Deciding the best mode to ship your freight can be complicated. To determine the primary way to move freight, shippers should identify the size of the shipment, the budget, the delivery schedule, and the freight’s fragility.
The 2016 logistics report exposed challenges in over-the-road (OTR) transportation; truckload carriers have extra capacity, most shippers have surplus inventory and consumer spending is low.
Low transportation rates and fuel surcharges are affecting truckload carriers more than LTL companies. As a solution, many truckload carriers are removing old trucks from their fleets to close the overcapacity gap until freight demand picks up. LTL carriers, however, are not experiencing overcapacity and have maintained, and even raised rates. In July 2016, both truckload and LTL carriers added jobs.