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In this episode of FreightWaves Daily, we analyze why the freight market has shifted into panic mode with rejection rates doubling and spot rates climbing significantly. We break down the perfect storm of weather, holiday demand, and regulatory crackdowns that are rapidly removing carrier capacity from the road. We then turn to the escalating constitutional showdown in California, where the state plans to reissue 17,000 non-domiciled CDLs despite federal warnings. The FMCSA has threatened to withhold highway funding or even decertify the state's entire commercial licensing program if officials proceed with the plan. In rail news, Union Pacific and Norfolk Southern have filed a historic application to create America's first transcontinental railroad, uniting western and eastern networks. This massive merger aims to convert interline lanes to single-line service, potentially shifting millions of truckloads off the highway and onto the tracks. The U.S. Postal Service is making a desperate pivot by opening its last-mile network to retailers and logistics companies in a bid to stave off insolvency. This strategy allows shippers to bid on volume and pricing for same-day or next-day delivery using the USPS infrastructure. Facing a 1,500% surge in organized crime, industry leaders are pressuring lawmakers to pass legislation that federalizes the fight against cargo theft. The proposed bill would lower the threshold for federal intervention and create a coordination center to track transnational criminal rings. Finally, we cover Maersk's recent test transit through the Red Sea and RPM Freight's strategic acquisition to enter the luxury vehicle transport market. Volatility is baked into the 2026 landscape, so tune in to understand how these shifts impact your supply chain planning. Learn more about your ad choices. Visit megaphone.fm/adchoices

Union Pacific and Norfolk Southern have officially submitted their nearly 7,000-page application to the Surface Transportation Board to create the nation's first Union Pacific and Norfolk Southern file historic rail merger application. If the merger meets regulatory approval, the companies anticipate the deal will be finalized and the new network operational by early 2027. In an effort to restore financial viability, the United States Postal Service is opening its US Postal Services wants retailers to compete for last-mile delivery network to retailers and logistics companies willing to bid for the service. Postmaster General David Steiner's new strategy will begin accepting bids early next year, with service potentially launching in the third quarter of 2026. Meanwhile, DHL Global Forwarding has committed $1.5 million to expand DHL drops $1.5 million to expand cold storage at LAX capabilities near Los Angeles International Airport. This investment targets the growing demand from pharmaceutical and life sciences shippers while strengthening Los Angeles' role as a critical gateway for temperature-sensitive cargo. Stay tuned to FreightWaves TV for new episodes of WHAT THE TRUCK?!?, Freight Expectations, and Running on Ice later this afternoon. Listen now for a concise summary of today's top logistics stories before heading into the new year. Learn more about your ad choices. Visit megaphone.fm/adchoices

In this episode of The Daily, we explore the historic downturn in the trucking market where compliant carriers are struggling against rates that have fallen well below operating costs. We examine claims that labor arbitrage and CDL fraud are tilting the playing field by allowing non-compliant fleets to undercut the market. We also investigate a potential regulatory ticking time bomb as the administration considers rescheduling marijuana, a move that could inadvertently strip the DOT of its authority to test drivers. With marijuana accounting for nearly 60% of positive drug tests, the industry is urgently pushing for a safety carve-out to prevent liability risks. Global operations are facing their own chaos, illustrated by FedEx struggling to manage pilot accommodations after grounding its MD-11 fleet during peak season. On the ocean side, carriers like Maersk and Hapag-Lloyd are dropping Baltimore from key services, citing the risks associated with the long transit up the Chesapeake Bay. Geopolitical tensions are also rising as a massive sale of global port assets has stalled because China is demanding a controlling interest in Panama Canal facilities. This move highlights the growing struggle for control over critical trade choke points in the global supply chain. Finally, we look at how technology is stepping in to help fleets build resilience, from Nirvana Insurance raising $100M to create an AI-driven operating system for risk management. We also discuss a new partnership between OTR Solutions and SONAR that embeds real-time rate intelligence directly into carrier workflows to help them negotiate with confidence. Learn more about your ad choices. Visit megaphone.fm/adchoices

This episode of the FreightWaves Morning Minute breaks down how OTR Solutions partners with SONAR to bring data-driven rate intelligence directly to carriers. The integration empowers fleets to benchmark their performance against market conditions and negotiate with greater confidence. In the M&A sector, the podcast highlights that RPM Freight acquires Dealers Choice Auto Transport to expand its finished vehicle logistics capabilities. This strategic move adds white-glove service for luxury vehicles to RPM's network while opening new OEM opportunities for Dealers Choice. Finally, the briefing examines the legislative landscape as trucking, retail pressure lawmakers to pass anti-theft bill amid a surge in sophisticated cargo theft. Industry leaders argue that a unified federal response is essential to tackle the complex, transnational criminal networks targeting the supply chain today. Learn more about your ad choices. Visit megaphone.fm/adchoices

In this episode, we break down the bifurcation in global logistics, where carriers look to higher rates, fewer sailings on key Asia-US route while demand on Asia-Europe lanes strengthens. Domestically, a strange market paradox is emerging as the Cass TL Linehaul Index extends a positive run, with rates rising due to tight capacity even as shipment volumes decline. Structural changes are hitting the workforce hard, evidenced by reports that from factories to fulfillment centers, more layoffs hit U.S. supply chains, including major cuts at Ford and Kroger. These strategic pivots are happening alongside regulatory updates, such as when a new bipartisan caucus targets trucking reform to address CDL integrity and aging infrastructure. Safety concerns are also driving legislative action, as new legislation tackles truck-bridge crashes caused by inaccurate GPS routing in states like New York. Meanwhile, friction is building in the rail sector as rail unions oppose historic transcontinental rail merger between Union Pacific and Norfolk Southern. Finally, to navigate this volatility, the industry is shifting toward predictive technology, exemplified by Inside Cleo's vision for an AI-native supply chain that thinks ahead. We discuss how these context-aware tools are becoming essential for maintaining service levels amidst permanent labor and capacity shifts. Learn more about your ad choices. Visit megaphone.fm/adchoices

