Last year, the logistics industry quickly cooled off. Trucking battled declining prices, volumes and capacity. Rail grappled with safety and service issues. Ocean freight and air cargo demand and revenues dropped. Even parcel delivery slowed, facing lower demand and shifting consumer patterns.
Now, everything seems to be abruptly changing, again. War on the Red Sea is driving up rates. Persistent low water levels at the Panama Canal are forcing the use of more intermodal shipping. The threat of labor disruptions at East Coast ports is pushing shippers westward.
“The biggest supply chain upheaval since the COVID-19 pandemic risks derailing the global economic recovery, while higher freight and oil prices could reignite inflation.”