Note: Today’s post is part of our “Editor’s Pick” series where we highlight recent posts published by our sponsors that provide practical knowledge and advice on timely and important supply chain and logistics topics. This post by Chris Mendenhall and Jacob Hawkins from Transportation Insight’s blog provides some insights on what to expect in the less-than-truckload (LTL) market in 2021.
Consumer demand shifts that accelerated during 2020 will have ongoing effects across the transportation marketplace, including continued capacity constraints in the less-than-truckload (LTL) market. Expect 2021 rate increases to reflect these pressures.
Carriers are reacting to market changes in other ways, as well. One example: early in 2020, one national carrier indicated it would match any volume LTL quote from another carrier. Six weeks later, that carrier wasn’t accepting any volume shipments due to the dramatic shift in the market.
Carriers also have grown more comfortable implementing LTL surcharges that further drive up transportation costs. Some are turning away freight that is more difficult to handle.
The LTL transactional market is seeing…