Rise in Freight Rates Analyzed For Industry Impact and Growth Predictions

The Journal of Commerce Reports on Critical Time for Pricing

Jan 25, 2010, 14:00 ET from The Journal of Commerce from ,UBM Global Trade

NEWARK, N.J., Jan. 25 /PRNewswire/ -- Ocean, trucking and intermodal carriers are standing firm as they raise freight rates in an effort to recover losses in 2009. In this week's feature story, The Journal of Commerce analyzes this critical time period for pricing, the growing frustration among ocean shippers and carriers' strategies for raising rates to profitable levels.  

(Photo: http://www.newscom.com/cgi-bin/prnh/20100125/NY42923 )

For the first time since mid-2008, average ocean freight rates are increasing year-over-year. Experts predict domestic U.S. trucking rates will hold steady this year and those for domestic intermodal appear to already be bouncing back. Air cargo pricings, which rose in the run-up to the holidays, have softened but are no longer in free fall. After enduring the worst economic downturn since the Great Depression, carriers across the board are standing firm, determined to make higher rates stick, in an effort to recover some of the billions of dollars they collectively lost in 2009. For ocean carriers, that has so far meant a unified front and resistance to rate undercutting that has dominated the industry in the past.

So far shippers are going along with the increases, but some are growing increasingly impatient with carriers' capacity-management initiatives such as those that have resulted in port delays in China.

The Journal of Commerce cover story analyzes this critical period in time for freight rate pricing, the growing frustration among ocean shippers who want "more bang for their buck," and the strategies ocean, trucking and intermodal carriers are employing to raise rates to profitable levels.

This week's issue also includes a comprehensive forecast of the 2010 trucking market, as the industry tries to stabilize after a rocky 2009 in which volumes and rates plummeted and bankruptcies soared. The fate of YRC Worldwide -- the nation's largest less-than-truckload carrier, which narrowly dodged bankruptcy protection in late December -- will influence how the year plays out for many.  

To view daily news visit www.joc.com. For all media enquires, including article reprints, please contact Editorial Director Paul Page.

Since 1827, The Journal of Commerce has been the most trusted source of intelligence for international logistics executives to help them plan global supply chains and better manage day-to-day transportation of goods and commodities in the United States and internationally.

To become a member of The Journal of Commerce click here. JOC members have access to our weekly print and digital magazine and Web site, as well as a 10% discount on all JOC Conferences and trade shows, UBM Global Trade Directories and select PIERS products. Authoritative editorial content in the form of daily news, weekly analysis and regular features ensure our members have the information and data necessary to understand the issues facing trucking, rail and maritime transportation. Members enjoy access to "By the Numbers," an exclusive weekly compilation of key industry statistics that provides detailed views of current market trends across all modes. Regular market intelligence reports -- utilizing PIERS trade data -- include Top 100 Imports and Exporters, quarterly Top 40 Container lines, Transpacific and Transatlantic Maritime Forecasts and Top Container Ports and Terminals. Market-sector supplements, including Breakbulk, Cool Cargoes, 3PL, JOC Guide to Trucking and others, ensure all modes are comprehensively covered.  

About UBM Global Trade - UBM Global Trade, formerly Commonwealth Business Media, Inc., has been the leading provider of proprietary data, news, business intelligence and analytical content supporting commercial maritime, rail, trucking, warehousing and logistics industries worldwide since 1827. The company's portfolio of more than 100 online, print and interactive workflow business solutions includes The Journal of Commerce, The Journal of Commerce Conferences, PIERS Global Intelligence Solutions and an array of international trade and transportation databases and directories. UBM Global Trade, a subsidiary of United Business Media Limited, is headquartered in East Windsor, NJ, with offices throughout the United States and in Canada and Hong Kong. For more information, explore www.ubmglobaltrade.com or call 800-221-5488 (+1-609-371-7700 outside the U.S. and Canada).

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SOURCE The Journal of Commerce; UBM Global Trade



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