In this episode of the FreightWaves Morning Minute, we break down the conflicting economic signals heading into 2026 as plummeting operational costs collide with tightening capacity. Benchmark diesel falls again as oil market selloff picks up steam, with crude futures dipping below $60 per barrel even as retail pump prices struggle to catch up to the drop. Capacity pressures are intensifying from factories to fulfillment centers, as more layoffs hit U.S. supply chain, including over 4,200 recent job cuts at major companies like Ford and Great Dane. These structural reductions highlight a market realignment that goes beyond typical seasonal dips, creating significant capacity constraints across the sector. New government data reveals that truck transportation jobs last month were the lowest in years, dropping to levels not seen since June 2021. Despite this decline in employment, the capacity squeeze has pushed the average hourly wage for non-supervisory trucking employees to a record high of $31.40. Learn more about your ad choices. Visit megaphone.fm/adchoices

In this episode, we examine major structural shifts in the supply chain, starting with how Wagner Logistics has acquired the contract logistics business of Dawson Logistics to expand its national footprint and industrial capabilities. We also discuss Amazon Air Cargo's new money-back guarantee, a move that offers refunds of up to $10,000 for service failures as the retailer commercializes its internal network. The conversation turns to the southern border, where Uber Freight predicts a freight rebound driven by nearshoring and Mexico's growing role as a top trading partner. We also analyze the political momentum behind the proposed Union Pacific and Norfolk Southern rail merger, which has recently gained bipartisan support from lawmakers in Mississippi and Louisiana. Finally, we highlight the financial risks of operational negligence, focusing on a $44.1 million nuclear verdict against New Prime stemming from a fatal crash involving a driver with inadequate winter training. This is contrasted with industry-wide reliability, as major parcel carriers achieved a 98% on-time delivery rate during the early holiday peak season. Learn more about your ad choices. Visit megaphone.fm/adchoices

In this episode of the FreightWaves Morning Minute, we discuss the major leadership shuffle as Brad Jacobs steps down as chairman of XPO and GXO to dedicate his full attention to his newest venture. He aims to grow QXO into a $50 billion revenue giant in the building products sector through a strategy of aggressive consolidation and organic growth. Union Pacific has appointed Tony Will, the retiring CEO of CF Industries, to its board of directors as the company prepares for a historic transformation. This executive move precedes the expected December 19 filing for a merger with Norfolk Southern that aims to establish the nation's first transcontinental railroad. We also cover how Amazon is offering a money-back guarantee to air cargo shippers to signal its reliability as a third-party logistics partner. This strategic pivot mirrors the AWS model, leveraging internal logistics capacity and a new digital console to offer high-control service to external customers. Finally, tune in for previews of the latest episodes of Loaded and Rolling and Check Call coming up later today on FreightWaves TV. Don't forget to visit the website to vote for your Favorite Freight Town before the results are revealed in January. Learn more about your ad choices. Visit megaphone.fm/adchoices

In this episode of The Daily, we unpack a confusing market signal where domestic trucking capacity is tightening due to carrier attrition despite soft demand. Meanwhile, oversupply in the ocean freight market is causing carriers to lose pricing power as vessels return to the Suez Canal. We also explore how upcoming 2026 customs reforms in Mexico aim to crack down on duty evasion but will drastically increase liability for customs brokers. These changes represent a significant shift in trade governance that could reshape cross-border manufacturing compliance. New analysis of FMCSA data reveals a shocking safety gap, showing that midsize trucking fleets have significantly higher crash rates per driver than their larger competitors. This discovery raises critical questions about how shippers should approach carrier vetting to mitigate outsized risk profiles. In executive news, industry titan Brad Jacobs steps down from XPO and GXO to focus his energy on building his new venture, QXO. Additionally, Ryder System announces a leadership transition as CEO Robert Sanchez prepares to retire after doubling the company's revenue during his tenure. Finally, we discuss how Orderful's new AI-powered platform, Mosaic, aims to eliminate the decades-old headache of manual EDI mapping. This innovation promises to cut integration times from months to weeks for global supply chains. Learn more about your ad choices. Visit megaphone.fm/adchoices

In this episode, we discuss how the House approval of digital financial disclosures would impact USPS mail by eliminating the requirement for hardcopy delivery of investor documents. This legislation could further reduce mail volume and revenue for the financially struggling Postal Service, which recently reported a $2.8 billion operating loss. Next, we cover the news that Maersk tabs new CFO, North American chief in global leadership shakeup as the shipping giant attempts to regain ground after losing its top global ranking. Robert Erni joins as the new Chief Financial Officer alongside other regional leadership changes intended to address an evolving market and increased competition. Finally, we look at the data showing Mexico's heavy-truck exports plunges 22% as light-vehicle demand also dips amid ongoing trade uncertainties and local disruptions. Industry leaders point to U.S. tariffs and road blockades as key factors driving significant declines in production and exports across the automotive sector. Learn more about your ad choices. Visit megaphone.fm/adchoices

In this episode of the FreightWaves Morning Minute, we break down PACCAR's strategic push into zero-emission vehicles with new medium-duty models from Peterbilt and Kenworth. The parent company is doubling down on scalability by building out the necessary charging infrastructure to support these electric fleets. Next, we discuss a historic labor victory as Teamsters locals in Northern California and Nevada secure a groundbreaking regional deal with Sysco. This four-year contract establishes a new industry standard with a 34% wage increase and strong protections against automation. Finally, we look at the monumental filing by Union Pacific and Norfolk Southern to create the nation's first freight-only transcontinental railroad. This move initiates a critical review period that serves as the first real test of the Surface Transportation Board's tougher consolidation rules. Learn more about your ad choices. Visit megaphone.fm/adchoices

