Mark Solomon joined DC VELOCITY as senior editor in August 2008, and was promoted to his current position on January 1, 2015. He has spent more than 30 years in the transportation, logistics and supply chain management fields as a journalist and public relations professional. From 1989 to 1994, he worked in Washington as a reporter for the Journal of Commerce, covering the aviation and trucking industries, the Department of Transportation, Congress and the U.S. Supreme Court. Prior to that, he worked for Traffic World for seven years in a similar role. From 1994 to 2008, Mr. Solomon ran Media-Based Solutions, a public relations firm based in Atlanta. He graduated in 1978 with a B.A. in journalism from The American University in Washington, D.C.
The trucking industry hit back Friday on the federal government's proposed change to truck operators' drive times, calling its new proposal an effort to "break something that is not broken."
On Dec. 23, the Federal Motor Carrier Safety Administration (FMCSA) issued a regulatory proposal that would revise hours-of-service (HOS) requirements for commercial truck drivers—requirements that have gone through multiple iterations and sparked numerous legal challenges since 2004. FMCSA's latest proposal would require all commercial drivers to complete all driving within a 14-hour workday and to finish all on-duty work activities within a 13-hour window. The agency said the new proposal would keep a "34-hour restart" provision allowing drivers to resume their 60- to 70-hour shifts after taking off 34 consecutive hours.
The driver restart period, however, would have to include two consecutive off-duty periods from midnight to 6 a.m., and drivers could only use the restart once in each seven-day period.
As for the HOS rule's most closely watched provision, the FMCSA invited comment on a proposal to reduce from 11 hours to 10 hours the amount of daily drive time. FMCSA said it favors limiting the daily driving time to 10 hours.
"A fatigued driver has no place behind the wheel of a large commercial truck," said Transportation Secretary Ray LaHood. "We are committed to an hours-of-service rule that will help create an environment where commercial truck drivers are rested, alert, and focused on safety while on the job."
The proposal was sharply criticized by the American Trucking Associations (ATA). In a statement, ATA President and CEO Bill Graves said the proposal was "overly complex, [was] chock full of unnecessary restrictions on professional truck drivers, and, at its core, would substantially reduce trucking's productivity."
Graves said the proposed rules ignore the fact that crash-related fatalities are down by one-third from their 2003 levels, and that fatality and injury crash rates are at their lowest level since the Department of Transportation began keeping records.
"When viewed against trucking's sterling safety record," said Graves, "it's plain that the Obama administration's willingness to break something that's not broken likely has everything to do with politics and little or nothing to do with highway safety or driver health."
The ATA also warned that the proposed changes would be "enormously expensive" for the trucking industry and the economy. Graves cited FMCSA's 2008 estimates that reducing drive time by one hour and changing the driver start provision would cost the industry an additional $2.2 billion per year. He also said the agency has gone on record stating that eliminating the extra 11th hour of driving time would not be cost-effective and would have no material effect on safety.
Shippers and consignees have voiced concern that a significant change in drive times would force a dramatic revamp to their supply chains to accommodate the shortened hours.
The trucking group took issue with the government's statement that its new proposal wouldn't lead to the abolition of the 34-hour restart provision. Because the proposed rule requires a driver to include two overnight periods—between midnight and 6 a.m.—it will be impossible for most drivers to achieve a restart in 34 hours, it said.
ATA used as an example a driver who finished his shift at 8 a.m. and began his restart, which would normally end at 6 p.m. the following day. However, because the driver would need to wait for two consecutive "overnight periods," he would not be able to start again until 6 a.m. the following day, 46 hours from the end of his original shift.
FMCSA will give interested parties 60 days to comment on its proposal. Under terms of a court-approved settlement agreement, the agency must publish a final rule no later than July 26, 2011.
Motion Industries Inc., a Birmingham, Alabama, distributor of maintenance, repair and operation (MRO) replacement parts and industrial technology solutions, has agreed to acquire International Conveyor and Rubber (ICR) for its seventh acquisition of the year, the firms said today.
ICR is a Blairsville, Pennsylvania-based company with 150 employees that offers sales, installation, repair, and maintenance of conveyor belts, as well as engineering and design services for custom solutions.
From its seven locations, ICR serves customers in the sectors of mining and aggregates, power generation, oil and gas, construction, steel, building materials manufacturing, package handling and distribution, wood/pulp/paper, cement and asphalt, recycling and marine terminals. In a statement, Kory Krinock, one of ICR’s owner-operators, said the deal would enhance the company’s services and customer value proposition while also contributing to Motion’s growth.
“ICR is highly complementary to Motion, adding seven strategic locations that expand our reach,” James Howe, president of Motion Industries, said in a release. “ICR introduces new customers and end markets, allowing us to broaden our offerings. We are thrilled to welcome the highly talented ICR employees to the Motion team, including Kory and the other owner-operators, who will continue to play an integral role in the business.”
