Commerce Express Weekly Road Map:
February 13th, 2024
Keeping you informed on the latest news/insights in our industry.
Trucking —
- As of February 12th, the national average price of diesel is $4.109.
- Seeing a 21 cent increase, compared to the week prior.
- FMCSA rulemaking on truck speed limiters is delayed again, set to be published in May.
- Northbound 710 Freeway set to close on Tuesday (2/13) at the Port of Long Beach – due to roadway inspections.
- Drivers are being advised to use alternate routes, as inspections may take the entire day.
Rail —
- NTSB is expected to release their findings on the East Palestine, Ohio train derailment this summer, during their final board meeting on the incident.
- Norfolk Southern will stop domestic/international intermodal service to Birmingham, Alabama and New Orleans on February 19th, due to low volumes transiting through cities – per the JOC.
- NS also plans to re-route traffic between Allentown, PA; Memphis, Kansas City, and St. Louis, and between Elizabeth, New Jersey; and Toledo, Ohio.
Cross-Border —
Canada:
- Federal officials are being brought in to help assist negotiations between dockworkers and the Port of Montreal.
- Strikes/lockouts cannot occur until the Canada Industrial Relations Board rules it’s deemed “essential.” The board is asking for more information – by mid-February – from all parties involved.
Mexico:
- U.S.-Mexico cross-border trade nearly reaches $800 billion in 2023.
- The Mexican Tax Authority plans to launch Carta Porte 3.0 with new regulations for compliance – starting April 1st, 2024.
- Two new requirements: Mexican Importer Information and the Mexican Material Code (MMT).
Georgia Ports Authority Planning $29 Million in Overpass Project
In a joint venture with the city of Savannah and Georgia Department of Transportation (GDOT), the GPA will be putting $29 million in an overpass linking Ocean Terminal to Route 17.
This overpass project is to help enable trucks to directly access Route 17, instead of using Louisville Road and local streets to enter the highway.
“This is a port project in the best interest of the community. We want to keep trucks off local neighborhood roads for safety and sustainability reasons,” says Griff Lynch, President and CEO of Georgia Ports Authority.
System Failures on Mexico’s Customs Systems Causes Truck Delays at the Border
Last week, Mexico’s National Customs Agency (ANAM) experienced failures on their customs systems, impacting cross-border trade as truckers experienced delays, according to various sources.
Timeline:
- Tuesday, February 6th: ANAM started to report issues in their customs operating system
- Wednesday, February 7th: All operations were suspended on the bridge that connects Nuevo Laredo, Mexico to the Word Trade Bridge (which typically handles tens of thousands of trucks per day) in Laredo, Texas.
- By the morning of Thursday, February 8th the World Trade Bridge was reopened. The issue stemmed from computer software issues.
Slowly but surely cargo traffic is getting back to normal at these impacted areas. However, freight backlogs at the U.S. – Mexico border have caused millions of dollars in lost revenue for various entities in the freight industry.
Commerce Blog
While it remains competitively viable in the present day, other options, mainly trucking, have marauded freight rail of its once singular dominance over transportation.
Freight rail leadership recognizes that in order to remain competitive, they must evolve their operations to meet the expectations of 21st century shippers. They must prove their service offerings embrace the technological advancements that are steering today’s world of shipping. Freight rail must reinvent itself.
CSX Teaming Up with Port of Mobile for a New Rail Facility
The Alabama Port Authority recently announced the development of a new intermodal container transfer facility (ICTF) located in Decatur, Alabama – according to the port authority’s website.
“This expansion not only signifies our confidence in the local economy but also reflects our ongoing efforts to meet the evolving needs of our customers while contributing to the growth of the communities we serve,” says John Driscoll, Alabama Port Authority Director.
Total Rail Traffic for the Week Ending February 3rd, 2024:
- For the most recent week ending February 3rd, total U.S. rail traffic was 491,697 carloads and intermodal units, per AAR data – up 11.6 percent compared to the same time last year.
- U.S. weekly intermodal volume was 269,484 containers and trailers – up 16.5 percent.
- Coal, motor vehicles and parts, metallic ores and metals all posted increases compared to the same time last year.
- Rail volume in North American for the first five weeks of this year was 3,112,134 carloads and intermodal units – down 1.4 percent compared to last year.
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