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I just hung up the phone with my 35 year best friend in the world. He works in sales for a global powerhouse in the disposable medical equipment industry (IV's/tubing/etc.) I don't want to say the name but they are a world leader in this field. He just got off a Regional call where the Regional VP said their supply chain was "completely fucked" and to prepare for calls from their customers (large hospital system procurement teams) According to my buddy, they are 65 loads behind from their mfg. facilities. They can't find enough trucks that can handle the capacity. As the owner of a trucking company, I'll say this much, I don't see the spot rates increasing like they should given this supposed shortage.

I just hung up the phone with my 35 year best friend in the world. He works in sales for a global powerhouse in the disposable medical equipment industry (IV's/tubing/etc.) I don't want to say the name but they are a world leader in this field. He just got off a Regional call where the Regional VP said their supply chain was "completely fucked" and to prepare for calls from their customers (large hospital system procurement teams) According to my buddy, they are 65 loads behind from their mfg. facilities. They can't find enough trucks that can handle the capacity. As the owner of a trucking company, I'll say this much, I don't see the spot rates increasing like they should given this supposed shortage.

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[–] • 0 pt

Vaccine requirements are only going to make things worse.

[–] • 1 pt

That’s going to be the nail in the coffin

[–] • 0 pt

no deliveries to DC, NYC, LA, Chicago, Aspen, etc. they would fold fast

[–] • 0 pt

As the owner of a trucking company, I'll say this much, I don't see the spot rates increasing like they should given this supposed shortage.

To what do you attribute this?

[–] • 1 pt

From what we have experienced in the refrigerated freight hauling, I would say the lack of manpower at warehouse. We are constantly delayed 1-3 days after delivering o time by receivers that don’t have the manpower to unload. Also, processing facilities that process chicken for instance are backing up the refrigerated warehouses so they don’t have room to take our loads ( basically using us as unpaid mobile storage). It’s a total mess! There is also a HUGE driver shortage and one carrier friend of mine has 12 of his 20 trucks sitting because he can’t find drivers.

[–] • 0 pt

Thank you. Very informative.

processing facilities that process chicken for instance

Any deeper insights here?

There is also a HUGE driver shortage and one carrier friend of mine has 12 of his 20 trucks sitting

This says transportation costs just increased a ton. Is this happening?

he can’t find drivers

This says driver rates have increased significantly. Has this happened? If driver rates have increased, to what do you attribute lack of supply?

[–] • 1 pt

Old school truckers are a dying breed, guys that stay out 3-4 weeks at a time incredibly hard to find. These younger drivers want to be home every weekend and it is impossible to hauls from CA to say VA and be home on the weekends. Maybe every other but that kills the profitability of the truck.

[–] • 0 pt

The choke points are the ports, it seems. Ships at anchor waiting to offload.

Look at this: https://www.marinetraffic.com/en/ais/home/centerx:-118.3/centery:33.6/zoom:10

[–] • 1 pt

Saw a great video on this yesterday. Ports are choke points, but because they can’t get the freight out of the port fast enough. As the ports stack up, wait times to get specific containers gets longer. Freight rates have gone up massively but tr7ck rates haven’t.