Good news for the trucking industry could mean troubling news for shippers.
Last month, Transport Topics noted that the Beige Book report, which was issued on July 16 indicated that the economy had modest expansion while the demand for trucking rose. The Beige Book, as it is known, is a report published by the Federal Reserve eight times a year and is based on anecdotal information gathered by Federal Reserve Banks by District. With the economy growing, the fear is that demand will exceed capacity, and the latest Beige Book reports shows this fear may well be based in reality.
The Philadelphia district reported that capacity utilization levels for trucking are approaching a tipping point that could spark significant price increases. Driver shortages are affecting the Cleveland, Richmond, Atlanta, and Kansas districts.