Transport Topics

The national average for a gallon of diesel increased by 2.8 cents to $5.101 a gallon, the Energy Information Administration reported Monday. That halts a brief two-week streak of declines. The price of diesel did fall in the New England region, by four-tenths of a cent, but it increased in the other nine. A gallon of diesel now costs $1.977 more than a year ago. Learn more about your ad choices. Visit podcastchoices.com/adchoices

The head of American Trucking Associations called on Texas Gov. Greg Abbott to end the truck inspection initiative he recently launched at the state’s border with Mexico, chastising the plan for the crippling effect it is having on the economy, and trucking in particular. “Gov. Abbott is directly responsible for applying these new, senseless inspections on our industry, as well as the adverse impact they are having on the economy and hardworking Americans, including truckers,” ATA President Chris Spear said April 15. “We ask that the governor scrap his misguided scheme immediately.” Spear’s views echoed earlier remarks by John Esparza, president and CEO of Texas Trucking Association, who said truck drivers are waiting for hours at the border trying to cross without access to amenities such as food and restrooms. Learn more about your ad choices. Visit podcastchoices.com/adchoices

The CEO of XPO Logistics says an over-infusion of stimulus money into the economy is the root cause of the current high inflation rate. Brad Jacobs, who also is chairman of the Greenwich, Connecticut-based carrier, made his comments during a presentation at the Economic Club of New York on Wednesday. He said that the Trump and Biden administrations deserve some of the blame for the rising cost of goods. “We put in way too much stimulus, and this contributed to inflation and we have the hangover now, and it’s going to take a while,” Jacobs said. Learn more about your ad choices. Visit podcastchoices.com/adchoices

A series of sales figures released over the past couple days shed some light on the equipment landscape amid continued supply chain issues and uncertainty. Sales of new Class 8 trucks hit their highest point of the year so far in March, at 20,359. That’s a bit lower than last year’s March total but an increase over a slow start in January and February. Medium-duty sales followed a similar pattern, with March sales hitting 21,002. And preliminary figures for trailer orders in March showed a surge to 37,900, the highest spike since December 2020. Learn more about your ad choices. Visit podcastchoices.com/adchoices

Rand McNally moved to elevate its place in the connected vehicle space by acquiring Fleetsu, the company announced April 12. Australia-based Fleetsu is a fleet management and vehicle insight solutions provider. Rand McNally is best known as a mapping software and hardware provider but also offers analytics and fleet management services. A report by Allied Market Research on Feb. 28 found that the global fleet management market is experiencing accelerated growth, with forecasts predicting the industry will reach $52.5 billion in value by 2030. That is more than double its current value. Learn more about your ad choices. Visit podcastchoices.com/adchoices

The national average price of diesel dropped by a healthy 7.1 cents this week, tumbling to $5.073 a gallon. The price fell in all 10 regions that are surveyed by the Energy Information Administration, ranging from 10.2 cents in New England to just 1.3 cents in the Rocky Mountain region. Overall, diesel is still $1.944 a gallon more expensive than a year ago. Learn more about your ad choices. Visit podcastchoices.com/adchoices

Tesla will start production next year of three products that have fallen behind Elon Musk’s original schedule, including Tesla’s electric truck called the “Semi.” At the opening of the carmaker’s newest factory in Austin, Texas, the Tesla CEO said the company would be in production in 2023 with Cybertruck, the Roadster and the Semi. In January Tesla said it was delaying introductions of new models until next year, citing challenges scaling up existing products in the midst of supply chain issues. Learn more about your ad choices. Visit podcastchoices.com/adchoices

Self-driving truck tech company Aurora Innovation yesterday announced a partnership with carrier Werner to haul freight between Fort Worth and El Paso in Texas. Aurora said the trucking lane it will test for Werner is an essential link in the nation’s freight network, as it is the middle leg between Atlanta and Los Angeles. The route is more than 600 miles and takes approximately nine hours to complete, making it an attractive candidate for autonomous trucking. Learn more about your ad choices. Visit podcastchoices.com/adchoices

North American Class 8 orders in March were just over 21,000 and kept pace with the levels over the past few months, ACT Research reported, citing truck makers’ preliminary data. Heavy-duty orders, which will be adjusted later in the month, were 21,300. ACT President Kenny Vieth noted manufacturers are only reporting orders scheduled to be built within 12 months. “Long backlogs and supply chain-constrained production activity kept new-order activity trending within a narrow range,” Vieth said. In March 2021, net orders were 40,049, according to ACT. Transportation intelligence company FTR pegged this March’s Class 8 preliminary orders at 21,500. Learn more about your ad choices. Visit podcastchoices.com/adchoices

Standing alongside three Class 8 trucks parked outside the White House, President Joe Biden yesterday described a federal apprenticeship program designed to accelerate commercial driver license training as a “key ingredient” to boosting recruitment efforts in trucking. During an April 4 address that marked the culmination of a workforce recruitment challenge to trucking, Biden touted programs that “allow aspiring drivers to earn while they learn, while making this essential job more attractive to potential drivers regardless of age, background and gender.” Learn more about your ad choices. Visit podcastchoices.com/adchoices

