Government actions and negotiations have logistics operators looking ahead to potential industry changes. Meanwhile, freight rates continue to climb while climate and weather events spark delays.

Biden Executive Action Takes Aim at High Shipping Costs 

President Joe Biden signed an executive order last week containing instructions for the Federal Maritime Commission (FMC) to more directly confront unfair pricing practices in the shipping industry. Per Loadstar, the FMC and Department of Justice are set to work more closely together toward the administration’s goals for competition in freight and shipping.

Canadian Wildfires Continue to Cause Intermodal Delays in Vancouver

British Columbia fires have damaged a major rail track, causing severe delays for intermodal activity at the Port of Vancouver. According to JOC.com, both of Canada’s Class I railroads are sharing a single track to the port as repairs and recovery on the damaged track continue. Furthermore, the Canadian government has placed lower train speed limits to help mitigate fire risks going forward.

Congressional Negotiations Around Infrastructure Persist 

Both sides of the aisle continue to promote their own ideas for an infrastructure bill that could have major consequences for logistics. Congressional Democrats this week unveiled their own proposition for a $3.5 trillion bill with emphases on climate change and health care, according to Transport Topics. Meanwhile, Republicans continue to promote their proposal for just shy of $1 trillion focused on updates for traditional infrastructure like roads and bridges.

Cass Freight Index Shows Jump in Domestic Freight Rates

The Cass Freight Index showed an 11 percent growth in expenditure from May to June 2021, and a 54.6 percent increase year over year. A report from FreightWaves suggests that this upward trend is likely to continue as the trucking industry grapples with limited chassis and driver availability.

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