Trucking news and briefs for Wednesday, Sept. 25, 2024:
Truck tonnage continues recent growth
Truck tonnage levels hit an 18-month high in August, according to the latest For-Hire Truck Tonnage Index report from the American Trucking Associations.
ATA’s advanced seasonally adjusted For-Hire Truck Tonnage Index grew 1.8% in August after rising 0.4% in July. In August, the index equaled 115.8 compared with 113.8 in July.
“August tonnage levels rose to the highest level since February 2023,” said ATA Chief Economist Bob Costello. “Not only does the latest robust gain show freight levels are coming off the bottom, but so does the sequential pattern over the last eight months. Starting earlier this year, every time tonnage falls, it is higher than the previous low. For me, this month-to-month pattern is more important than looking at the year-over-year percent changes since we are at an inflection point in the freight market.”
Compared with August 2023, the index increased 0.7%, just the second year-over-year gain in the last 17 months (the other being in May 2024). In July, the index was down 0.9% from a year earlier.
The not seasonally adjusted index, which represents the change in tonnage actually hauled by the fleets before any seasonal adjustment, equaled 119.4 in August, 2.2% above July. ATA’s For-Hire Truck Tonnage Index is dominated by contract freight as opposed to traditional spot market freight.
Volvo delivers 70 electric trucks as part of grant program
Volvo Trucks North America has successfully delivered 70 Volvo VNR Electric trucks as part of a $21.5M funding initiative supported by the U.S. Environmental Protection Agency and the South Coast Air Quality Management District (South Coast AQMD), the company announced Tuesday.
The project, named “SWITCH-ON,” has deployed these zero-tailpipe emission trucks to several fleets across Southern California for regional freight distribution and drayage. Initially announced in 2020, SWITCH-ON is now one of the nation’s largest commercial deployments of Class 8 battery-electric trucks. To date, Volvo Trucks has delivered more than 570 Volvo VNR Electric trucks across 31 U.S. states and Canadian provinces.
The SWITCH-ON project was backed by up to $19.5 million from the EPA’s Targeted Air Shed Grant Program, supplemented by $2 million from South Coast AQMD for charging infrastructure, aiming to improve air quality in the region.
The first 15 trucks delivered were the first generation of commercially available Volvo VNR Electric trucks, while the remaining 55 are next-generation models featuring extended range and faster charging capabilities.
Fleets participating in the SWITCH-ON program include:
- CEVA (CCJ Top 250, No. 69)
- IMC Logistics (No. 53)
- McLane
- NFI (No. 20)
- Performance Team, a Maersk Company
- Pier Enterprises Group Inc./DBA DC Logistics
- Western Regional Delivery Service/South Coast Transportation & Distribution
These trucks will collect data on performance in drayage and freight applications through 2025, providing at least a full year of operational insights for all the trucks.
All 70 of the Volvo VNR Electric trucks will be supported by TEC Equipment – Fontana, which played a key role in helping Volvo Trucks develop the Certified Electric Vehicle Dealership certification as part of the Volvo LIGHTS project. TEC Equipment – Fontana will serve as the primary resource for participating fleets, providing local support for driver training, maintenance, and repairs to maximize fleet uptime and performance.
[Related: Trucking groups, fleets urge EPA to deny waiver for CARB's diesel ban]
Southeastern Freight Lines expanding in Southwest
Southeastern Freight Lines (CCJ Top 250, No. 29) on Tuesday announced the launch of a new direct service line to Las Cruces, New Mexico, signifying a notable addition to the company’s arsenal of reliable, efficient transportation solutions.
The new route will be serviced from Southeastern’s El Paso service center in Texas, elevating the company’s ability to meet the growing demands for freight movement in the Southwest region. Southeastern said its direct service to Las Cruces offers significant benefits to its customers, including reduced shipping costs, enhanced delivery reliability and consistency and improved transit times, including next-day shipping from the Dallas, Fort Worth, Odessa and San Antonio areas of Texas.
“As a company, we are continuously working to advance our culture, empower operational excellence and innovate quality service,” said Brian Schulz, vice president of service center operations. “This strategic move not only bolsters our strong footprint but empowers us to meet and exceed the needs of our customers with greater efficiency. We look forward to leveraging our optimized service structure to support the rapid economic growth of the Las Cruces area.”
HTL Freight brokerage acquires CTS Logistics
HTL Freight, a rising leader in the third-party logistics (3PL), has announced the acquisition of CTS Logistics, a full-service managed transportation company (4PL) headquartered in Windham, New Hampshire. This acquisition, HTL Freight’s fourth major transaction since 2021, reinforces its commitment to delivering exceptional freight solutions across North America.
CTS Logistics, known for its managed transportation and brokerage services, has built a strong reputation since its founding in 1989 by Donald Leclair. The company’s family-oriented ethos has been carried forward by Leclair’s children – Alan, Keith, Brian, and Kim Garneau – who continue to play key roles in the business.
"Our decision to partner with HTL Freight was driven by their dedication to upholding the values that have defined CTS Logistics for the past 35 years,” said Alan Leclair, President of CTS Logistics. “HTL Freight’s leadership shares our commitment to integrity and service, making them the ideal partner to carry forward our family’s legacy."
As part of the acquisition, Keith Leclair has been appointed as Vice President of LTL at HTL Freight. His extensive experience and leadership will be instrumental in expanding HTL’s LTL capabilities, the company said.
Finalized in February 2024, the acquisition has since led to a close collaboration between the two companies to ensure a seamless integration of operations, systems, and cultures.
The acquisition allows HTL Freight to further expand its geographic footprint and service offerings, positioning the company as a notable player in both the 3PL and 4PL sectors.
The company said customers will benefit from enhanced transportation solutions, including increased brokerage capabilities and more robust managed transportation services, all supported by HTL Freight’s state-of-the-art technology platform.