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Industry Insights, News, News & Thought Leadership, Publications

Posted

July 29, 2025 at 9:53 am

Supply Chain Industry Insights – July 2025

Industry Insights

July 2025

By PGL

The diesel benchmark price surged sharply in July, hitting its highest point in nearly a year at around $3.78 per gallon. This spike marks the largest weekly increase since early 2024, fueled by tight inventories and new regulations on shipping emissions

Union workers with SMART–TD Local 457 are conducting a strike vote amid accusations that Canadian Pacific Kansas City took advantage of service issues to reduce jobs and hours. If the poll favors action, a strike could disrupt rail freight drastically.

Ocean container rates from Asia to U.S. coasts continue to decline for the fifth straight week. West Coast rates dropped by about a quarter, while East Coast rates eased slightly, reflecting weaker demand and growing carrier capacity.

Through the first half of 2025, U.S. rail freight—both carload and intermodal—has climbed nearly 4% year-over-year. Weekly volumes remain steady, driven by growth in motor vehicles, metals, and coal.

That’s it for this month’s report. Staying informed is more important than ever.

Subscribe to our channel to make sure you get the latest supply chain insights.

As always, PGL will be here to keep you informed 24/7/365.

Follow us at @shipPGL and visit our website at www.shipPGL.com.

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Industry Insights, News, News & Thought Leadership, Publications

Posted

June 29, 2025 at 4:57 am

Supply Chain Industry Insights – June 2025

Industry Insights

June 2025

By PGL

Welcome to the PGL Industry Insights report for June 2025.

Retail diesel prices hit their lowest point for the year in early June, dropping to around $3.45 per gallon, and then edged up to about $3.47 after a rise in diesel futures. It’s the biggest increase in nine weeks, signaling a possible shift in the trend.

Amid a lockout and strike with Unifor, DHL Express Canada has requested a
government exemption from a new law banning replacement workers. Facing a suspension of services starting June 20, DHL argues the ban could cripple its operations and harm Canadian commerce.

Retailers are front-loading cargo as a 90-day tariff pause between the U.S. and China kicks in. Container volumes are spiking, and early peak season activity could stretch into July, offsetting prior slowdowns.

Container shipping costs from Asia to the U.S. East Coast jumped nearly 90%, reaching over $6,100 per FEU. A burst in demand and tariff relief have driven carriers to boost spot rates aggressively.

That’s it for this month’s report. Fuel prices and freight volumes continue to
bounce around, so staying informed is more important than ever. Subscribe to our channel to make sure you get the latest supply chain insights. As always, PGL will be here to keep you informed 24/7/365.

Follow us at @shipPGL and visit our website at www.shipPGL.com.

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Industry Insights, News, News & Thought Leadership, Publications

Posted

May 29, 2025 at 4:51 am

Supply Chain Industry Insights – May 2025

Industry Insights

May 2025

By PGL

Welcome to the PGL Industry Insights report for May 2025

The benchmark diesel price increased by 6.8 cents to just over $3.52 per gallon, marking the first rise after five consecutive weeks of decline. This uptick reflects recent surges in diesel futures prices.

The Port of Los Angeles reported record April volumes with 890,000 twenty-foot equivalent units in April, a 12% increase year-over-year. This increase is being attributed to the rush to get ahead of tariffs, but analysts are expecting a potentially steep decline in volume in the near future as indicated by a 36% drop in volume headed to Long Beach from China.

U.S. rail traffic for the week ending May 17 totaled 500,000 carloads and intermodal units, up 4.5% compared to the same week last year, driven by gains in coal and grain shipments.

Aurora Innovation was set to launch the nation’s first commercial driverless freight service, operating autonomous 18-wheelers between Dallas and Houston without a human behind the wheel. This decision was walked back within a few days as Texas lawmakers are reviewing House Bill 4402, a proposal to require human operators, even in an autonomous vehicle. This serves as a case study to monitor as the relationship between technology and lawmaking evolves.

That’s it for this month’s report. With ongoing shifts in fuel prices and freight volumes, staying informed is more important than ever. Subscribe to our channel to make sure you get the latest supply chain insights. As always, PGL will be here to keep you informed 24/7/365.

