Van Volumes and Rates Enter Summer Slump
By Allie Lewis, DAT
The summer slowdown has arrived for spot market truckload freight. It’s typical for prices to drop around this time of year, as urgency stays low after the Fourth of July and rates have a hard time rising.
Declines in reefer freight also introduce more competition in the van market, while declines in oil field activity also add a drag on van rates.
In the top 100 lanes, 71 had lower prices last week. While a few markets remain neutral, most are losing pricing power, though most changes in price last week were relatively slight. The national average van rate for July sits at $1.86, down 3 cents from the June average but still 7 cents above May.
RISING
The smaller markets of Buffalo (+13%) and Denver (17%) posted strong gains in volumes.
FALLING
The Southeast region is currently facing a slide in volumes, with declines in Atlanta, Memphis and Charlotte. Also, Houston’s outbound volumes were down 8% last week, due to the slowdown in Texas oil fields.