However, they are also perceived by drivers because a lot of them consider that their trucks will be away from home.
2. Rising Rates
There were rates rising in 2018 and will continue to rise in 2019 as well. The rates go straight proportionally with the capacity crunch.
To continue with, as the freight demand rises the rates rise as well but mostly to the supply fall.
In other words, there are 2 types of rates in the trucking industry: spot market rates and contract rates.
To emphasize, the spot rates are those that are quoted on the spot and are typically done for freight that is ready to move.
On the other hand, the contract rates are those that are locked in with a carrier via contract with the shipper and are usually based on a year-long estimate of freight volume.
It is predicted that the rates will stabilize but as long as capacity is tight, the rates will continue to rise.
The increased rates known as one of trucking industry trends are probably the great transition from highway transport to rail freight.