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Industry Insights, News, News & Thought Leadership, Publications

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April 28, 2025 at 4:40 am

Supply Chain Industry Insights – April 2025

Industry Insights

April 2025

By PGL

Welcome to the PGL Industry Insights report for April 2025

DHL has temporarily suspended all B2C shipments over $800 to the U.S. due to ongoing challenges with regulatory requirements and delivery complexities. This move is part of DHL’s broader response to growing concerns over U.S. import rules and logistics constraints, affecting e-commerce and international shipments.

The benchmark diesel price recently dropped by 8.2 cents per gallon, marking the second-largest price decline of 2025. This price drop to $3.458 is the lowest since October 2021 and is expected to influence fuel surcharges across the industry.

Rail traffic continues to show strong growth, with total carloads and intermodal units rising 5.5% compared to the same period in 2024. This increase is fueled by higher demand in sectors like metallic ores and coal, while forest product shipments saw a slight decline.

Trans-Pacific container rates have continued to ease, with rates to the West Coast now sitting at $2,200 per FEU, reflecting competition and fleet growth in the market.

That’s it for this month’s report. Subscribe to our channel to make sure you get the latest supply chain insights. As always, PGL will be here to keep you informed 24/7/365.

Follow us at @shipPGL and visit our website at www.shipPGL.com.

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Industry Insights, News, News & Thought Leadership, Publications

Posted

April 2, 2025 at 4:38 am

Supply Chain Industry Insights – March 2025

Industry Insights

March 2025

By PGL

Welcome to the PGL Industry Insights report for March 2025.

President Trump signed a proclamation imposing 25% tariffs on imported automobiles and key auto parts under Section 232 of the Trade Expansion Act. Importers of automobiles under the United States-Mexico-Canada Agreement can apply for certification of their US content, with tariffs applying only to non-U.S. portions.

For the fourth consecutive week, U.S. rail traffic rose over 5% year-over-year, reaching almost half a million carloads and intermodal units. Growth was led by metallic ores, minerals, and coal, while forest product shipments declined.

Post-Lunar New Year, trans-Pacific shipping rates have eased, despite stronger volumes. Rates sit at 20% below 2024 lows. Asia-Europe rates have also fallen due to weaker demand and new carrier alliances.

After three weeks of declines, diesel prices rose 1.8 cents to $3.567 per gallon. Market uncertainty, sanctions on Iranian oil, and rising ultra-low sulfur diesel futures contributed to the increase.

In Labor News, rail workers ratified a new contract with the National Carriers’
Conference Committee. The deal guarantees 17.5% wage increases, improved healthcare, and more vacation time.

That’s it for this month’s report. Subscribe to our channel to make sure you get the latest supply chain insights. As always, PGL will be here to keep you informed 24/7/365.

Follow us at @shipPGL and visit our website at www.shipPGL.com.

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Industry Insights, News, News & Thought Leadership, Publications

Posted

February 26, 2025 at 4:30 am

Supply Chain Industry Insights – February 2025

Industry Insights

February 2025

By PGL

Welcome to the PGL Industry Insights report for February 2025.

The Port of Los Angeles had its busiest January ever, moving more cargo than in any previous year. This surge was driven by a strong economy and businesses shipping goods early to avoid possible tariffs and delays from the Lunar New Year. Imports increased significantly, while exports declined. The rise in empty containers leaving the port suggests that even more shipments are on the way.

Rail traffic in the U.S. showed slight growth in mid-February, with container shipments rising while traditional freight like coal and chemicals declined. Canada saw modest rail growth, while Mexico reported lower volumes. Despite mixed results, overall rail activity across North America has been trending upward this year.

Ongoing tariff changes are keeping ocean shipping costs high. Businesses are rushing to move goods ahead of possible price increases, pushing up shipping rates. Analysts warn that if new tariffs take effect later this year, container costs could hit their highest levels since last summer.

Diesel prices have been creeping up, with only small changes week to week. The increase follows new U.S. sanctions on Russian oil, which could tighten global supply.

