3PL

For June, the most recent month for which data is available, import volume—at 2.25 million TEU (Twenty-Foot Equivalent Units)—was down 5.9% compared to May’s 2.4 million TEU. May set a monthly import record, going back to when NRF initially began tracking imports, coming in ahead of the previous record, of 2.34 million TEU, set in March.

For the second quarter, IANA reported that total intermodal volume—at 4,630,400—is down 4.3% annually. Domestic containers—at 2,098,606—are up 4.0%, and trailers—at 230,177—are down 25.2%. All domestic equipment (comprised of trailers and domestic containers)—at 2,328,783—is up 0.2%. ISO containers are down 8.4%, to 2,301,617.

The Supreme Court’s refusal to review a legal challenge to California’s so-called AB5 rule that covers classifying independent owner-operators as trucking company employees has large truckload carriers scrambling for a suitable Plan B.

XPO said that Brad Jacobs, Chairman and CEO, will transition to Executive Chairman, as well as Non-Executive Chairman of the spin-off, with acting LTL President and Chief Information Officer Mario Harik will assume the role of XPO CEO, which, at that point, will be a pureplay LTL carrier through the completion of the spin-off and the divestiture of its European business.

Rail carloads—at 906,903—rose 0.2%, or 2,213 carloads, annually, and intermodal. And intermodal containers and trailers—at 1,033,906—were down 3%, or 32,094 units, compared to July 2021.

New records were hit for quarterly revenue—at $3.23 billion—up 1.2% annually (and up 11% when excluding the March sale of its intermodal business), with net income—at $141 million—up 19.9%. Operating income—at $230 million—was up 17%. Adjusted EBITDA—at $405 million—increased 18.5% annually, the highest in XPO’s history, well ahead of previous guidance, at $360 million-to-$370 million. And earnings per share—at $1.81—were up compared to $1.00 for the second quarter of 2021, marking the highest for the second quarter ever for XPO. Free cash...

Yellow posted second quarter operating revenue of $1.424 billion and operating income of $99.2 million, which included a $3.2 million net gain on property disposals. In comparison, operating revenue in the 2021 second quarter was $1.313 billion and operating income was $27 million. Yellow’s net income for second quarter was $60 million, compared with a net loss of $9.4 million in the second quarter of 2021.

The paramount importance of 3PL partnerships.

Following their late 2021 announcement, in which Vienna, Va.-based LaserShip, the largest regional e-commerce parcel carrier and last-mile delivery services provider, and Chandler, Ariz.-based regional shipping services provider OnTrac, announced they had entered into a definitive agreement to merge, with LaserShip acquiring OnTrac for $1.3 billion, the companies last week stated they are taking a major next step in the process.

It is somewhat cruelly ironic that the singularly bipartisan accomplishment of the Biden administration, the 2,702-page, trillion-dollar infrastructure bill passed with much fanfare by Congress last year, is cited as a factor in the highest inflation rate in 40 years.

The report’s key metric, the PMI, came in at 52.8) a reading of 50 or higher indicates growth), for a 0.2% decrease compared to June’s 53.0, marking the 26th consecutive month of growth, at a slower rate, and also the 26th consecutive months of overall economic growth.

This follows previous joint announcements by POLA and POLB, whom collectively account for roughly 40% of United States-bound import volumes.

For the first time in quite a while, Washington is in the chips. Computer semiconductor chips, that is. Congress late last week passed a bipartisan $280 billion package of subsidies and research funding to increase America’s international competitiveness in the high-tech sector. It is designed to make the U.S. less dependent on Taiwan for production of the ubiquitous wee chips that are critical to U.S. competitiveness.

When warehouses and DCs make the shift to lithium-ion batteries over traditional lead-acid batteries, they experience lower maintenance costs, longer run times, increased performance, faster and more efficient charging, and less downtime.

Rail carloads—at 232,565—saw a 1.1% annual increase, and intermodal containers and trailers—at 266,366 units—were off 2.5%.