Truckload Linehaul Rates Stabilize, Intermodal Rates Continue Strength

Truckload line haul rates may finally be ready to turn around for the better following recent declines while intermodal rates continue their recent improvements, according to two new reports.

The Cass Truckload Linehaul Index for April increased from the same time a year ago. Despite this gain, the reading is virtually unchanged from the month before but it at its highest level since January.

According to Donald Broughton with Broughton Capital, who provides analysis of the reports, pricing for trucking appears to be stabilizing.

“After being negative for 13 months in a row [in terms of] year-over-year comparisons, April's Cass Truckload Linehaul Index increased 1.3% year-over year to 124.6,” he said. “April's pricing, while promising, was sequentially flat versus March and is still negative, down 1% versus April of 2015.”

Broughton's pricing forecast for 2017 remains in a range of between a 1% decline to a 2% improvement, as the current strength being reported in spot rates is leading him to believe contract pricing rates should move back into positive territory by the end of the year.

The Cass Truckload Linehaul Index measures market fluctuations in per-mile truckload pricing that isolates the linehaul component of full truckload costs from others, such as fuel and accessorials, providing a reflection of trends in baseline truckload prices.

Meantime, the latest data points for the Cass Intermodal Price Index show total intermodal pricing rose 2.7% year-over-year in April to a reading of 133.1 after March's 4.8% increase. Despite this gain, the April reading fell 1.7% from March, which was the index's highest level since April 2014.

April marked the seventh consecutive month of year-over year increases, but suggests that pricing momentum is slowing, according to Broughton.

He expects intermodal rates to continue to show better strength in 2017 than was achieved in 2016, “as the price of diesel fuel has recovered from ...Read the rest of this story

Bicyclists Were the Original Advocates for Good Roads

Rutted dirt was the rule on rural roads, like this one in Arizona. Rains made them muddy quagmires. Tall wheels with narrow tires worked well in these conditions. Photos: America on the Move

“Infrastructure” was once an arcane word known to civil engineers and not many other people. But it has recently worked its way into news stories and, more importantly, into the language of lawmakers, especially those in the U.S. Congress.

Something may well come out of this new interest, and the realization that crumbling concrete and rutted asphalt ain't the modern and efficient way to go (not to mention aging water mains, sewers, electrical grids, capacity strapped rail lines, and everything else that makes a 21st Century civilization function).

In more primitive times, travel by carriage and freight wagon — forerunners to today's cars, trucks, and tractor-trailers — usually meant fighting deep ruts and being mired in mud because most streets and roads were bare dirt. Exceptions were cobblestone and wood-block streets in major cities, privately operated turnpikes paved with wooden planks, logs (known as corduroy) or crushed stone (macadam), and the National Road (the first federally funded highway, dating to 1817.

In cities, copious amounts of horse and mule manure lay about, generating stench and drawing flies that upset the sensibilities of ladies and gentlemen. Women and sometimes men carried perfumed kerchiefs to mask the odor, and it's likely that respiratory diseases were a more serious result.

Most travel of any distance was by train, as the railroads quickly expanded to meet demand and capture healthy and lucrative business from shippers and passengers. But people wanted more freedom.

By the 1920s, a Good Roads movement pressured local, state and federal politicians to raise money and make major improvements, including grading and paving, and marking and mapping road networks. Major corporations like General ...Read the rest of this story

Pre-Filters Keep Filters Cleaner for Longer

FreedomAirFilters.com has released a new quick install pre-filter pair for Kenworth T880 trucks.

The pre-filters are designed to offer protection and extended filter life without drilling, gluing, or removing the intake grilles. The pre-filters are designed to fit over the factory plastic intake grilles and the kit comes with retainer clips for a faster installation.

Pre-Filters keep out larger particles of debris such as grain chaff, dirt, and sand from getting into and clogging the air filter element. By keeping out the large particles, air filters stay cleaner for longer, improving performance and fuel economy.

The pre-filters are treated with a hydrophobic water repellent process which helps keep out rain, ice, and snow. They are reusable and can be cleaned with soap and water.

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FMCSA Yanks Minimum Insurance Rulemaking

Photo: FMCSA

More than three years after launching a rulemaking to increase minimum insurance requirements for trucking, the Federal Motor Carrier Safety Administration is dropping the effort because it says it has not collected enough information to warrant going forward.

The agency had first announced back in April 2014 that it was issuing an advance notice of proposed rulemaking to consider whether it should increase the financial responsibility for motor carriers, freight forwarders, and brokers. FMCSA noted that it is authorized to establish minimum insurance levels for motor carriers at or above the minimum levels set by Congress.

FMCSA had been seeking public comment on whether to exercise its discretion to increase the minimum levels and, if so, to what levels. “After reviewing all public comments to the ANPRM, FMCSA has determined that it has insufficient data or information to support moving forward with a rulemaking proposal, at this time,” the agency stated in a notice that will be published in the Federal Register for June 5.

In the ANPRM (Docket No. FMCSA-2014-02110) issued in 2014, the agency stated it was “considering a rulemaking that would increase minimum levels of motor carrier financial responsibility for bodily injury or property damage and sought information in connection with that potential rulemaking.”

Specifically as to motor carriers, the ANPRM sought public comment on a series of questions addressing the following matters:

FMCSA also said at the time that it would be asking “several questions related to broker/freight forwarder financial responsibility as it continues to implement Section 32918 of the Moving Ahead for Progress in the 21st Century (MAP-21) Act” highway bill, which became law back in 2012.

In addition, the ANPRM sought answers to questions pertaining to trip insurance for ...Read the rest of this story

Radiant Logistics appoints new VP of international services

Radiant Logistics announced it has appointed Randy Briggs as vice president of international services of its freight forwarding operations.

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Chief releases heavy-duty tool for truck cab repairs

Chief announced its Heavy-Duty Rivet Gun puts out 10 metric tons of compression force to install new rivets or press out existing rivets in the thick steel and aluminum used to build heavy-duty truck cabs. It also uses 8 metric tons of tension force to hydraulically retract the punching tool from metal sheets.

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Retreading to Maximize Casing Value

Tread patterns are available for any type of operation from low rolling resistance drive tires to vocational tires. Photo by Jim Park

Retreading can extend casing life two, three or even four times, thus significantly lowering the lifecycle cost of the tire. While retread costs vary with the type of tread, the quality of the casing and the contract arrangement you have with the retreader, prices are roughly 1/3 to 1/2 that of a new tire.

If you keep an eye on casing value, you'll know that casings sold seem to fetch a fraction of what they are truly worth. You might get $90 to $125 for a good casing in a tight market, but retreading the casing gives you a virtually new tire with a couple of hundred thousand miles of life left in it -- and you can often retread several times. Where does the real value lay?

"A casing is a terrible thing to waste since at least 75% of the cost of a tire is in the casing, notes Ron Elliott, marketing and communications manager, Marangoni Tread North America.

Elliot says the key to a successful retreading program is to start with a quality casing, and then work to protect your casing investment with good maintenance, particularly pressure management.

"Most casings are designed and manufactured to be highly repairable and retreadable to last more than one life," Elliott says. "A proper tire management program will help ensure the very lowest total running cost."

If retreads get a bum rap, it's probably because the tire has been neglected.

It hardly needs to be said, but proper inflation and regular inflation checks will keep all tires in service longer. And of course retreads suffer from the stigma of being assumed to explode more often than new tires. Several tire debris studies have all but disproven ...Read the rest of this story