PRIMO LEADING NEWS
WEEK APRIL 22ND TO APRIL 26TH
As the Mexican market booms, shippers are advised to partner with experienced cross-border providers to navigate the surge in manufacturing prospects. With Mexico surpassing China as the top exporter to the U.S. in 2023 and ongoing nearshoring trends, investing in the region is expected to yield long-term benefits despite the complex and time-consuming nature of establishing manufacturing facilities. PRIMO gets the increased demand for a strong shipping partner in and around Mexico.
Estes announced its commencement of opening acquired terminals from the bankrupt Yellow Corp, marking a step towards its national expansion. The acquisition includes 24 service centers obtained for $249 million in the first auction and five leased properties acquired for $35 million in a subsequent auction. The acquisition will lead more shippers to turn to experts like PRIMO with existing partnerships to leverage the terminals set to reopen in the coming weeks.
Diesel prices in the U.S. have decreased slightly, maintaining general stability since mid-February, despite regional variances like a minor increase in New England. In contrast, gasoline prices have increased nationwide, influenced by geopolitical tensions and attacks on oil infrastructure, which could signal potential future hikes in diesel costs. While currently stable, this volatility in diesel prices poses a challenge for shippers in forecasting fuel surcharges, which PRIMO’s freight management solutions are designed to mitigate through advanced pricing intelligence and automated load-matching capabilities.
In March, spot truckload rates decreased while the DAT Truckload Volume Index indicated a modest increase in loads moved across van, refrigerated, and flatbed equipment types. This shift in rates and volume reflects typical seasonal adjustments in the logistics sector, as industries like produce and construction ramp up. This seasonal fluctuation in rates, particularly for refrigerated transport, underscores the value of PRIMO’s flexible pricing intelligence and robust network, which can mitigate the impact of such changes for their clients by ensuring competitive rates and consistent service levels.
Despite a slight rise in parcel volume, U.S. parcel revenue saw its first decrease in seven years, falling from $198.4 billion in 2022 to $197.9 billion in 2023, according to an annual report. The report also noted changes in the competitive landscape among carriers and shifts in consumer behaviors during the same period. PRIMO’s advanced technologies and people-powered processes enable complete visibility in small package and parcel logistics too, ensuring shippers get the right service level for every shipment, no matter market dynamics.