In today's episode, we analyze the Department of Transportation's recent move to sideline 9,500 truck drivers for English-language violations. Critics warn that this crackdown may be distracting from larger problems regarding fraudulent CDLs and foreign labor exploitation. We also discuss a pivotal Supreme Court case where a bipartisan group of attorneys general is challenging protections for freight brokers. If successful, this push could force brokers to face state liability claims for negligent carrier selection. In corporate news, Enterprise Mobility is expanding into the heavy-duty market by acquiring Hogan, while Heartland Express integrates CFI's operations to improve profitability. We also cover CSX's decision to ground its entire corporate jet fleet as the railroad faces financial headwinds. Market volatility remains high as Laredo carrier Texas International Enterprises files for Chapter 11 bankruptcy. To help you navigate these shifts, we preview the upcoming FreightWaves Roadshow, designed to equip logistics professionals with strategies for resilience. Learn more about your ad choices. Visit megaphone.fm/adchoices

The Federal Highway Administration is calling on the private sector to provide funding for the replacement of the American Legion Memorial Bridge, which is currently costing the industry an estimated $43 million in congestion delays. For more details on the agency's request to address this major infrastructure challenge, read how the DOT wants private sector to end $43M freight bottleneck. DHL Supply Chain has officially added its first Tesla Semi to its fleet following a successful pilot program in California that saw the vehicle average 1.72 kWh per mile. You can learn more about the vehicle's specs and route performance as DHL Supply Chain deploys first Tesla Semi in net zero carbon push. A Laredo-based cross-border carrier with 600 drivers has filed for bankruptcy protection, reporting up to $50 million in liabilities and over 200 creditors. Details regarding the filing and fleet operations are available in the report: Laredo carrier Texas International Enterprises files for Chapter 11. Finally, tune in to FreightWaves TV for new episodes of The Long Haul and Freightonomics airing later this morning. Don't forget to visit vote.freightwaves.com to cast your ballot for America's favorite freight town before the results are revealed at the end of the year. Learn more about your ad choices. Visit megaphone.fm/adchoices

This episode explores the high-stakes balancing act logistics companies face as they navigate internal optimization against a backdrop of external chaos. We begin by analyzing the sharp drop in benchmark diesel prices as domestic refineries ramp up production, though experts warn of a potential oil super glut by 2026. In the cold chain sector, Lineage is combatting excess capacity by rolling out its LinOS system to generate $110 million in efficiency gains through automation. Meanwhile, the automotive logistics space sees strategic consolidation as RPM acquires PARS to create a comprehensive vehicle lifecycle platform that includes driveaway and titling services. Technological advancements continue as Daimler Truck and Torc Robotics integrate short-range LiDAR to bring autonomous freightliners to the North American market. However, carriers must remain vigilant on compliance, as the FMCSA has revoked 62% more ELDs this year, threatening immediate shutdowns for fleets using banned devices. Corporate governance takes center stage with the affirmed 20-year sentence for Slync.io's founder, serving as a stark reminder of the importance of fiduciary trust in freight tech. Finally, we examine the supply chain risks emerging from threatened tariffs on Mexico tied to a dispute over water deliveries that is already impacting Texas agriculture. Learn more about your ad choices. Visit megaphone.fm/adchoices

In this episode of the Daily, we break down the severe supply chain disruptions occurring as blockades choke Mexico's border trade as farmers and truckers escalate unrest, stranding thousands of truckloads and causing billions in unrealized exports. We also analyze the market outlook as Morgan Stanley sees a supply-side 'spark' for trucking in 2026, predicting that regulatory crackdowns on drivers will significantly tighten capacity and raise rate floors. The conversation turns to safety and compliance, highlighting commentary that the trucking industry needs better crash data to fix critical flaws in how carriers are vetted for liability. Simultaneously, regulators are embracing new technology, as Feds OK automation and say railroads can make fewer visual track safety checks, a move intended to increase efficiency despite union concerns about risk. On the innovation front, we discuss a milestone deployment as the sand must flow: Aurora's driverless fleet hits Permian roads to autonomously haul frac sand for more than 20 hours a day. We close with a look at the intellectual property war in logistics software, where o9 Solutions accuses SAP of trade secret theft in a high-stakes supply chain software dispute, alleging former executives stole thousands of files to boost a competitor's AI capabilities. Learn more about your ad choices. Visit megaphone.fm/adchoices

A massive capacity glut is forcing established fleets like James R. Smith Trucking to close their doors. We also look at the sudden collapse of two Minnesota carriers, MinStar Transport and Transport Design Inc., which left 200 drivers out of work overnight. As legitimate capacity folds, the industry is becoming a regulatory "hellscape" where loopholes allow minimally trained drivers to replace compliant operators. We discuss how these unchecked market dynamics have contributed to a 40% rise in fatal truck crashes and a surge in cargo theft. State authorities are stepping up enforcement, with Mississippi referring illegal truckers to ICE after identifying drivers violating English proficiency and license standards. This segment highlights the growing push to close federal loopholes that have allowed non-domiciled CDL abuse to flourish. In the financial sector, we analyze the widening performance gap as RXO receives a negative outlook from S&P Global while competitor C.H. Robinson sees its credit rating upgraded. The discussion breaks down the sharp contrast in debt ratios and stock market performance between these two brokerage giants. We also report on the sentencing of an Ohio trucking operator to 30 months in prison for a decades-long tax evasion scheme involving shadow companies. Finally, help celebrate the industry's unsung heroes by casting your vote for America's favorite freight town in our latest contest. Learn more about your ad choices. Visit megaphone.fm/adchoices

On today's FreightWaves Morning Minute, we report on the sudden closure of two Minnesota carriers that has left approximately 200 drivers out of work. MinStar Transport and Transport Design, Inc., both operating under True North Equity Partners, announced they were ceasing operations over the weekend. We also discuss a crackdown on the southern border where Mississippi is sending illegal truckers to ICE after identifying 85 unauthorized drivers in three months. Senator Cindy Hyde-Smith is advocating for stricter federal legislation regarding non-domiciled CDLs and English language proficiency to address these safety concerns. In legal news, an Ohio trucking company operator has been sentenced to 30 months in prison for a long-running tax evasion scheme involving Defense Department contracts. Alice Martin must pay nearly $2 million in restitution after pleading guilty to charges related to her company, Martin Logistics. Finally, tune in to FreightWaves TV at noon for a new episode of WHAT THE TRUCK?!? featuring Malcolm Harris. You can catch the live broadcast or listen to the replay on SiriusXM channel 146. Learn more about your ad choices. Visit megaphone.fm/adchoices

