FTR’s Trucking Conditions Index for January again showed an upward trajectory for market conditions for truck fleets, reflecting maxed-out capacity and the accompanying rate increases being realized by carriers, FTR says.
Conditions for carriers in the first quarter have been “unusually strong,” FTR says, with carriers seeing the most favorable environment in 14 years. Full implementation of ELDs and strong freight demand will hold conditions as they are for the coming months, FTR says. Conditions will likely peak in the second quarter, FTR predicts, before softening later in the year due to increased labor and equipment costs, along with slowing growth of rates.
“Historically, January and February have proven to be lighter months in terms of the shipping environment, resulting in less truckload demand. That is not the case this year,” says FTR Chief Operating Officer Jonathan Starks. Carriers continue to hold a dominant position in the market.