Reported 5 months ago
The article discusses how shippers had significant leverage in the freight market due to excess capacity keeping rates low, causing them to demand rate concessions from carriers. With truckload spot rates at historic lows, carriers experienced profitability lows, prompting warnings of a potential "carrier revenge" as shippers continued to push for rate cuts. The article highlights the risk shippers face as an extreme hurricane season is forecasted, potentially leading to disruptions and a shift in market dynamics that could favor carriers, resulting in possible retaliatory actions.
Source: YAHOO