A federal appeals court has granted a request to hold the lawsuit regarding non-domiciled CDL restrictions in abeyance while the agency reviews public comments. This decision temporarily halts the interim final rule, meaning the FMCSA gets time-out on CDL crackdown and nearly 200,000 trucking jobs remain protected under previous standards for now. Beyond the courtroom, industry experts argue that a focused English-language crackdown exposes how cheap labor and CDL fraud are remaking trucking by revealing a "new ecosystem" of transient foreign drivers. Grace Maher of OTR Solutions explains that drivers from Eastern Europe and Asia are suppressing freight rates by entering the market temporarily to undercut prices before returning home. In infrastructure news, the Indiana port expands barge steel capacity at Jeffersonville by 40% to accommodate consistent double-digit growth and strong demand. Indiana River & Rail Terminals has leased a fourth building, raising their total storage capacity to 350,000 square feet to better serve multimodal customers. Finally, stay tuned for a new episode of WHAT THE TRUCK?!? airing live at noon on FreightWaves TV with Malcolm Harris. If you miss the live broadcast, you can catch the replay on the FreightWaves YouTube channel. Learn more about your ad choices. Visit megaphone.fm/adchoices

In this episode, we investigate a safety crisis on American highways as industry leaders expose a loophole allowing thousands of fraudulent training providers to operate. We also analyze a pivotal legal battle reaching the U.S. Supreme Court that could redefine whether freight brokers are liable for negligent hiring. Major U.S. ports are raising alarms that a proposed consolidation of rail carriers could severely reduce competition and threaten infrastructure investments. Simultaneously, agricultural leaders are urging for policy changes to overcome tariffs and regulatory "self-inflicted wounds" hindering trade. Market data reveals a tightening environment where retailers are facing a sudden spike in transportation costs despite stalled capacity. These economic pressures are mirrored in the financial sector, where rising credit losses for major lenders point to a deepening struggle for carriers. Learn more about your ad choices. Visit megaphone.fm/adchoices

New research from ATRI indicates that pre-crash negligence, such as substance abuse allegations, is driving a massive increase in jury awards against trucking companies. This analysis suggests that organizational failures now carry financial multipliers that far exceed those associated with crash severity alone. In payment news, Relay Payments has secured a deal with Travel Centers of America, completing its coverage of the "big three" travel center providers alongside Love's and Pilot. This expansion allows the digital payment platform to service fleets of all sizes with a network that now encompasses roughly 90% of the high-flow diesel market. Finally, SpeedX has opened a new e-commerce superhub in Chicago capable of processing 500,000 shipments daily as part of its rapid U.S. expansion. This strategic move highlights how independent parcel carriers are building nationwide networks to compete directly with FedEx and UPS for last-mile dominance. Later today on FreightWaves TV, tune in to The Long Haul for a conversation with Danielle Spanelli regarding rail theft and compliance. You can catch the episode at 10 a.m. or watch it on the FreightWaves YouTube channel. Learn more about your ad choices. Visit megaphone.fm/adchoices

This episode of FreightWaves Daily unpacks a massive safety crisis involving fraudulent CDL schools, where a regulatory loophole has allowed unqualified drivers to self-certify without state oversight. New enforcement measures are projected to remove nearly 200,000 drivers from the road, creating a high-stakes trade-off between highway safety and available capacity. State officials and industry leaders are warning that this rapid reduction in the driver pool could severely disrupt supply lines and increase operational costs. We examine the tension between these necessary safety crackdowns and the potential for a severe economic shock. Shifting to market signals, the latest data reveals that transportation capacity has stalled while pricing continues to surge for downstream retailers. In a historic shift, warehousing utilization contracted for the first time in nine years as long-standing inventory backlogs finally clear. On the rails, a major proposed merger between Union Pacific and Norfolk Southern threatens to reduce the sector's competition from four major players down to just two. East Coast ports are raising alarms that a seamless transcontinental route could undermine their infrastructure investments by favoring West Coast dominance. Finally, we discuss the infrastructure challenges facing pure electric trucks following the removal of federal EV tax credits. The conversation highlights hybrid engineering, such as the onboard generators used by Edison Motors, as a practical bridge to overcome range anxiety. Learn more about your ad choices. Visit megaphone.fm/adchoices

Union Pacific has delayed their rail merger filing for its proposed combination with Norfolk Southern until mid-December. The 4,000-page application faces significant opposition from other Class I railroads and shippers concerned about the effects of consolidation. In automotive news, Michigan-based Bollinger Motors shuts down amid financial woes after missing payroll for at least two periods. The EV truck maker has ceased operations, leaving the future of its parent company, Bollinger Innovations, uncertain as it executes a cost-reduction plan. Finally, Amazon tests 30-minute delivery in two US cities using urban micro-fulfillment centers to speed up orders for groceries and household essentials. This pilot program in Seattle and Philadelphia employs Amazon Flex workers to deliver goods rapidly, with fees varying based on Prime membership status. Learn more about your ad choices. Visit megaphone.fm/adchoices

10 Roads Express will shut down operations and end its USPS contracts. This wind-down represents the largest trucking failure since Yellow, removing thousands of trucks from the road following severe revenue losses. We also examine the stark divergence in global shipping, where Asia-US container rates fell 32% in a single week due to overcapacity. Conversely, Asia-Europe rates have surged effectively by 40% as carriers navigate complex security issues in the Red Sea. On the regulatory front, the DOT is cracking down on safety standards by kicking 3,000 truck driver trainers off its registry for failing to meet new federal requirements. Additionally, the FMCSA has introduced a new ELD approval overhaul to combat the "ghost driver" fraud that contributed to fatal crashes. Finally, we discuss the confusion surrounding commercial licensing after a federal court intervened in the legal battle regarding non-domiciled CDLs. While the court stayed the FMCSA's emergency rule, uncertainty remains as many states are reluctant to issue credentials to the 200,000 affected drivers. Learn more about your ad choices. Visit megaphone.fm/adchoices

