We use cookies to provide you with a better experience. By continuing to browse the site you are agreeing to our use of cookies in accordance with our Cookie Policy.
  • INDUSTRY PRESS ROOM
  • SUBMISSIONS
  • MEDIA FILE
  • Create Account
  • Sign In
  • Sign Out
  • My Account
Free Newsletters
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
  • STRATEGY
  • GLOBAL
  • LOGISTICS
  • MANUFACTURING
  • PROCUREMENT
  • VIDEO
    • News & Exclusives
    • Viewer Contributed
    • CSCMP EDGE 2022 Startup Alley
    • Upload your video
  • PODCAST ETC
    • Podcast
    • White Papers
    • Webcasts
    • Events
    • Blogs
      • Reflections
      • SCQ Forum
    • Mobile Apps
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
  • STRATEGY
  • GLOBAL
  • LOGISTICS
  • MANUFACTURING
  • PROCUREMENT
  • VIDEO
    • News & Exclusives
    • Viewer Contributed
    • CSCMP EDGE 2022 Startup Alley
    • Upload your video
  • PODCAST ETC
    • Podcast
    • White Papers
    • Webcasts
    • Events
    • Blogs
      • Reflections
      • SCQ Forum
    • Mobile Apps
Home » Report: Drayage rates will continue to surge in 2022

Report: Drayage rates will continue to surge in 2022

June drayage rates are up 28% compared to a year ago, fueled by port disruptions and delays that are expected to worsen, spot market index report shows.

city-coverage.jpg
June 2, 2022
Supply Chain Quarterly Staff
No Comments
Port disruptions and delays worldwide have led to surging drayage rates in North America, a trend that is likely to continue, according to an industry report released this week.

Drayage service provider Book Your Cargo (BYC) released its BYC Drayage Spot Market Index forecast for June, revealing a 28% increase in spot market rates this month compared to June 2021. Drayage is the term for moving freight short distances, typically from a terminal or port to the next mode of transportation.

The BYC report also predicts a more than 18% increase in the national drayage spot rate for the third quarter of 2022, compared to a 7% increase during the same period last year. A growing volume of anchoring vessels outside Shanghai and Ningbo, China, are contributing to the rate hikes here at home, according to BYC.

“While drayage rates had seemed to be softening, the current chassis and capacity crunch is expected to continue straining the supply chain. Our monthly index predicts that [this] will lead to a steady upward climb in drayage rates across all U.S. regions throughout the rest of 2022,” Nimesh Modi, BYC’s chief executive officer, said in a press release detailing the June forecast. “With China enforcing full or partial lockdowns in many cities, more vessels are delayed in the ports of Shanghai and Ningbo–most of which will eventually have to make their way to the U.S. Booking cargo transportation sooner will give loads more time to reach their destination and at lower cost.”

China began to ease its lockdowns in Shanghai this week, but the country’s zero-Covid policy remains in place.

BYC’s spot market index tracks data from its customers and partners to produce monthly rates dating back to 2016. The company says the rates predict average costs and potential delays in the coming months for drayage transportation across various North American regions.

The June 2022 forecast found that the ports of Los Angeles and Long Beach, Vancouver, and New York/New Jersey are the most congested in the United States, and that the Northeast, Southeast, and Pacific Northwest are predicted to see the highest drayage rate increases, at more than 30%.
Logistics Services Trucking
KEYWORDS Book Your Cargo
  • Related Articles

    Forecast says U.S. drayage rates will continue to rise in Q1

    Drayage Index Rates to Continue to Climb in 2022 According to BookYourCargo

    Port disruptions pushed drayage rates to 32% jump in September

Recent Articles by Supply Chain Quarterly Staff

Energy price swings pressure businesses to change their spending priorities

Maersk’s VC arm backs inventory drone startup Verity with $32 million

Survey: most Americans unaware that truckers face shortage of parking spaces

You must login or register in order to post a comment.

Report Abusive Comment

Most Popular Articles

  • Survey: most Americans unaware that truckers face shortage of parking spaces

  • Best practices in logistics sustainability

  • Postal Service plans to seize items mailed with fake stamps

  • Supply chain executives not yet seeing expected results from technology investments

  • Inflation drops again as interest rate hikes hit home, NRF says

Featured Video

20221107korber large vs

Enhancing Customer Experience with Your Supply Chain Strategy

Viewer Contributed
With the rise of e-commerce, many businesses have had to transform their warehouses to handle online orders in addition to regularly scheduled inventory shipments. This means warehouses need more information than ever before to ensure they can meet customers' needs. As a result, companies need to select warehouse...

FEATURED WHITE PAPERS

  • Guide to Pallet Rack Safety

  • 3PLs: Complete Orders Faster with Flexible Automation

  • A shipper's guide to navigating post-pandemic holiday freight

  • THE NEW WAY TO WAREHOUSE: 4 Innovations in Automation & Robotics to Boost Warehouse Productivity

View More

Subscribe to Supply Chain Quarterly

Get Your Subscription
  • SUBSCRIBE
  • E-NEWSLETTERS
  • ADVERTISING
  • CUSTOMER CARE
  • CONTACT
  • ABOUT
  • STAFF
  • PRIVACY POLICY

Copyright ©2023. All Rights ReservedDesign, CMS, Hosting & Web Development :: ePublishing