ports

RXO Warns of Sustained Rate Pressure as Trucking Capacity Continues Shrinking

Spot rates in US trucking surged 32.4% in the second quarter, marking the ninth consecutive quarter of increases and the strongest performance since 2021, according to RXO. The transportation provider projects third-quarter rates could rise over 40% year-over-year, with peak season expected to intensify pressure further. Capacity constraints are intensifying following regulatory enforcement targeting non-domiciled commercial driver license holders and drivers lacking English proficiency. The Federal Motor Carrier Safety Administration estimates the campaign will eliminate nearly 200,000 drivers—approximately 5% of active interstate license holders. RXO's chief strategy officer called the reduction "the biggest structural change to the US carrier market since deregulation in 1980." Shippers are being advised to secure capacity immediately as the market tightens. The Logistics Manager's Index recorded a 2.4% capacity reduction for July.