10 Roads Express to shut down operations, end USPS contracts and terminate its postal agreements by late January. The major mail hauler plans to complete its remaining service obligations despite a recent history of labor disputes with the Teamsters. The episode also covers Inside the Amazon-Teamsters showdown: What's next?, highlighting a union victory for drivers in Kentucky alongside legislative battles in New York,. Additionally, federal proceedings at the NLRB continue to assess whether Amazon should be classified as a joint employer for delivery drivers. In regulatory news, the DOT kicks 3,000 truck driver trainers off registry for failing to meet federal service standards. The FMCSA has placed thousands more on notice regarding potential noncompliance issues involving falsified data and curriculum failures. Tune in to FreightWaves TV later today for new episodes of Check Call and Loaded and Rolling. Listen to this brief update to stay ahead of the most critical stories shaping the freight and logistics industry. Learn more about your ad choices. Visit megaphone.fm/adchoices

This week, we examine the unprecedented regulatory storm targeting the U.S. trucking labor market, which combines aggressive DHS I-9 audits with powerful financial enforcement by FinCEN. These federal pressures, including stricter CDL requirements, are accelerating the market capacity correction by forcing thousands of non-compliant drivers out of the industry and stabilizing depressed freight rates. The air freight sector is simultaneously reeling from a severe, unexpected capacity crunch right at the peak shipping season. We detail why FedEx canceled all MD-11 cargo flights for December following the discovery of fatigue cracks, representing an 8% loss of mainline capacity for the carrier and causing disruption for UPS and Western Global Airlines. We also look south to the U.S.-Mexico border, where massive nationwide blockades organized by truckers and farmers have recently been lifted after they successfully reached deals with federal authorities on security and subsidies. Finally, we cover major corporate finance news, including Yellow Corp.'s massive $7.4 billion pension withdrawal liability being settled for approximately $1.5 billion, alongside a New Jersey truck school's costly misclassification settlement. Learn more about your ad choices. Visit megaphone.fm/adchoices

Overcapacity in the Trans-Pacific container trade lanes nullified November general rate increase plans, causing prices on Asia to US West Coast lanes to drop 32% last week to $1,900 per FEU. We discuss the latest data on falling East Coast rates and the continued emphasis on container shipping challenges, including the potential return of traffic to the Suez Canal route amid Red Sea tensions. Mexican truckers and farmers have begun removing highway and border blockades after reaching agreements with federal authorities to address concerns over escalating highway insecurity, rising cargo theft, and overdue subsidy payments. These disruptive protests severely impacted cross-border shipments, with trade leaders estimating the economic impact at about $3 million per day in lost cross-border salaries and revenue. Additionally, a North New Jersey truck driving school agreed to settle a lawsuit after being accused of misclassifying at least 30 driver instructors as independent contractors. The settlement includes a total gross payment of about $345,000 to the affected instructors, alongside payments of over a quarter million dollars to the state for penalties and costs, highlighting the enforcement of the ABC test used to classify workers in New Jersey. Learn more about your ad choices. Visit megaphone.fm/adchoices

This episode highlights Airbus kicking its A350 freighter program into high gear, with the prototype finalized and flight tests set for next October, aiming for a late 2027 service entry. Learn how the A350F promises a 40% reduction in fuel consumption and features a massive 175-inch wide cargo door, giving it a significant edge in handling bulky industrial cargo. We also examine major rail consolidation, specifically the Surface Transportation Board approval of Fortress Investment Group's acquisition of two new regional lines, the Wheeling & Lake Erie Railway and the Akron Barberton Cluster Railway. This deal expands Fortress's roster of Class III railroads, and the STB agreed that the move would enhance the railways' access to capital for strategic investment and growth. Finally, we cover the worrying financial distress facing the 3PL sector as Odyssey Logistics was hit with a second debt downgrade from Moody's in less than three months, dropping its corporate family rating deep into Caa-1 "junk status". Moody's noted this rapid deterioration was driven by sky-high leverage—expected well over seven times operating profit—which creates serious refinancing risk ahead of the company's significant debt maturities in 2027. Learn more about your ad choices. Visit megaphone.fm/adchoices

Welcome to the daily market update focusing on critical friction points that are reshaping the supply chain. We examine the accelerated federal crackdown, including Border Patrol turning back two Mexican truckers in Arizona, and how tech firms like Highway are responding with new broker screening features for non-domiciled CDL drivers. While new compliance technology risks reducing available trucking capacity, potentially pushing spot market freight rates up, the industry is simultaneously enduring a massive labor contraction across the entire sector. Over 11,900 workers were laid off in five weeks due to diverse factors like slower electric vehicle adoption at General Motors and a national cattle shortage leading to major plant closures at Tyson Foods. On the international front, Maersk has denied setting any fixed timeline for a Red Sea return, stating safety remains their top priority, which ensures continued reliance on longer, more expensive shipping routes around Africa. Amidst these challenges, the industry is responding with data-driven initiatives like the FMCSA to poll 'several thousand' drivers on truck parking and groundbreaking rail decarbonization using a new deal to take carbon out of the LA-Long Beach harbor railroad. Mentioned Articles: Border Patrol turns back two Mexican truckers in Arizona Highway's new feature allows brokers to screen carriers with non-domiciled CDL drivers Layoffs slam transport, logistics, manufacturing sectors ahead of the holidays Maersk: No timeline for Red Sea return FMCSA to poll 'several thousand' drivers on truck parking New deal to take carbon out of LA-Long Beach harbor railroad Learn more about your ad choices. Visit megaphone.fm/adchoices

