Breaking

Contract Rate Increases Hold Steady Above 10% as Shippers Reset Terms

Shippers renegotiating truckload contracts are facing rate increases averaging 13% above expired agreements, according to industry tracking. The Contract Rate Change Direction index, which measures repricing within established shipper-carrier relationships, captures only rate changes where the previous contract remained in effect for more than 90 days, filtering out short-term volatility. The seven-day rolling average strips out effects of temporary pricing mechanisms to reveal sustained rate movements. Contract rate increases have lagged tender rejection rates, which averaged close to 13% in recent months. The current environment reflects carriers' success in pushing for double-digit increases, nearly a year after rejection rates exceeded 9%. Carriers began rate increase campaigns approximately a year before the recent acceleration, signaling extended pressure on shipper costs. The index measures only contracts undergoing renegotiation and does not account for carrier positioning changes within routing guides.