Tag: Trucking

Is It a Match for the Industry and Uber-Like Freight Handling?

Is It a Match for the Industry and Uber-Like Freight Handling?
Is It a Match for the Industry and Uber-Like Freight Handling?

Uber has given a whole new look to personal transportation and food delivery services. Can it do the same for the trucking industry? The answer is not as simple as it may seem.

Trucking Industry Slow to Adapt to New Technology

In 2016 Wallace Lau, industry principal at consulting firm Frost & Sullivan, authored a study called, “Uber for Trucks: Executive Analysis of North American Mobile Based Freight Brokering Market.” Based on $100 million in current revenue, Lau projected an increase to $26.40 billion by 2025.

But today Lau says that adoption of the Uber model is moving more slowly than anticipated due to resistance by the trucking industry. Lau’s updated study is expected to be released this coming fall.

According to Lau, people in the trucking industry are uncertain about whether the Uber model will actually benefit them. Many are reluctant to deviate from their established routines working with traditional freight brokers.

Uber Throws Its Hat into the Ring

All this may be about to change with Uber’s introduction of its own freight app this past May. While there are already several mobile-based freight apps on the market, Lau believes that Uber’s name and reputation will cause the industry to take a closer look at this trend.

Bill Driegert, director of Uber Freight, says their app turns a cumbersome, labor-intensive process into a single click. It also offers transparency for both shipper and receiver.

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Eco Friendly Semi Trucks May Be the Future if This Startup Gets Its Way

Could an Eco Friendly Semi Be on the Way?
Could an Eco Friendly Semi Be on the Way?

An eco-friendly semi truck might sound as realistic as a unicorn, but it may be closer than you think. A startup in Utah is banking on being the first company to roll out this game-changing vehicle.

The New Face of Trucking?

Nikola Motor Company, the namesake of legendary engineer Nikola Tesla, has an experimental truck called One on its virtual drawing board. One’s aerodynamic design and hybrid drivetrain show promise as a major step toward a greener trucking industry.

The sophisticated drivetrain consists of electric motors, lithium-ion batteries and an on-board turbine, which kicks in when the batteries run low. Unlike electric cars, these trucks won’t need to be periodically plugged in.

Take Advantage of Multiple Fuel Sources

While the turbine is intended to run primarily on compressed natural gas (CNG), it can also burn diesel fuel or gasoline. Nikola’s initial plan is to build a nationwide network of 50 CNG stations drawing on the company’s own natural gas wells, with more stations to be added if the program takes off.

Currently the One exists only as a computer-generated concept, with no word as to when an actual prototype will debut. However, Nikola has been accepting fully refundable $1,500 deposits, with the first 5,000 orders to include one million miles worth of free fuel.

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Rail and Trucking Industries Face Off in Freight Hauling Rate Battle

Unloading big container trucks at warehouse building
The Trucking and Train Industry are at Battle

Price wars are shaking up the shipping industry as rail lines lower prices to keep and attract customers. Following a turbulent 2015 that was impacted by the west coast labor disputes, BNSF and other railways are offering significantly reduced spot rates for 53-foot containers on routes across the country.

JOC.com reports that 17 out of 18 major lanes have roughly 20% lower rates compared to one year ago. Many lanes now cost about $300 less.

These aggressive price reductions have spurred high enough demand that the rail lines may not be able to sustain the competitive advantage. Logistics and investment experts predict that prices will level out, but the rail companies are enjoying the price battle in the meantime.

Rail Freight in 2016

Warehousing and distribution companies looking to take advantage of the rail rate cuts can expect rates to eventually level off or increase. However, the high rates of early 2015 were due in part to port congestion so the rates are likely to stay lower than they were during that time.

For a company switching to rail or increasing their volume of rail freight, new equipment can facilitate the process. A rail cart caddy has the ability to maneuver and move rail cars indoors or outdoors with a battery-powered motor.

One employee can move a rail car at up to 3 miles per hour. The rail cart caddy connects with a coupler and the employee then steers the car with a twist grip handle.

For more info on the rail cart caddy and other material handling solutions for the logistics industry, contact DJ Products.