Truck Capacity Still Tight as June Truck Tonnage Rises - August 06, 2010

US trucking companies' June 2010 tonnage increased by 7.6% from June 2009.  Freight levels may have exceeded levels from one year ago, but June was the second straight month that the total was lower from the previous month, as reported by the ATA.  Many truckload carriers believe that although freight tonnage has increased over last year, the big boost to business has been the reduced capacity due...
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The Department of Transportation's Freight Transportation Services Index increased 4.4% in May from a year ago.  This is the third straight year-to-year increase....
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All America Transportation, Inc. is proud to announce their recent WBE Certification through The Supplier Clearinghouse, Public Utilities Commission-State of California.  This certification is recognized by the following entities: AT&T Inc, California American Water Co., California Water Service Co., Citizens Communications, Inc., Golden State Water Co., Pacific Gas and Electric Co., Pacific P...
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Transport Capital Partners (TCP) Managing Partner Lana Batts indicates that pricing increases in the truckload sector are almost iminent this year.  In an interview with Logistics Management, Batts commented that there are several areas of the country already experiencing equipment shortages.  One such area, she said, is the Midwest.  Lower dry van capacity in the Midwest is due to a rebounding au...
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For the first time in 17 months the average price of diesel exceeded the $3 per gallon mark.  The average price of diesel last week rose to $3.015 per gallon according to the Department of Energy.

Also the price for gasoline rose to $2.826 per gallon.  This is the highest level since October 2008.  Both gas and diesel prices have risen six out of the last seven weeks said the DOE.  At this poin...
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Industry trade groups are reporting a rebound in freight volumes for the first quarter of 2010.  American Trucking Association Chief Economist Bob Costello stated, "I have every reason to believe our March numbers are going to be very good.  Anectdotal comments from carriers about March volumes have been very upbeat."  ATA's tonnage index reported a 3.5% increase in the first two months of 2010.

...
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The Federal Motor Carrier Safety Administration announced that it has pushed back the start of its new carrier safety monitoring system, CSA 2010, until late this year.  Some portions of the program will be delayed to 2011.  The program was originally scheduled to begin in July 2010....
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The Federal Motor Carrier Safety Administration issued a rule Friday that will require carriers with repeat patterns of serious hours-of-service violations  to use on-board recorders in all vehicles.  The rule will go into effect June 1, 2012.

The agency also said it will begin the rulemaking process later this year to mandate Electronic On-Board Recorders for more carriers.

Under the rule, ...
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All America Transportation, Inc. has become a supporting member of the OOIDA.  The Owner-Operator Independent Driver Association is the independent trade association representing the interests of independent owner-operators and professional drivers on all issues that affect truckers.  The nearly 160,000 members of OOIDA are men and women in all 50 states and Canada who collectively own and/or oper...
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The Institute for Supply Management reported Thursday that the U.S. manufacturing activity expanded for the eighth consecutive month in March.  The rate of growth was the fastest since July 2004, with new orders and production indexes each rising above readings of 60, closing the first quarter with significant momentum, the ISM said.

ISM's monthly index rose to a 59.6 reading from 56.5 in Febru...
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Lianne Reizer, President of All America Transportation, Inc., completes the Kaufmann Foundation's  Fasttrac Growth Venture Training Program.  Missouri DOT's Office of External Civil Rights sponsored twelve MoDOT DBE Certified businesses in the program.  The program is designed to sharpen the business acumen of entrepreneurs  in all facets, including marketing, financials, and managing operations  ...
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The Department of Energy reported the average retail price for diesel climbed for the 5th consecutive week.  The average price for diesel increased 2.2 cents to $2.946....
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A weekly index published by Internet Truckstop on March 4 indicates truckload demand had outpaced truckload capacity for the first time since September 2008.  Freight executives and other industry experts have said the market is turning and it is difficult for shippers to comprehend the changes in truck availability.

Freight is particularly strong with retail and grocery shipments and is approa...
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The number of highway fatalities fell 8.9% in 2009.  The total number of 33,693 was the lowest since 1954 according to the National Highway Traffic Safety Assocation.

NHSTA estimated the overall fatality rate fell t0 1.16 per 100 million miles traveled, the lowest on record....
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The American Trucking Association's seasonally adjusted for-hire truck tonnage index was up 3.5% for the first two months of 2010 over the same period last year.  ATA Chief Economist Bob Costello told CNBC "things are starting to pick up a little and we are cautiously optomistic" that will continue. 

"I continue to hear from motor carriers that both the demand and supply situations are steadily...
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Obama signed a bill on March 18 2010 extending the Highway Trust Fund through the end of the year.     The current authorization expired last September.  Since then, highway and transit programs had been operating under several thirty day extensions. 

In late February, Senator Jim Bunning (R-KY) temporarily blocked passage of an extension, causing a shut down of the federal program for several ...
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The average price of diesel rose 2.9 cents last week in the US, the second consecutive increase, while gasoline also increased for the second week at 4.7 cents.

The national average for both had fallen five consecutive weeks before rising the last two weeks.  Cold weather in the northeast and mid Atlantic and the rising price of crude oil have had an effect on pricing....
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Two of the most common fraudulent activities in 2009 and continuing into 2010 are double brokering and identity theft.  Double brokering for more money and not paying carriers was up 57 % and identity theft posing as another company was up 34 %.

There are tools and steps your company can take in protecting itself from becoming a victim.  Always review the following information :

#1)  Authori...
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The American Trucking Association has reaffirmed its support for legislation that would provide federal funding for commercial vehicle parking at rest areas.

"Jason's Law" was drafted after truck driver Jason Rivenburg was killed in March 2009 at an abandoned gas station in South Carolina.

