tender rejections

Are increasing lead times improving carrier compliance?

Chart of the Week: Outbound Tender Lead Time – USA  SONAR: OTLT.USA

Shipper lead times (the time between request date and pickup date) have increased 5.25% versus last summer as tender rejection rates (the rate at which carriers reject load requests) have averaged 5 percentage points higher — 22% versus 17%. This is counterintuitive, but the real question is what would the rejection rate be if lead times remained the same?

Tender lead time (OTLT) is the time between a shipper’s request for a...

https://www.freightwaves.com/news/are-increasing-lead-times-improving-carrier-compliance

Southern truckload capacity vanishes before the 4th

Chart of the Week: Outbound Tender Reject Index – Atlanta, Dallas  SONAR: OTRI.ATL, OTRI.DAL

Just when shippers and freight brokers thought the U.S. freight market was easing, capacity tightened to record levels in two of the nation’s largest freight centers: Atlanta and Dallas. The outbound tender reject index (OTRI), which measures the rate at which carriers reject electronic requests for capacity from shippers, jumped to its highest values since the index was created back in early 2018. So...

https://www.freightwaves.com/news/southern-truckload-capacity-vanishes-before-the-4th

West vs. East coasts: The battle for trucking capacity escalates

Chart of the Week: Outbound Tender Volume Index, Outbound Tender Reject Index, Inbound Tender Volume Index – Ontario  SONAR: OTVI.ONT, OTRI.ONT, ITVI.ONT

Southern California’s outbound tender volumes have risen by nearly 20% since the middle of May while inbound volumes are relatively flat, pushing outbound rejection rates to their highest level in over a month. Volumes jumped in April, but this emerging pattern has a different look to it, having been sustained for several weeks now. What does...

https://www.freightwaves.com/news/west-vs-east-coasts-the-battle-for-trucking-capacity-escalates

Have carriers learned not to overextend their fleet expansion efforts?

Chart of the Week: ACT Research Equipment Orders – Class 8 Trucks, Outbound Tender Reject Index – USA  SONAR: ORDERS.CL8, OTRI.USA

Class 8 truck orders are trending lower as national tender rejection rates remain above 25% — a characteristic of an extremely tight freight market. At first glance, it appears that carriers have slowed their efforts adding capacity to the domestic trucking market, even though the data suggests that little has changed in terms of the aggregate need for adding more...

https://s29755.pcdn.co/news/have-carriers-learned-not-to-overextend-their-fleet-expansion-efforts

Winter weather decimates tender volumes, quick rebound expected

Winter storms across the country — in particular the nor’easter in Pennsylvania and New Jersey and the damaging ice storms in Texas — have caused many retailers to close down and disrupted freight operations. Subsequently, tender volumes have taken a nosedive in the U.S. this week. 

It is not typical for tender volumes to decline and rejections to rise midseason. It’s a common occurrence to see this dynamic play out with weather and on major holidays when capacity is taken off line at a faster...

https://s29755.pcdn.co/news/winter-weather-decimates-tender-volumes-quick-rebound-expected

Outbound tender volumes reverse, break multiweek losing streak

The Outbound Tender Volume Index (OTVI) rose 2.7% this week to 14,051. It makes sense to adjust for the level of rejected tenders accounted for in OTVI to get a clearer look at year-over-year (y/y) comparisons. On a rejection-adjusted basis, volumes are up 21% y/y, a slight deceleration from last week’s 23% growth rate. 

The West Coast port markets that drove much of the freight volumes in the back half of 2020 heated up again this week. Los Angeles and Ontario, California, are two of the...

https://www.freightwaves.com/news/outbound-tender-volumes-reverse-and-break-multiweek-losing-streak

The Daily Dash: Capacity infusion could drive down spot rates

The Daily Dash is a quick look at what is happening in the freight ecosystem. In today’s edition, spot rates have continued to remain high, but could an influx of capacity reverse the trend? Plus, ArcBest President Tim Thorne is retiring, and federal regulators consider nixing a vision exemption for CDL holders.

Is rate relief on the horizon?

One of the biggest questions of 2021 for trucking is whether a wave of capacity will enter the market that stabilizes the current elevated spot rate...

https://www.freightwaves.com/news/the-daily-dash-capacity-infusion-could-drive-down-spot-rates

2020 closes with plenty (of freight) left in the tank

Chart of the Week:  Daily Customs Shipments, Outbound Tender Reject Index – USA SONAR: CSTM.USA, OTRI.USA

This final 2020 edition of the chart of the week combines the two most relevant statistics of the year: maritime import shipments and tender rejection rates. Before the pandemic, the two measures had little connection to each other. In 2019, container imports had time to sit in warehouses as shippers were able to plan and prepare for seasonal purchasing patterns to reemerge, allowing them to...

https://www.freightwaves.com/news/2020-closes-with-plenty-of-freight-left-in-the-tank

Reefer capacity tapped out prior to vaccine release

Chart of the Week:  Reefer Outbound Tender Rejection Index, Van Outbound Tender Rejection Index – USA SONAR: ROTRI.USA, VOTRI.USA

The national reefer — industry slang for temperature-controlled trailers — rejection index (ROTRI) topped 48% for the first time since the index’s creation this week, which could move even higher once the vaccine for COVID-19 begins being distributed in the coming months. This means that shippers that utilize temperature-controlled equipment should be prepared to...

https://s29755.pcdn.co/news/reefer-capacity-tapped-out-prior-to-vaccine-release

The Daily Dash: Earnings insight; Hyliion declines revenue for its early products

Schneider truck on highway

The Daily Dash is a quick look at what is happening in the freight ecosystem. In today’s edition, Todd Fowler, lead transportation analyst at KeyBanc, talks third-quarter earnings. Plus, Hyliion is not recording any revenue from its propulsion system and Wall Street is OK with that, and carriers continue to dominate as retail peak hits.

Inside the numbers

Third-quarter earnings are in, and the trucking sector performed quite well. Todd Fowler, lead transportation analyst at KeyBanc, shares some...

https://s29755.pcdn.co/news/the-daily-dash-earnings-insight-hyliion-declines-revenue-for-its-early-products

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