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The Nationwide Costs of implementing the ELD Mandate


With the trucking industry trying to come to terms with the ELD Mandate. We are seeing its effects throughout all industries as freight rates are rising due to the regulation, driver shortages, and retiring drivers. As freight rates increase for shippers, the price of the goods we buy on a daily basis will go up. This year we will see the added costs of trucking trickled down to the consumers across all industries.

Food prices expected to rise due to ELD mandate

The produce industry is one which has a large concern about being able to find the truckload capacity to move their produce around the country.

The prices of fresh produce is expected to rise in the wake of the ELD mandate (Source: Pexels) Ever since the ELD mandate in December, there has been a discussion about the inevitability in the inflation of food prices across the country. It does not take an economist to understand the scenario – ELDs enforce hours-of-service (HOS) rules, which is widely seen as a restriction on the trucking community and a limit on the number of hours drivers are on the road, thereby increasing the time it takes for freight delivery. It also reduces the profit margins of fleets and drive up rates, which has been quite evident across the industry over the last couple of months. The FMCSA defends the introduction of ELDs, saying it helps keep the roads safer by reducing truckers from going behind the wheel when they are fatigued. Data collected by FMCSA on ELD usage in 2014 showed a 12% reduction in the total crash rate. But the report also noted that there was a visible skewing in data towards larger fleet companies, which made the results questionable. Food prices expected to rise due to ELD mandate

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How RC Transport can help your company

As a company that moves freight on a daily basis, RC Transport is seeing the tight capacity concern throughout our customer base. The increasing rates have made it hard for customers to move their products. In order to help with the increased truckload prices, we are offering Flat-Rate Shipping Services for all Partial and Full Truckload shipments. We also have discounts on our LTL Freight services. If your company is looking for better pricing and excellent service, contact us today.


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The Trucking Industry has Essentially hit the 100% Capacity Mark.

A new year brings challenges to the trucking industry as it continues to struggle with truckload capacity issues. The problems with capacity continue to stem from the increased overall freight demand. Along with this increased demand, we just saw a big change in the industry with electronic logging. The ELD Mandate is changing the way freight moves and therefore impacting truckload capacity further.


Data tracked by DAT Solutions, for example, showed that the number of available loads for the week ending December 16 increased 2.4% while available capacity dipped 7.5%, sending load-to-truck ratios higher in the dry van, refrigerated and flatbed sectors compared to the previous week. Trucking freight rates, in both the spot and contract segments, have been increasing for shippers, which is an “immediate reflection” of the tight truck capacity situation.  Little to no truck capacity ahead for early 2018 | American Trucker

The Next 6 Months:

If we see any big winter storms this season, it could push truckload capacity way above the current 100%.  This would leave shippers having to pay much more to get loads delivered on time. Shippers might even have to be more flexible with delivery times if they can in order to save money on freight cost. This first half of 2018 will prove to be challenging for everyone in the industry.

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November marks over 42,000 Trailer Orders in 2017

Transportation Industry is Booming

With the United States economy doing well and the continued growth of e-commerce, we have seen the transportation industry booming. Every mode of transportation is being pushed to its limits of capacity. The truckloads we are demanding to be shipped on a daily basis are continuing to grow exponentially. One of the modes being strained the most is the trucking industry.

With the two hurricanes that hit the US earlier this year, the trucking industry was pushed to the max. Now truck drivers are dealing with the change of being forced to use electronic logging. ELD’s put tighter restraints on how they manage their driving hours. Transports that used to be next day are now turning into 2-day transports. This is costing shippers more and the drivers are having to change how they manage their loads. Overall available capacity is being affected on a daily basis.

Trailer Sales are Up!

As a result of increased demand, last month trailers sales grew to over 42,000 trailers. Sales are projected to continue to grow to put the manufacturing schedule well into 2018. Unfortunately, a lack of available drivers continues to plague the transportation industry. This is pushing the innovation of automation and efficiency in the transportation industry. Orders Soar Above 42,000 in November Trailer orders hit 42,600 units in November, according to the research company FTR, citing preliminary data amid what it called tremendous freight growth in the fourth quarter. The volume will boost backlogs that had looked to be weakening at the end of October, according to the Bloomington, Ind.-based company. Annualized trailer order numbers are now 295,000 for the past twelve months. “November trailer orders are wonderful news for the industry and for the general economy,” FTR Vice President of Commercial Vehicles Don Ake said in a statement. “Fleets continue to anticipate the need for more trailers in 2018.” FTR forecasts freight growth to remain at least good through the first half of 2018. “We can expect more use of drop-and-hook logistics in dry vans, refrigerated vans and flatbeds as trailer truck productivity is reduced and the driver shortage intensifies,” Ake said.

We Need Drivers:

With the transportation industry booming, we really need to work on ways to create more interest in a career in transportation. Being a truck driver provides opportunities that you don’t find in other job settings. You get to travel to different places all of the time and work with all kinds of different people. I work in transportation as a freight broker and enjoy interacting with drivers. Truck drivers can have some great stories to tell if you have some time to listen to them. Another great part is there is always a curveball that gets thrown your way when you work in transportation. If you find a transportation company that has a great work/life balance, a career as a truck driver can be very rewarding.


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Has Your Business Been Affected by the ELD Mandate?


The first week of using Electronic Logging in the trucking industry is coming to an end.

How has Electronic Logging affected your business?

At RC Transport we have seen many of our customers become frustrated with Electronic Logging. What used to be next day delivery shipping lanes have now turned into 2-day transit lanes. Drivers are having to learn how to manage their time differently. The Electronic Logging is becoming a learning experience for everyone in the industry. Over time we will all learn how to deal with the new changes that come with it. While it will take some time for us to see exactly what all of those changes are going to be. Here is what on trucking company has to say about the new technology:


We’re using Cummins’ ZED ELD and drivers are having issues pairing and using the system. We run a fleet of 30 trucks with average dispatches between 450-550 miles (AZ-CA). We used to be able to run the lane with next-day service but will probably have to change that to 2-day transit. Impact on our capacity will be greater than 15% loss. Jaime on ELD Mandate: How Has Your Business Been Affected?


What you can expect as a Shipper:

As a shipper, you can expect to see rates increase throughout the new year as capacity is affected by this new electronic logging rule. We can expect to see probably a 3-5% increase as we come across capacity strains due to carriers that have not prepared for the new compliance rule. All you can do is try and be flexible, the more flexible you can be with deadlines, the better chance you have of moving your freight for reasonable prices.





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