The Container Price Surge: Port congestion and container prices aren’t just weighing on the people trying to ship goods — it also means a lot of potential headaches for the people caught in the middle. Gretchen Blough, Customs Brokerage Manager at Logistics Plus, makes another appearance on Marketplace, Hosted by Kai Ryssdal, to talk customs and trade operations.
Marketplace® is a nonprofit news organization on a mission to raise the economic intelligence of the country. For more than 30 years, they have helped people become smarter about the economic forces that touch their daily lives through the unorthodox story, the casual conversation, and the unexpected angle on the news.
The Logistics Plus Project Cargo team recently transported steel structures for a worldwide leading steel manufacturer. This manufacturer completes projects for thermal power plants, hydroelectric power plants, industrial plants, refineries, chemical plants, bridges, and more. The shipment Logistics Plus handled was from the client’s factory to Aliağa port in Turkey.
Logistics Plus Global Projects Director Bahadir Erdil commented on the success of this project. “I’m happy we (Logistics Plus) were chosen to help with this project. Our global projects team has a lot of experience in the steel industry, and it showed. We completed this project timely and to our client’s exact specifications.”
The size of the two largest structures are listed below. In total, Logistics Plus transported 35 items weighing 1,000 tons.
This week, September 12-18, 2021, is National Truck Driver Appreciation Week (NTDAW). Logistics Plus (which was founded and is owned by a former truck driver) and its sister company, National Truckload (NTL), would like to thank the 3.6 million professional men and women for their hard work in undertaking one of our economy’s most demanding and important jobs. These truck drivers deliver our goods safely, securely, and on time. We ask that you please join us this week to celebrate and honor our truck drivers for all of their hard work and dedication.
This year’s National Truck Driver Appreciation Week takes on a special significance considering the crucial role truck drivers have played during the Covid-19 pandemic. Our drivers have delivered ventilators and other medical equipment to hospitals, distributed cleaning products across the country, and delivered personal protective equipment to businesses in need. While it’s impossible to individually recognize each driver, we thank you for your crucial role in keeping our society moving forward during these challenging times.
TRUCKING INDUSTRY FACTS AND FIGURES:
In 2019, the trucking industry hauled 11.84 billion tons of freight
In 2019, 67.7% of goods moved between the U.S. and Canada were transported by trucks
In 2019, trucks moved a total of $772 billion worth of freight
There are 3.6 million truck drivers in the U.S. and women make up 6.7% of the drivers in the U.S.
Over 41% of truck drivers are minorities and 7.95 million people held trucking related jobs in 2019
Understanding how freight pricing varies by transportation mode can help determine the most cost-effective solution for your business. By learning the ins and outs of pricing variables, you can find ways to cut costs, increase efficiency, and avoid overpaying for services you don’t need. Quite frankly, determining the mode of transport is one of the most critical business decisions you can make.
Less-than-truckload (LTL)
LTL shipping refers to freight deliveries that are too large to ship via parcel but too small to fill an entire truck. LTL carriers sell multiple shippers space on the same truck and LTL shipments are often more complex to price than other modes of transportation. Pricing is calculated using several factors, including total weight, density, freight classification, distance, and accessorials.
Full Truckload (FTL)
Full truckload is used when a single shipper has enough freight to fill up an entire truck. Truckload rates tend to be the most simple to determine since they are based on a per-mile or flat door-to-door rate. Not surprisingly, capacity also has a major impact on full truckload prices.
Parcel
Standard parcel shipping has become one of the highest-profile sectors within the shipping industry due to the rise of e-commerce. Parcel is similar to LTL freight pricing. Cargo is priced by the pound, dimensions, and transit times. There are additional charges for packages that fall outside of certain dimensions or weight thresholds. Standard, first-class, and overnight options are usually offered for parcels which play a part in determining the price.
Airfreight
Airfreight is an often-used mode of transportation for time-critical shipments. Air carriers will charge by either volumetric weight (also known as dimensional weight) or actual weight, depending on which is more expensive. If the volumetric weight exceeds the actual weight of the product, the volumetric weight becomes the chargeable weight.
Ocean Freight In comparison to air freight, ocean freight tends to be less expensive. Charges are based on the nature of goods being transported, the weight or volume, distance to the destination port, and the rates set by the shipping carrier. Ocean freight prices also depend on the shipper’s decision to go with an FCL or LCL shipment. Full Container Loads (FCL) are best suited for large shipments, while Less than Container Loads (LCL) are more suitable for smaller shipments.
Rail/Intermodal
Rail and intermodal options tend to be the most cost-effective way to transport cargo. Rail containers are booked on a per-mile basis, similar to truckload shipping. Intermodal providers have agreements in place with railroads to transport cargo across the various rail networks.
Contact us to get started if you’d like to request a free quote on your next ground, air, ocean, or rail shipment. With over 25 years of experience, our team of experts is ready to assist you with your transportation needs.
The Logistics Plus Project Cargo & break bulk team has shown no signs of slowing down the past several months. Over the past few months, our cargo experts have managed projects in various industries, including oil and gas, wind power, engineering, construction, and solar. We’ve transported gas tanks, generators, windmills, locomotives, transformers, and more to locations worldwide.
Logistics Plus Turkey delivered drying towers (2,410 freight tons)
Logistics Plus Houston handled a 30 unit project from China
Logistics Plus transported 6 gas tanks (3,735 freight tons)
Logistics Plus India completed a windmill tower project
Logistics Plus delivered reactors to an installation site
Logistics Plus Turkey handled 5 full charters to Egypt
Logistics Plus delivered bioreactors to Belgium
Logistics Plus transported 2 locomotives to Finland (the fourth and final batch)
The Logistics Plus DELTA team was featured on the weekly Business Spotlight program from WPSE AM 1450/FM 107.1 Radio. Business Spotlight is a 30-minute program airing Fridays at noon. Each segment focuses on a business or organization that is making an impact across the region.
In this segment, Danny, Gurkiran, Isaac, Michael, Jorge, and Zack discuss their backgrounds, how the DELTA team was formed, current projects the team is working on, success stories, and more. You can listen to a replay of the interview on the Logistics Plus Podcasts page or by clicking the audio link below.