We start with major security vulnerabilities, as authorities in the U.S. and Canada are intercepting millions in narcotics cleverly hidden within legitimate shipments, including a $16 million meth bust found in plaster vases. Tune in to hear more about these enforcement actions, where drugs have been concealed in commodities ranging from auto parts and berries to lettuce. The conversation then shifts to the back office, where new technology is being utilized to fight freight fraud and enhance compliance. We discuss Highway's new, optional feature that allows brokers to screen out carriers based on whether the primary account owner holds a non-domiciled CDL, a major red flag for liability and fraud concerns. This compliance effort is a direct response to increased insurer scrutiny and regulatory pressure surrounding non-domiciled licenses. Finally, we issue a critical warning concerning the Thanksgiving holiday period, as Verisk CargoNet has put out a massive cargo theft alert. Organized criminal networks are expected to cause a 65% increase in theft incidents compared to last year, primarily targeting food and beverage shipments. Vigilance, advanced security measures, and the right technology are absolutely essential for supply chain planning this quarter. Learn more about your ad choices. Visit megaphone.fm/adchoices

We explore why BNSF Railway opposes the proposed UP-NS mega-merger, arguing it would eliminate competitive options for shippers and fail the strict Surface Transportation Board standard requiring mergers to actively enhance competition. The air freight sector faces an immediate capacity crisis due to two simultaneous events hitting just before peak season. Learn how the extended grounding of MD-11 freighters—following the discovery of fatigue cracks after a fatal UPS crash—has led to indefinite pilot furloughs at Western Global Airlines, while a BP pipeline leak near Everett, Washington, forced United Airlines to place a temporary embargo on most narrowbody cargo shipments at Sea-Tac airport. Financial pressure continues in the trucking sector, exemplified by the Chapter 11 bankruptcy filing of P. Judge & Sons, a legacy firm whose high vehicle out-of-service rate (46.2%) stood out as significantly worse than the national average. Conversely, bipartisan regulatory relief may be coming for drivers in cold climates through the "Cold Weather Diesel Reliability Act of 2025," which aims to prevent automatic engine shutdowns in extreme cold (below 12° F) by requiring the EPA to authorize the suspension of derate functions. Finally, we examine the intense cross-border risk in Mexico, where massive highway blockades across more than 20 states are snarling major corridors, causing anticipated transit and customs delays. These widespread protests, driven by truckers demanding action against rampant cargo theft and police extortion, underscore the critical necessity for supply chain professionals to diversify planning and build resilience against simultaneous regulatory, financial, and physical threats across all transportation modes. Learn more about your ad choices. Visit megaphone.fm/adchoices

The 100-year-old P Judge and Suns Trucking and Warehousing Company filed for Chapter 11 bankruptcy protection in New Jersey, listing both assets and liabilities between $1 million and $10 million. The podcast covers the ongoing debate surrounding the proposed merger between Union Pacific and Norfolk Southern, which UP CEO Jim Vena advocated for at the RailTrends industry conference. Vena stressed that the United States should not be the only country in North America without seamless rail service, noting that the merger is necessary to enable railroads to compete with the trucking industry. Strong opposition to the deal comes from Western Railroad BNSF, which views the merger as a disruption that would likely lead to a reshaping of the entire North American Rail Network. BNSF's chief marketing officer highlighted that customers are not advocating for the merger, and that existing transcontinental options are already practical through collaboration. Learn more about your ad choices. Visit megaphone.fm/adchoices

Experts at the Trimble Insight conference are forecasting a "significant reduction" in employment levels as rapidly maturing AI tools become cheaper and more efficient than human workers. This technological shift is already translating into measurable gains, with companies like C.H. Robinson openly connecting rising profitability directly to a shrinking workforce. However, achieving the full strategic potential of AI requires clean and comprehensive data, meaning much of the current investment is directed toward routine tasks that don't rely on perfect data, such as calling drivers or getting quotes. Regulation is increasing alongside technological pressure where the Department of Transportation is developing a data-driven severity scoring system to proactively identify and shut down dangerous "chameleon carriers". This federal crackdown will flag patterns of fraud, including shared addresses and recycled phone numbers, while also reflecting heightened attention to operational risks, such as the electrical fire that shut down four terminals at the Port of Los Angeles following an explosion on the ONE Henry Hudson. We also analyze the high-stakes future of North American rail with the proposed Union Pacific and Norfolk Southern merger necessary to compete effectively with the evolving trucking sector. Nevertheless, analysts are highly skeptical of the forecast for 10% volume growth within three years given the rail industry's decade of flat volume, ensuring the Surface Transportation Board will conduct a stringent and independent review. Finally, we touch upon the tentative contract agreement reached between Canada Post and its largest union after two years of contentious talks, which came right after Canada Post reported a record quarterly loss of $385 million. Ultimately, the intense demands from AI and the new government scrutiny raise a critical question for managers across the supply chain: how quickly will clean data become the single most defining competitive advantage in the entire freight ecosystem? Learn more about your ad choices. Visit megaphone.fm/adchoices

The container ship ONE Henry Hudson was towed out to anchorage at the Port of Los Angeles after an electrical fire that began onboard while it was berthed was substantially contained. The incident temporarily suspended port operations, closed four of the seven container terminals, and led to a mile-wide safety zone, though no injuries were reported among the 23-person crew. Canada Post and the Canadian Union of Postal Workers reached a tentative collective bargaining agreement following over two years of bitter negotiations and strike activity by more than 50,000 mail carriers. The agreement comes as the national mail carrier reported a record quarterly loss of $385 million due to labor actions causing businesses to switch carriers, resulting in a 40% drop in parcel revenue. South Carolina truck driver Dennis Eugene West and his company pleaded guilty to negligent discharge of pollutants after West crashed while driving under the influence in West Virginia. The August 2022 crash spilled thousands of gallons of alkyl dimethylamine into Paint Creek, which temporarily harmed aquatic life, resulting in West and the company facing over $1.6 million in restitution and penalties. Learn more about your ad choices. Visit megaphone.fm/adchoices