Terms of the agreement were not disclosed. But the deal marks the latest expansion by Motion Industries, which has been on an acquisition roll during 2024, buying up: hydraulic provider Stoney Creek Hydraulics, industrial products distributor LSI Supply Inc., electrical and automation firm Allied Circuits, automotive supplier Motor Parts & Equipment Corporation (MPEC), and both Perfetto Manufacturing and SER Hydraulics.
The move delivers on its August announcement of a fleet renewal plan that will allow the company to proceed on its path to decarbonization, according to a statement from Anda Cristescu, Head of Chartering & Newbuilding at Maersk.
The first vessels will be delivered in 2028, and the last delivery will take place in 2030, enabling a total capacity to haul 300,000 twenty foot equivalent units (TEU) using lower emissions fuel. The new vessels will be built in sizes from 9,000 to 17,000 TEU each, allowing them to fill various roles and functions within the company’s future network.
In the meantime, the company will also proceed with its plan to charter a range of methanol and liquified gas dual-fuel vessels totaling 500,000 TEU capacity, replacing existing capacity. Maersk has now finalized these charter contracts across several tonnage providers, the company said.
The shipyards now contracted to build the vessels are: Yangzijiang Shipbuilding and New Times Shipbuilding—both in China—and Hanwha Ocean in South Korea.
Asia Pacific origin markets are continuing to contribute an outsize share of worldwide air cargo growth this year, generating more than half (56%) of the global +12% year-on-year (YoY) increase in tonnages in the first 10 months of 2024, according to an analysis by WorldACD Market Data.
The region’s strong contribution this year means Asia Pacific’s share of worldwide outbound tonnages overall has risen two percentage points to 41% from 39% last year, well ahead of Europe on 24%, Central & South America on 14%, Middle East & South Asia (MESA) with 9% of global volumes, North America’s 8%, and Africa’s 4%.
Not only does the Asia Pacific region have the largest market share, but it also has the fastest growth, Netherlands-based WorldACD said. After origin Asia Pacific with its 56% share of global tonnage growth this year, Europe came in as the second origin region accounting for a much lower 17% of global tonnage growth. That was followed closely by the MESA region, which contributed 14% of outbound tonnage growth this year despite its small size, bolstered by traffic shifting to air this year due to continuing disruptions to the region’s ocean freight markets caused by violence in the vital Red Sea corridor to the Suez Canal.
The types of freight that are driving Asia Pacific dominance in air freight exports begin with “general cargo” contributing almost two thirds (64%) of this year’s growth, boosted by large volumes of e-commerce traffic flying consolidated as general cargo. After that, “special cargo” generated 36%, with 80% of that portion consisting of the vulnerables/high-tech product category.
Among the top 5 individual airport or city origin growth markets, the world’s busiest air cargo gateway Hong Kong also remained the biggest single generator of YoY outbound growth in October, as it has for much of this year. Hong Kong’s +15% YoY tonnage increase generated around twice the growth in absolute chargeable weight of second-placed Miami, even though the latter had recorded +31% YoY growth compared with its tonnages in October last year. Dubai was the third-biggest outbound growth market, thanks to its +45% YoY increase in October, closely followed by Shanghai and Tokyo.
And on the inverse side of the that trendline, the top 5 YoY decreases in inbound tonnages were recorded in Teheran, Beirut, Beijing, Dhaka, and Zaragoza. Notably, Teheran’s and Beirut’s inbound tonnages almost completely wiped out as most commercial flights to and from Iran and Lebanon were suspended last month amid Middle East violence; tonnages at both airports were down by -96%, YoY, in October. Other location that saw steep declines included Dhaka, Beirut and Zaragoza – affected by political unrest, conflict, and flooding, respectively –followed by China’s Qingdao and Mexico’s Guadalajara.
Specifically, 48% of respondents identified rising tariffs and trade barriers as their top concern, followed by supply chain disruptions at 45% and geopolitical instability at 41%. Moreover, tariffs and trade barriers ranked as the priority issue regardless of company size, as respondents at companies with less than 250 employees, 251-500, 501-1,000, 1,001-50,000 and 50,000+ employees all cited it as the most significant issue they are currently facing.
“Evolving tariffs and trade policies are one of a number of complex issues requiring organizations to build more resilience into their supply chains through compliance, technology and strategic planning,” Jackson Wood, Director, Industry Strategy at Descartes, said in a release. “With the potential for the incoming U.S. administration to impose new and additional tariffs on a wide variety of goods and countries of origin, U.S. importers may need to significantly re-engineer their sourcing strategies to mitigate potentially higher costs.”
Cowan is a dedicated contract carrier that also provides brokerage, drayage, and warehousing services. The company operates approximately 1,800 trucks and 7,500 trailers across more than 40 locations throughout the Eastern and Mid-Atlantic regions, serving the retail and consumer goods, food and beverage products, industrials, and building materials sectors.
After the deal, Schneider will operate over 8,400 tractors in its dedicated arm – approximately 70% of its total Truckload fleet – cementing its place as one of the largest dedicated providers in the transportation industry, Green Bay, Wisconsin-based Schneider said.
The latest move follows earlier acquisitions by Schneider of the dedicated contract carriers Midwest Logistics Systems and M&M Transport Services LLC in 2023.