• Weekly Market Report

Transportation

Last-mile logistics are seeing some interesting headlines. JB Hunt is acquiring another home delivery firm focused on large, bulky consumer goods.

However, it seems that saturation may have hit on package delivery as parcel carriers have begun pulling back from a nearly two year expansion. E-commerce has certainly raised expectations of service with delivery logistics and the USPS provides an expansive infrastructure that parcel carriers fill out to provide it.

The expansion to bulky items that require more labor resources is only efficient in batch deliveries so it remains to be seen whether truckload carriers can operate profitably in this space where parcel carriers have been unable to meet demand. It does mean there may be more openings for CDL drivers with opportunities to develop long-haul experience. We’re going to need it so that we don’t have events such as stolen truck trailers of tequila occurring more regularly.

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