A preliminary investigative report has been released by the National Transportation Safety Board regarding the fatal UPS MD-11 freighter crash in Louisville. The report cited fatigue cracks in the left-wing engine mount, which separated shortly after liftoff, leading UPS to continue grounding its remaining MD-11s per FAA guidelines, a situation explored further in "NTSB links fatigue cracks to fatal crash of UPS cargo jet - FreightWaves". The broadcast also covers Walmart's impressive Q3 performance, which included a 27% jump in global e-commerce sales and a nearly 70% increase in sales for same-day delivery. Walmart continues to leverage its pickup and delivery options, asserting that it can now deliver to about 95% of U.S. households in under three hours, a popular expedited choice examined in "Walmart e-commerce sales rise 27% as shoppers opt for same-day delivery - FreightWaves". Finally, we review the delayed September employment report, which showed truck transportation jobs slid by one of the biggest drops seen in three years, contributing to a total transportation job decrease of 6,800. With job losses detailed in "Trucking employment down in Sept from August, mostly flat over 12 mos - FreightWaves," experts suggest we should expect continued drops in this sector as regulation continues to tighten up with drivers. Learn more about your ad choices. Visit megaphone.fm/adchoices

The U.S. freight market is grappling with a massive security crisis as cargo theft surges 29% in Q3 driven by organized crime targeting electronics and high-value pharmaceuticals. We analyze how carriers must implement comprehensive security measures and establish clear policies to ensure truck cameras succeed in litigation, especially regarding how crucial video retention rules are. The logistics industry faces a dramatic regulatory shift as the FMCSA's tighter bond enforcement looms over freight brokers in 2026, taking full effect on January 16, 2026. These new rules mandate immediate operating authority suspension for bond shortfalls and require BMC-85 trust funds to be solely cash or cash-equivalent assets, accelerating market consolidation among poorly capitalized 3PLs. Agricultural supply chains are under threat due to regulatory confusion, detailed in the crackdown on foreign truckers that threatens US farm labor, as states inadvertently pause CDL issuance for essential H-2A farm workers. Industry groups are urgently pushing the FMCSA to clarify this existing H-2A exemption and extend similar CDL exemptions to J-1 visa workers due to their vital seasonal role in custom harvesting. We also cover the operational crunch in air freight, as UPS compensates for lost use of grounded MD-11 cargo jets after the mandatory grounding of its MD-11 fleet following a deadly crash. UPS is mitigating this peak season capacity gap by wet leasing supplemental lift from partners like Cargojet and Amerijet, alongside reconfiguring its ground network. Finally, we discuss the major strategic footprint change as Maersk relocates its North American HQ to Charlotte, moving its headquarters from New Jersey to North Carolina. This relocation involves a $16 million investment and 500 new jobs, driven by Charlotte's affordability and growing talent pool. Learn more about your ad choices. Visit megaphone.fm/adchoices

The NTSB released its findings about the container ship Dali crash from last year, determining that an improperly placed wire label caused the cargo vessel to lose power and drift out of control into the pier of Baltimore's Francis Scott Key Bridge, causing the collapse and the deaths of six construction workers. A.P. Moller-Maersk announced that it has selected Charlotte, North Carolina, as the new location for its North American headquarters, a move that comes after decades of having offices in New Jersey. The relocation of the North American HQ to Charlotte is expected to add 500 jobs, bringing the total Charlotte workforce to 1,300, and may earn the Copenhagen-based carrier an $8 million state grant if job creation and investment targets are met. Meanwhile, UPS is turning to an alternate playbook to compensate for the significant capacity being lost due to the grounding of its MD-11 freighter fleet. UPS is utilizing partner airlines and its ground network during the busy shipping period to make up for the loss, wet leasing several aircraft from carriers like Canada-based Cargojet, Amerijet, ABX Air, and Air Transport International, while consolidating flight routes and reconfiguring truck routes. Learn more about your ad choices. Visit megaphone.fm/adchoices

Dive into the proposed rail mega-merger of Union Pacific and Norfolk Southern, which Republican legislators warn threatens to raise consumer costs, reduce competition, and create "captive shippers". This controversial deal would combine systems controlling nearly 45% of all U.S. rail tonnage across 43 states, raising serious questions about long-term service reliability and inflationary pressure on American households. The trucking market remains in a recession due to a collapse in demand and a significant industrial recession, confirmed by indices like the SONAR Outbound Tender Volume Index (OTVI). Despite low demand, the market could face a radical supply shock if estimates hold true that new immigration enforcement targeting foreign-born drivers could remove 16%, or over 600,000, of the current driver population, potentially strengthening freight rates by late next year. We also examine the FMCSA's new pilot program testing flexible sleeper berth split options, such as 6/4 and 5/5 hours, designed to provide more flexibility for truckers. Safety groups like OOIDA and the TCA are cautioning regulators about a high potential for driver coercion, insisting on strict safeguards and anonymous reporting methods to ensure that discretion belongs solely to the driver. Postmaster General David Steiner is driving a "U-turn" strategy at the USPS, re-emphasizing last-mile delivery services for big shippers like UPS and Amazon to grow revenue by leveraging the agency's unique national network]. While the goal is to stop revenue decline, critics worry this move risks cannibalizing USPS's own products and empowering competitors by handling the toughest delivery segment for them. We also briefly touch on the regulatory back-and-forth seen internationally, such as the now-suspended U.S. fees on Chinese ships, which analysts warned would ultimately burden U.S. agricultural exporters. Learn more about your ad choices. Visit megaphone.fm/adchoices

Learn how EV maker Harbinger secured significant capital and a key initial fleet order in Harbinger lands $160M Series C, inks initial FedEx deal for 53 electric trucks. The electric vehicle manufacturer raised $160 million in Series C funding, bringing its total to $358 million, and simultaneously received an initial order for 53 Class 5 and Class 6 electric vehicles from FedEx. Harbinger's proprietary electric platform offers competitive acquisition costs and modular batteries, ranging from 140 to over 200 miles, positioning the company to lead the mass adoption of medium-duty electric trucks. Next, we dive into the contentious rail industry merger detailed in Rail merger could raise prices, hurt US ability to compete, say GOP legislators. Dozens of Republican state legislators have warned regulators that the proposed Union Pacific and Norfolk Southern rail mega-merger threatens to raise consumer costs on essential goods and hinder the competitive ability of U.S. companies. Legislators argue that the combined system would control nearly 45% of U.S. rail tonnage across 43 states, creating "captive shippers" and risking widespread service disruptions and supply chain instability. Finally, discover the major strategy shift at the national carrier, covered in US Postal Service makes U-turn on last-mile delivery. New Postmaster General David Steiner announced the U.S. Postal Service must grow revenue by leveraging its unique national network to provide last-mile delivery service for large shippers, reversing the strategy of his predecessor. This reversal has led to a tentative agreement with UPS for its budget Ground Saver service, although critics like parcel industry executives worry that offering last-mile services to competitors could cannibalize existing USPS parcel products. Learn more about your ad choices. Visit megaphone.fm/adchoices