America’s employers extended a streak of robust hiring in March, adding 431,000 jobs in a sign of the economy’s resilience in the face of a still-destructive pandemic and the highest inflation in 40 years. The Labor Department’s April 1 report showed that last month’s job growth helped reduce the unemployment rate to 3.6%, the lowest level since the pandemic erupted two years ago. Despite the inflation surge, persistent supply bottlenecks, the damaging effects of COVID-19 and now a war in Europe, employers have added at least 400,000 jobs for 11 straight months. Learn more about your ad choices. Visit podcastchoices.com/adchoices

February’s average retail sales price for a used Class 8 set another all-time record, besting January’s previous high by jumping beyond $94,000, according to ACT Research. Company Vice President Steven Tam called February’s $94,273 average retail price “incredible” compared with $51,494 a year earlier. January’s price was $88,386. ACT also estimated used Class 8 sales in February were 21,900 compared with 20,700 a year earlier. In January, sales were 22,300. Learn more about your ad choices. Visit podcastchoices.com/adchoices

The 2022 Operation Safe Driver Week is scheduled for July 10-16, the Commercial Vehicle Safety Alliance announced on March 29. During the heightened enforcement operation, law enforcement will be issuing warnings and citations to commercial motor vehicle and passenger vehicle drivers engaging in unsafe driving behaviors, such as speeding, distracted driving, following too closely, improper lane change, and drunk or drugged driving, CVSA said. Learn more about your ad choices. Visit podcastchoices.com/adchoices

The House Energy and Commerce Committee will hold a hearing April 6 with oil company executives regarding skyrocketing gasoline prices. Officials from Devon Energy Corp. and Exxon Mobil Corp., BP Plc, Chevron Corp. and Shell Plc will be among the witnesses who plan to participate. Pioneer Natural Resources Co. executives also may testify. The committee’s chairman, New Jersey Democrat Frank Pallone, has accused the oil industry of maintaining artificially high energy prices and profits ”by keeping domestic oil production low and funneling revenue back to investors and executives.” Learn more about your ad choices. Visit podcastchoices.com/adchoices

FedEx Corp. founder Fred Smith is stepping down as CEO of the company and transferring those duties to Raj Subramaniam, who currently serves as president and COO, the company announced March 28. Smith will remain as executive chairman. Subramaniam will retain the role of president. The change will officially take effect June 1, but Subramaniam has been named president and CEO-elect of FedEx Corp., effective immediately. Learn more about your ad choices. Visit podcastchoices.com/adchoices

XPO Logistics announced March 25 it has sold its North American intermodal business to STG Logistics, a Chicago-based provider of import-export and value-added warehouse logistics services, for a cash price of $710 million. Last year, XPO’s intermodal division generated $1.2 billion in revenue as it provided rail brokerage and drayage services at 48 locations with an estimated 700 employees. Those employees are expected to join STG Logistics as part of the sale. Learn more about your ad choices. Visit podcastchoices.com/adchoices

Navistar yesterday in San Antonio opened the doors to a new $250 million manufacturing plant that will produce diesel- and electric-powered Classes 6-8 trucks. Navistar said the nearly 1 million-square-foot facility includes a body shop, paint shop, general assembly shop and logistics center. The truck manufacturer reported that the first vehicle off the line at the new facility was electric. Learn more about your ad choices. Visit podcastchoices.com/adchoices

Truck tonnage in February increased 2.4% compared with the same month a year ago, according to American Trucking Associations’ advanced seasonally adjusted For-Hire Truck Index. The reading of 115.3 remained unchanged month-to-month after moving up 0.4 percent in January. ATA Chief Economist Bob Costello said February marked the first month that the index didn’t increase since last July. He also noted that despite the string of gains, the index is off 1.8% from March of 2020 and off 4.2% from its all-time high in August of 2019. Learn more about your ad choices. Visit podcastchoices.com/adchoices

The weekly price for a gallon of diesel dropped for the first time since the first week of this year, tumbling 11.6 cents to $5.134, according to data released by the Energy Information Administration. That price is still $1.94 a gallon more than a year ago. While the price dropped in every region, it was smallest in California, where a 4.6-cent slide only lowered the price to $6.218 per gallon. Learn more about your ad choices. Visit podcastchoices.com/adchoices

Fueled by a strong holiday shopping season by both its business and consumer customers, FedEx reported higher fiscal third-quarter earnings. The Memphis, Tenn.-based company said net income rose 23% to $1.1 billion, or $4.20 per share, compared with $892 million, or $3.30, the year before. FedEx saw revenue growth in all of its business divisions, but saw income drop at FedEx Ground and corporate. Learn more about your ad choices. Visit podcastchoices.com/adchoices