Drayage Issues To Persist Through 2022


DrayageIndustry News & Trends

May 26, 2022

Despite growing inflation concerns and increases in energy prices, businesses investments are up while consumers continue to spend.

Indeed, supply chains remain tight in support of business investments and consumer spending. Despite some softening in the truckload (TL) market, there is no softening in drayage.

There is a slight reprieve on the US West Coast due to COVID lockdowns in several Chinese cities, but US East Coast ports are experiencing backups as shippers diversify their use of ports to lessen their exposure to the US West Coast ports. According to Sea-Intelligence Maritime analysis, Asian imports into the ports at Charleston, Savannah and Virginia increased 16% year over year during the first quarter.

A lot of uncertainty continues in supply chains and costs remain high. As a result, drayage issues will likely continue through the end of the year but perhaps not to the extremes noted in 2021.

Drew Herpich shared his thoughts on where some supply chain issues might originate. Delivery expectations, transportation costs and warehousing space are among the pressure points that are driving these drayage issues.

Read the full article.


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