While prices have not spiked sharply, the steady upward trend is something to watch. In Laredo, Texas, the busiest border crossing for U.S.-Mexico trade, fewer trucks are available for cross-border shipments, as many carriers are shifting their focus to
California where demand for imports remains strong. Trade policy uncertainty and shifting market conditions are making it harder for shippers to secure capacity.

That’s it for this month’s report. Subscribe to our channel to make sure you get the latest supply chain insights. As always, PGL will be there to keep you informed 24/7/365.

Follow us at @shipPGL and visit our website at www.shipPGL.com.

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Industry Insights, News, News & Thought Leadership, Publications

Posted

January 30, 2025 at 8:11 am

Supply Chain Industry Insights – January 2025

Industry Insights

January 2025

By PGL

Welcome to the PGL Industry Insights report for January 2025.

Truckload markets are experiencing a surge in tender rejection rates, the highest in two years, indicating increased reactivity. Intermodal markets are thriving, with double-digit volume growth driven by strong import levels.

Ocean freight faces uncertainty due to added capacity in 2025 and the threat of tariffs. Pre-Lunar New Year demand has boosted trans-Pacific container rates, with Asia-U.S. West Coast rates up 23% per container and East Coast rates up 13%.

The International Longshoremen’s Association (ILA) and the United States Maritime Alliance (USMX) reached a tentative six-year agreement, avoiding a potential strike. The deal allows terminal operators to implement semi-automated technology while guaranteeing jobs for union workers linked to the new equipment. A 62% pay increase agreed upon after an October 2024 strike is contingent on the final contract ratification.

Houthi rebels announced they will cease attacks on merchant shipping and Israel following a ceasefire between Israel and Hamas. Ocean carriers are closely monitoring the Red Sea situation, with only CMA CGM maintaining a Suez Canal route.

Diesel prices have risen sharply, reaching just over $3.70 per gallon, the highest since August. The 11.3-cent increase is the largest weekly gain since February, partly driven by shipping disruptions in the Red Sea. This is a big turn–around after steadily decreasing prices over the last half-year, though the price is still well short of the $4.00 threshold.

That’s it for this month’s report. Subscribe to our channel to make sure you get the latest supply chain insights. As always, PGL will be here to keep you informed 24/7/365.

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Supply Chain Industry Insights

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Industry Insights, News, News & Thought Leadership, Publications

Posted

December 20, 2024 at 4:06 pm

Supply Chain Industry Insights – December 2024

Industry Insights

December 2024

By PGL

Welcome to the PGL Industry Insights report for December 2024

Season’s greetings from all of us here at PGL. We hope you have a wonderful holiday and a prosperous 2025 ahead of you!

We start this month’s report with news that the uptick in rail freight continues with intermodal volume up almost 10% this year over 2023. This was buoyed somewhat by an uncharacteristically large slump the week of Thanksgiving, but volume is still up for the year, and there are indications that it will continue to perform well in the new year.

In ocean freight, Labor tensions and political uncertainty with regard to future tariffs kept late November container rates to the US high, with Asia-to-US rates well over $5,000 per FEU and heading up. Forecasters are identifying both the West and Gulf Coast ILA labor fight as well as trepidation surrounding the unknown timing and overall impact of proposed tariff increases as factors for shippers to try to beat these issues to the punch, increasing volume and therefore, cost, ahead of what should prove to be an impactful January.

Speaking of the current ILA labor issues, President-elect, Donald Trump has commented repeatedly in recent days that he backs the Union’s stance to block port automation. It is unknown how this may affect the big picture, or how a long-term work stoppage would be received by the administration. PGL will keep an eye on how this develops ahead of the January 15 negotiation deadline.

Twice this month, US warships successfully defended three US-flagged merchant ships in the Gulf of Arden. The Destroyers were able to intercept several different ballistic and cruise missiles that were launched by the Houthi rebels that have been hunting vessels in the Red Sea for over a year.

After a tiny bump at the beginning of the month, benchmark diesel price dropped again, going below its lowest point in over three years that was hit in November. Early this month, OPEC+ held a meeting that led to an extension of the production cuts that were due to be adjusted for higher volume in December. The futures market remains bearish, with no signs of increasing prices on the horizon.

