Conditions for U.S. shippers moderated in June, but still presented a challenging environment.
The FTR Shippers Conditions Index (SCI) read -9.5 in June, a nearly three-point improvement from the previous month, indicating the worst may be over for now. However, FTR suggests rates are still rising, especially in the truckload sector.
Total shipping costs this year are expected to be about 12% higher than in 2017, with another 6% increase projected for 2019, according to FTR.
“While conditions have stabilized in the truckload and rail sectors, they remain far from where shippers would like them to be heading into the crucial peak season,” said Todd Tranausky, vice-president for rail and intermodal at FTR. “Shippers should expect the service they have now to be the service they have through the balance of the year.”