Trends in Transportation Pricing
Staying up to date with transportation pricing not only helps you in the present, but it also can help you with forecasting. Here are some trends in pricing in the transportation industry currently.
The trucking industry saw a 1.1% drop in average pricing in June. This was the first decline in price after 10 months of increased average prices. Even though there has been a slight drop this month, the rates are still up 2.9% on average compared to last year (with LTL showing the greatest increase of 4.8%). The expectation is that the trucking industry will see an increase of 3.7% in pricing during the last quarter of 2012 in comparison to a year ago.
Ocean transportation also saw a decline in pricing in June, but this drop was only by .3% compared to the month before. Two categories actually showed decreases in prices compared to last year, which were inland waterways towing and deep sea freight. Prices are forecasted to be 2.3% above last year’s ocean freight rates in 2012 overall.
Intermodal prices decreased by .9% in June while carload rail prices remained unchanged. Rail freight inflation was quite high in September of 2011, but has since been on a downward path. Inflation was only 6.5% for the quarter that ended March 2012, and even less at 3.5% in June compared to the years before. Average rail industry prices are expected to increase by 2.6% compared to last year in the last quarter of 2012.
Air freight did not see much change in price in June. Price changes in June varied as follows:
- Domestic air freight on chartered flights saw price decrease of 1.8%
- International air freight on chartered flights saw price decrease of .4%
- Air freight on scheduled flights saw price decrease of .2%
These price drops are fairly minimal considering that there was a 7.7% price increase back in April. Due to this average prices for air freight is forecasted to increase an average of 5.5% in 2012 as a whole compared to the year before.