That’s it for this month’s report. Subscribe to our channel to make sure you get the latest supply chain insights. As always, PGL will be here to keep you informed 24/7/365.

Follow us at @shipPGL and visit our website at www.shipPGL.com.

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Supply Chain Industry Insights

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Industry Insights, News, News & Thought Leadership, Publications

Posted

December 3, 2024 at 6:20 pm

Supply Chain Industry Insights – November 2024

Industry Insights

November 2024

By PGL

Welcome to the PGL Industry Insights report for November 2024.

We start this month’s report with news that the Environmental Protection Agency’s Clean Ports Program has awarded 3 billion dollars to 55 ports across 27 states to secure new electric drayage trucks and cargo handling equipment, as well as the changing infrastructure to accommodate the new additions. This effort should make ports more efficient and have a positive impact on the environment.

In labor news, on November 14th the Canada Industrial Relations Board ordered all parties to resume operations after the International Longshore and Warehouse Union Ship & Dock Foremen union began a November first strike, followed by a subsequent lockout. A binding arbitration process is underway to resolve outstanding issues.

In the Boeing strike, the International Association of Machinists and Aerospace Workers union ended labor stoppage after 53 days with the approval of a new contract.

As we’ve reported before, 2024 is shaping up to be a strong year for intermodal freight, as according to a recent report from the Association of American Railroads, 2024 intermodal volume is up 9% over last year.

The benchmark diesel price dropped again this month, reaching its lowest point in over three years, just below the $3.50 mark.

The futures market remains undecided on the heels of a Trump presidential win, but expectations of decreased regulation and an intention to “drill baby drill” may keep prices low.

That’s it for this month’s report. Subscribe to our channel to make sure you get the latest supply chain insights. As always, PGL will be here to keep you informed 24/7/365.

Follow us at @shipPGL and visit our website at www.shipPGL.com.

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Supply Chain Industry Insights

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Industry Insights, News, News & Thought Leadership, Publications

Posted

October 31, 2024 at 6:38 pm

Supply Chain Industry Insights – October 2024

Industry Insights

October 2024

By PGL

Welcome to the PGL Industry Insights report for October 2024

The month had a turbulent start with the International Longshoremen’s Association East and Gulf Coast dockworkers strike that began on the first of October. Work quickly resumed on October 3rd as a tentative agreement was reached between the ILA and United States Maritime Alliance with 61% pay raise and contract extension for the 45,000 dock workers. Talks will continue to resolve outstanding issues that will hopefully be sorted out and ratified by union members by the January 15, 2025 deadline.

The promised heavy storm season is certainly delivering, with Hurricanes Helene and Milton storming the East coast in quick succession. These storms provided the expected hardships of fuel shortages, flight cancellations and general mayhem for the logistics industries. Rail was particularly hard-hit, forcing the closure of the Norfolk Southern Line into Asheville, North Carolina for at least 3 months to rebuild after Hurricane Helene, and 10 ports in Florida and Georgia were forced to temporarily close after Hurricane Milton.

On the West coast, the Port of Los Angeles saw record volume in September of over 950,000 TEUs in September, a 27% increase over last year, leading to an all-time volume high of over 2.8 million TEUs in the third quarter. Experts point to rising consumer confidence and shippers avoiding the Suez Canal as main contributing factors to this boom.

The benchmark diesel price experienced one of its biggest yo-yo months in recent memory with a large spike early in the month and projected higher futures, followed swiftly by the largest one week drop in almost a year. Continued high production in the US as well as speculation that OPEC will increase production in 2025 are contributing to the price drop.

That’s it for this month’s report. Subscribe to our channel to make sure you get the latest supply chain insights. As always, PGL will be here to keep you informed 24/7/365.

Follow us at @shipPGL and visit our website at www.shipPGL.com.

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Supply Chain Industry Insights

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Industry Insights, News, News & Thought Leadership, Publications

Posted

October 1, 2024 at 7:42 pm

Supply Chain Industry Insights – September 2024

Industry Insights

September 2024

By PGL

Welcome to the PGL Industry Insights report for September 2024

We start with news about the the benchmark diesel price used to calculate most fuel surcharges, which rose last week for the first time in 10 weeks, with the price rising to just over $3.50 per gallon, still well below the 4 dollar mark where the price usually hovers over the last few years.

