Truckload shipment trends in the United States reveal a stark contrast between the Southeast and West Coast regions. According to a recent analysis, tender rejection rates in the Southeast have exceeded 10% for the first time in nearly three years, while the West Coast rates remain below the national average. This divergence highlights the shifting dynamics in freight transportation, particularly as intermodal options gain traction.
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Data from the IndexBox platform shows that tender volumes from the Southeast have decreased by 6% year over year, whereas the West Coast has seen a more significant drop of 14%. Despite this decline, the West Coast continues to attract carriers due to higher revenue per load and operational advantages. The average length of haul from Los Angeles exceeds 800 miles, contributing to better truck utilization.
Spot rates in Southern California lanes are compelling, with averages reaching $3.29 per mile to Denver and $2.97 to Salt Lake City. In contrast, rates from Atlanta to Chicago averaged $1.78 last week. This disparity in rates underscores the West Coast’s appeal to carriers despite the lower demand.
Capacity constraints are becoming more apparent in key Southeastern markets such as Savannah and Jacksonville, driven by maritime freight. The East Coast is experiencing pressure from the final wave of import pull-forward activity, which began in early May. This situation may lead to increased volatility in the truckload sector, as the market reacts to reduced capacity and shifting demand patterns.
