May 2019 fatal crash in which a passenger vehicle hit the rear of a 2004 Wabash trailer being pulled by a truck operated by the now-shuttered GDS Express. The National Highway Traffic Safety Administration upgraded its safety standards for rear underride protection in July 2022. Wabash maintained that the trailer was manufactured in compliance with existing regulatory standards.
“Wabash stands firmly behind the quality and safety of its products, and this ruling will not prevent the company from continuing to provide its customers with products that contribute to safer roads,” the company said in a statement.
ZBN Transport, Amazon Sued Following Texas Crash
A survivor of a 19-vehicle wreck involving a tractor-trailer on Interstate 35 in Texas has sued Amazon Logistics, ZBN Transport, and the semi driver for damages in excess of $100 million.
Five people died in the March 13 crash in Austin. According to the complaint, the truck driver never applied the brakes and “slammed into car after car after car, unleashing destruction across the highway.”
Attorney Bradley Beckworth told FreightWaves the accident was “completely avoidable. Amazon and ZBN Transport used a driver who had multiple moving violations and had several violations for exceeding his allowable driving time limits in the week before this tragedy. And, he failed six different drug and intoxication tests after the wreck. These defendants needlessly endangered our entire community.”
FMCSA Leadership Already Changing
President Trump has nominated Derek Barrs, a former Florida Highway Patrol chief, to lead the Federal Motor Carrier Safety Administration (FMCSA).
Barrs has more than 30 years of experience in law enforcement, has served on the American Trucking Associations (ATA) Law Enforcement Advisory Board since 2021, and has been an active member of the Commercial Vehicle Safety Alliance.
Barrs’ nomination comes after the abrupt departure of Adrienne Camire, who only served two weeks in the role. The FMCSA “scrubbed the acting administrator from its leadership page without explanation,” according to Trucking Dive.
“Regardless of why Camire left, industry interests got what they wanted with Barrs’ nomination,” Trucking Dive said. “The American Trucking Associations, the Truckload Carriers Association, and the National Tank Truck Carriers lobbied for the pick, citing his ‘extensive leadership in commercial enforcement’ in a Jan. 28 letter to Transportation Secretary Sean Duffy.”
Small Carriers Share Remedies to Market Pressures
Representatives of small carriers took the stage at the recent Truckload Carriers Association convention to share how they’ve weathered the freight recession.
Graig Morin, co-founder and president of Brown Dog Carriers, said the Maine-based business has worked on lowering operational costs — improving idle time, switching insurance companies for lower rates, keeping office staff to a minimum, and working with its truck supplier on fixed costs.
Amber Edmondson, president and CEO of Trailiner Corp., said the Missouri company is holding on to equipment longer while investing in technology.
“I do think that technology can help level the playing field from a small carrier perspective because the large carriers have a lot more resources than we do, and technology opens up some opportunities for us to do more with fewer people,” Edmondson said.
The Commercial Carrier Journal (CCJ) reported that Bob Costello, the ATA’s chief economist, said at the convention that carriers have been telling him that the freight recession has been the toughest economic environment they’ve experienced.
“The Great Recession was like ripping off a Band-Aid. It hit hard, but it happened in less than a year,” Costello said. “This downturn lasted a lot longer than we’re normally used to seeing. You had rate proxies fall more during this period than we’re used to seeing in percentage terms, but … at the same time, your volumes were down, your rates were down, your costs continued to go up for the macro economy.
“That’s what we call stagflation,” he said. “It is the worst place to be, but that’s exactly where you’ve been.”
Costello expects the freight economy to slowly grow in 2025 and 2026, but also foresees more carriers exiting the market.
‘Great Disconnection’ Between Drivers and Carriers
Carriers Edge CEO Jane Jazrawy says there is a “Great Disconnection” between drivers and carriers.
She advised carriers to talk to drivers rather than rely on camera coaching, according to CCJ reporting. “It’s not just about performance. A driver is not the sum of his dashcam footage. A driver is a human with his own (motivations and goals). You talk about the person, not the job,” Jazrawy was quoted as saying.
A Carriers Edge study showed that 45% of drivers feel they’re just a number and often ignored and undervalued.
“Open communication fosters trust and helps drivers feel heard,” CCJ said. “Regular check-ins, performance discussions, and constructive feedback sessions can lead to better engagement and a strong relationship between drivers and management. More importantly, they gain valuable insights into challenges, safety concerns, and workflow inefficiencies, all insights that no camera can fully capture.”
Coyote Founders Launch TMS to Help Fleets Scale
The founders of Coyote Logistics have launched a cloud-based, cloud-delivered transportation management system (TMS) designed to help fleets scale.
UPS acquired Coyote in a $1.8 billion deal in 2020. UPS sold the business to RXO last year for $1.02 billion.
Mastery Logistics Systems’ MasterMind TMS reportedly “integrates systems, workflows, and data into a single platform to help fleets boost brokerage efficiency, doubling shipment volume without increasing headcount; eliminate manual processes, saving dozens of hours per week on load building and execution; improve asset management with equipment visibility; and scale with AI-driven automation and optimization.”
Arkansas Cracking Down on Cargo Thieves
The Arkansas Legislature has passed a package of bills targeting organized retail crime, including cargo theft.
“The industry saw unprecedented levels of cargo theft last year, up 27% from the previous year and a 1,500% increase since 2001,” said Arkansas Trucking Association President Shannon Newton. “These laws demonstrate that Arkansas lawmakers understand the economic threat organized retail crime and cargo theft pose to our industry and all consumers. The success of this organized retail crime package demonstrates what can be achieved when policymakers, industry stakeholders and officials like Attorney General [Tim] Griffin work together.”
Among the bills signed into law was SB 301, which creates an enhanced sentence of up to 10 additional years in prison for those convicted of cargo theft.
15 Electric Volvo Trucks Deployed at California Ports
Tradelink Transport has deployed 15 Volvo VNR Electric trucks for drayage operations at the ports of Los Angeles and Long Beach.
CCJ said the electric trucks strengthen Tradelink Transport’s “ability to serve its customers while advancing its sustainability goals and paving the way for cleaner port drayage operations.”
Peter Voorhoeve, president of Volvo Trucks North America, said Tradelink Transport’s deployment of the VNR Electric vehicles “stands as a true example of how visionary fleets can lead the charge in electrification and help their business reach their sustainability goals while elevating operational efficiency.”
Transflo Extends AI Tool to Carriers
Transflo has launched an AI-powered workflow automation platform designed specifically for carriers.
Transflo says the platform reduces invoice lag, enhances operational efficiency, eliminates manual data entry, accelerates speed to cash, and provides carriers with back-office automation.
The company developed the tool and trained AI with millions of loads that passed through its system for freight brokers.
Kroger Fights Albertsons Lawsuit Over Failed Deal
Kroger’s planned acquisition of Albertsons was derailed late last year because of antitrust concerns. Albertsons then sued Kroger for billions of dollars, including a $600 million deal termination fee. Now Kroger is fighting back, alleging that the lawsuit is an attempt to give “Albertsons the cash it desperately needed to survive.”
Kroger ranks No. 26 on the Transport Topics Top 100 list of the largest private carriers. Albertsons sits in the No. 42 spot.
An Albertsons spokesman said Kroger’s “weak claims” are a tactic to distract from its failure to carry out its contractual obligations and avoid paying damages.
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