COLUMBUS, Ind. – The risk of a freight recession is rising, according to the latest ACT Freight Forecast from ACT Research.
“Freight remains soft, as expected, and while we see reasons for recovery in the second half of 2019, escalating trade tensions raise the risk of freight recession,” said Tim Denoyer, ACT Research’s vice-president and senior analyst. “Class 8 tractor retail sales are on fire, adding capacity to the market at an unfortunate time for truckers. Shippers are increasingly targeting freight cost savings, likely emboldened by attractive rates in the spot market.”
The report indicated dry van truckload spot rates fell nearly 19% year-over-year in April, and more than 3% from March, which is more than twice the historical average seasonal drop in April.