DAT Weekly Trendlines Report – West Coast Reefer Freight Volume Springs Ahead

Week Ending March 23, 2019

California is emerging as a bright spot in this week’s spot market freight report, as volume starts to build in the Golden State’s agricultural markets. A 23 percent increase in loads moved out of Fresno was led by a surge of freight on the lane from there to Seattle, coupled with a 17-cent boost to the average rate per mile. Northbound freight volume also rose from Ontario to Seattle and from L.A. to Portland, but rates there have not responded yet.

Volume also rose sharply out of Nogales, Az, with a 3-cent average rate increase on major outbound lanes. The volume increase was led by the lane from Nogales to Chicago, but rates rose the most from Nogales to Dallas, where reefers got a 5-cent increase per mile.

In the Midwest, Grand Rapids is starting to pick up, likely thanks to egg shipments in the run-up to Easter, and some lanes are showing signs of life out of Green Bay. Elsewhere in the region, however, load-to-truck ratios are sagging and rates are still finding the bottom, as some spring freight movement is still blocked by flooding in Nebraska and Kansas.

 

Load-to-truck ratios stayed low for refrigerated (“reefer”) freight last week, despite an increase in volume out of California and Arizona. Plenty of trucks were available, too, so the monthly average rate slipped a penny lower. That lone dark spot on the U.S. map is Green River, Wyoming, where a few dozen load posts overwhelmed an even smaller number of truck posts.

For more spot market freight trends, visit www.dat.com/trendlines.