Freight Insight for Week of July 6

Freight Insight for Week of July 6

Thanks for tuning in to Sunset’s weekly market outlook column.

Trends and discussions range from seasonal manufacturing and agriculture trends that affect available capacity to general insight into outside factors affecting freight volumes.

Below is a summary of the July 8 call:

FREIGHT VOLUMES & CAPACITY

  • Capacity is difficult to secure this week. Shippers volumes are up in the midwest; replenishment still occuring.
  • The Commercial Vehicle Safety Alliance’s (CVSA) 2020 Operation Safe Driver Week will go on as scheduled, July 12-18, with a focus on speeding. Capacity will continue to be tight as more drivers will be subject to safety inspections.
  • Many Mexican shippers are climbing back on track from COVID-19. Mexico northbound capacity to U.S. is scarce.

Reminder: USMCA NOW IN EFFECT AS OF JULY 1

  • USMCA’s main change is that certificates or origin to avoid the payment of duties is going away. Blanket statement of origins once accepted under NAFTA are no longer applicable.
  • If a shipper is using NAFTA now, they will need to recheck the new rules and make sure their products are being shipped correctly with appropriate duties.
  • Customers will require some consulting on how to make cross-border shipments, and delays across both borders are likely. Chaos is expected.
  • Sunset is available to guide our customers through this Customs Clearance change, via contacting your account manager or the branch’s Managing Director.

For official documentation and regulations, click HERE to visit the U.S. Customs and Border Protection website.


CONTRIBUTORS
  • Grand Haven: Chad Herreman
  • Green Bay: Eric Dorner
  • Laredo: Jose Minarro
  • Nashville, TN: Jonathan Falcon
  • St. Louis, MO: Justin Danks
  • St. Paul, MN: Mike Morris
  • Wilson, NC: Mary McCallister