In Asia, the typhoon season has been more destructive than normal, having significant impact on port operations. The Atlantic Ocean and Gulf of Mexico are in for a continued rough season as well, as we soldier on through a season that’s been forecasted to be tougher than most. For example, the World Trade Bridge in Laredo, Texas, the busiest U.S.-Mexico commercial crossing in the nation was forced to shut down temporarily on September 14 due to hurricane Francine causing a roof collapse in the customs area and Hurricane Helene has beared down on Florida and the East coast just this weekend.

In labor news, International Longshoremen’s Association East and Gulf Coast dockworkers are threatening to strike on October 1st. Bargaining talks broke down months ago, and at the time of this recording, talks have still not restarted.

On September 18, the US Department of Justice filed a claim for over $100 million against the owner and operator of the Dali, the container ship that struck the Francis Scott Key Bridge in March. A DOJ representative described the incident as “an entirely avoidable catastrophe”.

Continued hostility in the Red Sea is having a dramatic impact on insurance rates, especially for vessels with ties to the US, UK and isreal. Some coverage is available, but insurance companies are becoming more selective and imposing rising costs and restricted options for shipowners.

In Intermodal news, US rail is performing well with container and trailer volume up 13.% year over year. You’ve just taken a big step to being more informed.

Subscribe to our channel to make sure you get the latest supply chain insights. As always, PGL will be here to keep you informed 24/7/365.

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Supply Chain Industry Insights

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Industry Insights, News, News & Thought Leadership, Publications

Posted

September 5, 2024 at 1:00 pm

Supply Chain Industry Insights – August 2024

Industry Insights

August 2024

By PGL

Welcome to the PGL Industry Insights report for August 2024

The Houthi-rebels have struck again. Sounion, a Greek-flagged oil tanker carrying 150,000 tons of crude oil across the Red Sea, exploded when Houthi rebels attacked on August 21, with fires still visible almost two weeks later, sparking fear of environmental disaster. If a spill occurs, it could be the worst oil spill in history. The Sounion is the third vessel operated by Athens-based Delta Tankers to come under Houthi attack this month. The militants said Delta Tankers had violated their ban on “entry to the ports of occupied Palestine”. The Houthis continue to target tankers, with two hit with ballistic missiles and a drone on Monday.

August has brought a surge in ocean freight rates, driven by an early peak season demand, coupled with congestion and ongoing labor issues at major ports. Despite shipping lines rolling out new vessels, the capacity is struggling to keep pace. Initially, rates are expected to stay high, but there’s some good news on the horizon – they might start to ease as the month progresses.

In Europe, we’re seeing strong import growth, particularly from China, fueled by the e-commerce boom. However, while rates from Asia to Europe remain steep, rates from Europe to other regions have seen a decline. Plus, new inland infrastructure developments in the UK are set to enhance supply chain efficiency, especially with the opening of Maersk’s inland container depot in the Midlands Freeport Zone.

But it’s not all smooth sailing – geopolitical tensions, particularly in Ukraine and the Middle East, and an above-average hurricane season in the Atlantic pose significant risks to the supply chain. These could lead to delays and increased costs across the board.

On the labor front, an order was issued on August 24 from the Canada Industrial Relations Board imposing binding arbitration between the Company and the Teamsters Canada Rail Conference. This action voided the pending strike and requires that no labor stoppage can occur during the arbitration process.

Those in the trucking industry also face some challenges. Driver shortages and rising fuel costs are driving up transportation expenses and causing delays. New emissions regulations are pressuring companies to upgrade their fleets, but the high costs and slow adoption of automation and electric vehicles are adding to the strain.

As of today the diesel benchmark price has remained steady at $4.2 per gallon, following a significant increase from last week. This stability contrasts with recent volatility in the futures market, where ultra-low sulfur diesel prices saw fluctuations.

In a landscape as complex as this, staying agile and well-informed is key. Subscribe to our channel to make sure you get the latest supply chain insights. As always, PGL will be here to keep you informed 24/7/365.

Follow us at @shipPGL and visit our website at www.shipPGL.com.

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