The legislation was introduced into the House of Representatives last May by Rep. Paul Tonko (D-NY).  S...
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The Department of Transportation announced that it will drop some materials, including paint and diesel fuel, from the list of substances the agency considers dangerous enough to require hazmat motor carriers to file detailed security plans. 

Still included on the list of "serious security risks" are such materials as gasoline, explosives, and some toxic gases. 

The new rule, effective Octob...
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A proposed federal rule would triple to $3,000 the annual registration fee for large motor carriers who haul hazardous materials, but would maintain a $300 fee for small carriers.  The American Trucking Association said it believes the proposed rule places an unfair burden on large carriers.
The fee increase was suggested by the Pipeline and Hazardous Materials Safety Administration as a way to i...
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Senator Jim Bunning (R-KY) agreed last week to stop blocking the legislation that would extend the Federal Highway Program.  The Senate  approved the 30 day extension, allowing state transportation agencies to resume construction projects that had been shut down. 

State officials said the short-term shutdown caused problems for state transportation agencies by delaying completion of projects as...
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The Federal Motor Carrier Safety Administration is planning to launch the program, Comprehensive Safety Analysis 2010 in July of this year.  CSA 2010 is the FMCSA's new regime for rating carriers and drivers.  Features will include more timely updates of fleet performance than the current SafeStat System.  The program is designed to push all carriers to improve compliance with safety rules, and to...
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The Department of Transportation is furloughing nearly 2,000 employees without pay starting Monday March 1st and is temporarily shutting down highway reimbursements to states worth hundreds of millions of dollars as a result of a Senate impasse over federal transportation funding.   The authority for spending funds from the Highway Trust Fund expired on February 28, 2010. The Congress has adjourne...
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The American Trucking Association reported that U.S. truck tonnage gained 5.7% over the same period in 2009.  For 2009, the tonnage index was down 8.7%, slightly larger than a previously reported 8.3% drop. The decline was the biggest since a 12.3% plunge in 1982.

ATA Chief Economist Bob Costello said that the latest tonnage reading, coupled with anecdotal reports from carriers, indicates that ...
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The Institute for Supply Management said its manufacturing index was 58.4 in January, compared with 54.9 in December 2009.  New orders jumped in January to the highest level since 2004.  Current production, order backloads, as well as prices also increased....
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A new trend has emerged in early 2010.  Due to the large number of trucking company failures since the economic downturn, truck capacity has markedly decreased from that just a few months ago.  According to an industry report, demand for trucks has increased to almost three times as much as the same period in February 2009.  Shippers beware, surviving trucking companies will be looking to increase...
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The main border crossing from Michigan to Canada is the Ambassador Bridge, owned by Manuel Moroun, billionaire developer and trucking executive.  The multibillion dollar proposed project, known as the Detriot River International Crossing is causing intense legal and political battles in Michigan.  Moroun is seeking to upgrade his bridge as well as add a second span next to it.  Canadian officials ...
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The US DOT has published a proposal that would make its workplace drug-testing program even stricter.  Testing would include the drugs "ecstasy" and heroin.  It would also lower the cutoff levels for amphetamines and cocaine.  According to a DOT official, the proposed rule is intended to more closely align much of DOT's program of direct-observation urine drug-testing with stringent Health and Hum...
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According to industry reports, the average freight charge per shipment charged by U.S. trucking companies in December 2009 dropped 0.4% from November 2009.  This occurred in spite of the fact that the ATA's truck tonnage index increased 6.6% from December 2008....
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According to FreightWatch International cargo theft increased in 2009 compared to overall thefts in 2008.  FreightWatch announced an average of 72 cargo thefts per month, 859 total cargo thefts, a 12 % increase from 2008.

Truck stops are the prime location for thefts while the electronics industry suffered the highest number of theft incidents....
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The Federal Reserve reported February 17th that the U.S. industrial production rose 0.9% in January....
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A new Avondale Partners Report said trucking failures rose in the fourth quarter and will to continue to rise this year. The total number of failures reached 445 in the fourth quarter compared to 375 in the fourth quarter of 2008.  Also the number of failures climbed compared to this year's 3rd quarter number of 405.

These failures accounted for approximately 21,000 trucks being removed from se...
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Last week Transportation Secretary Ray LaHood issued a band forbidding commercial drivers for texting while driving their vehicles.  " I directed the Federal Motor Carrier Safety Administration to use it's existing authority to prohibit commercial truck and bus drivers from texting while driving using any handheld cell phone or other devices that takes driver's attention off the road," LaHood said...
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Due to unrelenting pressure from Trucking Organizations and Safety Advocates, the DOT has agreed to rewrite the Hours of Service Rules for truck drivers. The FMCSA, the agency within the DOT responsible for writing and enforcing the HOS, is expected to complete the new HOS in 2010.

Four groups recently filed a lawsuit in federal court asking that the hours-of-service rules for commercial motor ...
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Effective January 4, 2010, the New York Thruway Toll has increased 5% for truckers. The new toll for truckers traveling the distance on the Thruway is a whopping $110.05, making a round trip over $220. No doubt this increase will be passed on to shippers....
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According to a Federal Motor Carrier Safety Administration estimate, fewer than 8% of carriers nationwide are audited each year. Under the new program titled CSA 2010, ALL carriers will be audited and will include drivers. The FMCSA says if CSA 2010 were in effect now, approximately 49% of the carriers on the road today would be declared unfit. The new program is scheduled to begin in the summer o...
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The Unified Carrier Registration Agreement was enacted by Congress and is administered by participating states. Companies subject to this program must pay fees to travel into other states.

Any motor carrier that operates in interstate or international commerce is subject to UCR. Included are many businesses that were not subject to the old Single State Registration System-private carriers, exem...
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