Starting with tech rollouts, Trimble bets big on AI to fix trucking's workflow bottlenecks. It debuted its new cloud-native, modular, AI-powered Transportation Management System (TMS), designed as a single intelligence center for enterprise operations. New AI agents, such as the Order Intake Agent, automate administrative tasks like data extraction from emails and PDFs, potentially eliminating manual review for up to 90% of standard orders. Efficiency is also the core strategy behind major network redesigns at FedEx, who is focused on prioritizing high-quality B2B business and sectors like high-tech freight and healthcare logistics, while using generative AI to predict classification codes to simplify cross-border trade execution. In contrast, global maritime operator CMA CGM profit collapses on ocean ‘slowdown'. reported a staggering 72.6% decline in net income, yet maintained volume growth (up 2.3%) due to its agility in redeploying assets to counter Red Sea disruptions and volatility. On the regulatory and legal front, a Delaware bankruptcy court approved Judge Oks Yellow Corp.'s final liquidation plan, clearing the path to distribute up to $700 million to creditors, crucially classifying employee claims for PTO and sick time as priority for payment. Meanwhile, truck safety advocates strongly oppose the FMCSA's proposed pilot program, detailed in Safety group opposes extending truckers' workday, which would allow truck drivers to pause their 14-hour on-duty window for up to three hours, arguing the agency should instead study detention time directly. Managing constant risk is essential, as evidenced by the U.S.-flag barge Brooklyn Bridge running aground in the Bahamas after a tow wire failed and subsequently being looted, highlighting the vulnerability of routine operations to external factors. The defining trait of a successful logistics operation today is agility built on automation; technology is no longer a differentiator but a necessary cost for maintaining margins and compliance. Learn more about your ad choices. Visit megaphone.fm/adchoices

A Delaware bankruptcy court has cleared the path for the final liquidation of Yellow Corp.'s estate, which will distribute as much as $700 million to creditors, but the order could face an appeal from Yellow's largest equity holder, MFN Partners. We discuss the poor third-quarter results for ocean carrier CMA CGM, which saw group net income fall 72.6% year-over-year and revenue drop 11.3%. The carrier attributed this downturn to geopolitics, trade tensions in the U.S., and a corresponding slowdown in maritime activity, though it noted an improvement quarter-over-quarter after trade between the U.S. and China picked back up. Finally, truck safety advocates are strongly opposing the FMCSA's proposed pilot program that would allow drivers to pause their 14-hour on-duty period for up to three hours, essentially extending the work window to 17 hours. While the FMCSA claims the allowance would mitigate excessive detention times and improve working conditions, Advocates for Highway and Auto Safety argue the initiative is dangerous and misguided. Learn more about your ad choices. Visit megaphone.fm/adchoices

The current intersection of federal regulation and enforcement is creating significant market risk, forcing carriers to exit and fundamentally tightening liability for both carriers and the shippers who hire them. The immediate shockwave comes from California, where the cancellation of 17,000 non-domiciled CDLs—over 9% of the state's for-hire carrier base—is expected to cause substantial capacity constraints and firm up outbound freight rates, signaling national enforcement scrutiny. This episode unpacks the crucial precedent set by California's AB5 enforcement action, which resulted in an $868,000 penalty against three companies, including shipper Costco and 3PL Ryder Last Mile. Ryder and Costco were found jointly liable with the carrier for exercising "direct or indirect control" over drivers, demonstrating that managing drivers like employees results in liability like an employer. We debate whether the current market slump is purely demand-driven or if regulatory fear is driving non-compliant carriers out, causing spot rates to slowly "melt up" despite weak volumes. Further regulatory focus is evident as the FMCSA launches a major study with 60 carriers to analyze the link between driver work schedules, hours-of-service, and crash risk, aiming to inform future HOS restrictions. Shifting focus to logistics investment, the USPS reported a massive $9 billion loss but is executing an urgent, long-term modernization push, including investing nearly $20 billion in automated sorters and new vehicles to attract parcel volume. Finally, we examine the unanimous industry consensus that autonomous trucking is inevitable, with the rapid "J-curve of adoption" expected to hit between 2035 and 2040 as labor and regulatory risks accelerate investment in driverless technology. Learn more about your ad choices. Visit megaphone.fm/adchoices

Three major companies—Mega Nice Trucking, Ryder Last Mile, and Costco Wholesale Corp—are facing what is likely the first significant enforcement action of California's AB5 regulation in the trucking industry, resulting in an $868,000 fine. The California Labor Commission cited the trio for contractor misclassification and resulting wage theft, finding that Ryder and Costco exercised both direct and indirect control over delivery drivers, thereby establishing a joint employer relationship with the carrier.  The trucking industry continues to monitor the fight over the Department of Transportation's non-domiciled Commercial Driver's License rules following the cancellation of 17,000 CDLs in California. Although California Governor Gavin Newsom and Transportation Secretary Sean Duffy are engaged in a heated public dispute over the cause, industry experts warn that the evolving enforcement signals new restrictions that will significantly impact carrier liability and freight capacity across the country, with analysts expecting more CDL cancellations in the near future.  A group of Attorneys General from nine states is urging the Surface Transportation Board to conduct a "thorough and exacting" review of the proposed merger between Union Pacific and Norfolk Southern. These AGs, representing GOP states, argue that the consolidation of rail services will compromise national security and stifle competition, leading to exacerbated existing problems such as higher costs and lower reliability for key strategic American industries. Learn more about your ad choices. Visit megaphone.fm/adchoices