Transport Topics

FedEx and UPS executives are supposed to be among the attendees Dec. 10 when Congress will press the industry on distribution plans for COVID vaccines. Richard Smith, regional president of the Americas and executive vice president at FedEx Express, as well as Wesley Wheeler, president of global health care at UPS, are among the freight industry witnesses who will appear before the Senate Transportation and Safety Subcommittee. Logistical hurdles include safely delivering vaccines with specific packaging and handling instructions. Learn more about your ad choices. Visit podcastchoices.com/adchoices

The national average price for a gallon of diesel fuel increased 2.4 cents last week to $2.526, according to the Energy Information Administration. The biggest rise came in the Central Atlantic, which recorded an increase of 3.3 cents. The smallest rise came in the Rocky Mountain region, where diesel ticked up just one-tenth of a cent. Diesel climbed in all but one of the 10 regions of the country that EIA surveys for its report. The West Coast excluding California was the only area to see a drop, which came in at 1.8 cents. Learn more about your ad choices. Visit podcastchoices.com/adchoices

Doctors and diabetes experts say a growing number of truck drivers and Americans in general are unaware they have Type 2 diabetes. Many are ignoring common signs of the disease, which include profuse sweating, irritability, a lack of coordination, blurry vision and shaky hands. Ignoring the signs of Type 2 diabetes can lead to ulcers on the feet or legs that can ultimately result in amputations. Some drivers who have been diagnosed with diabetes are taking chances by not watching their weight, not eating right and not exercising, according to experts. About 25% of truck drivers over the age of 54 are diabetic, according to numbers compiled by TrueLifeCare of Brentwood, Tenn., which helps employers and employees deal with the impact of diabetes. Learn more about your ad choices. Visit podcastchoices.com/adchoices

Fleets and dealers placed almost 52,000 Class 8 orders in November, the fourth-highest monthly volume in history. That’s according to Act Research, which cited truck makers’ preliminary data. North American orders reached 51,900, according to Act, about triple the volume of 17,512 last November. The record for Class 8 orders was 53,040, set in August of 2018. Orders were driven by a mix of pandemic-driven freight demand, soaring freight rates, aging equipment and many fewer available production slots. Learn more about your ad choices. Visit podcastchoices.com/adchoices

XPO Logistics has announced plans to split itself into two publicly-traded companies. XPO, a perennial rankings-topper on the Transport Topics Top 50 list of the largest logistics companies, shared the news after markets closed Wednesday. It said it will spin off 100% of its logistics business while maintaining trucking and freight brokerage operations as a stand-alone business. When the deal closes, which is expected to happen in the second half of 2021, current shareholders will own stock in both companies by way of a tax-free transaction. XPO CEO Brad Jacobs will remain chairman and chief executive of what’s being called “XPORemainCo.,” the trucking and brokerage provider, and serve as chairman of the new logistics company, temporarily distinguished as NewCo. Learn more about your ad choices. Visit podcastchoices.com/adchoices

The U.S. Department of Transportation announced yesterday that it has taken regulatory measures to facilitate the safe and rapid transport of the much-anticipated COVID-19 vaccine. The Federal Motor Carrier Safety Administration extended its emergency declaration offering hours-of-service relief to truckers who provide direct emergency assistance. That includes vaccines, medical supplies and equipment related to the prevention of COVID-19. The DOT also issued emergency regulatory relief for flight crews and aviation entities to facilitate uninterrupted flight operations in response to heavy air cargo demand. Learn more about your ad choices. Visit podcastchoices.com/adchoices

Truck drivers and other workers in critical and essential jobs could be among the earliest people to receive COVID-19 vaccinations as several major pharmaceutical companies begin working with major transportation firms to deliver the vaccines. Distribution, dubbed Operation Warp Speed, could start as early as mid-December, according to a committee within the Centers for Disease Control and Prevention. As many as 40 million doses could be delivered by the end of the year. After the Food and Drug Administration approves one or multiple vaccines, the CDC committee will make decisions about who will be the first to receive. As essential workers, experts say truckers likely will figure high on the list. Learn more about your ad choices. Visit podcastchoices.com/adchoices

Members of Congress return to Capitol Hill after Thanksgiving to close out a post-election lame-duck session that will include government funding legislation and the possibility of a new round of COVID-19 relief aid. Senate Majority Leader Mitch McConnell and House Speaker Nancy Pelosi intend to proceed with fiscal 2021 appropriations legislation prior to a Dec. 11 funding deadline. The congressional leaders also continue to emphasize the need to approve additional emergency aid for small businesses and frontline workers through a new round of COVID-19 aid. Learn more about your ad choices. Visit podcastchoices.com/adchoices

Truck tonnage in October declined a seasonally adjusted 8.7% when compared with year-ago levels, according to the American Trucking Associations index released yesterday. This marks the seventh consecutive month of year-over-year declines. When measured month-to-month, the ATA For-Hire Truck Tonnage Index decreased 6.3% after an increase of 5.7% in September. Still, analysts are holding off from sounding the alarm. ATA Chief Economist Bob Costello said, “While there are indications that the economy is losing momentum, I believe October’s tonnage softness was more of a seasonal issue during a pandemic than anything else.” Learn more about your ad choices. Visit podcastchoices.com/adchoices

The national average price of diesel rose again, this time by 2.1 cents per gallon, according to the Energy Information Administration’s weekly data released yesterday. Diesel now costs an average of $2.462, which is its most expensive mark since April 20. The increase follows a spike reported by the EIA last week, when diesel shot up 5.8 cents — more than twice the previous weekly increase high for the year. Despite the recent upturn, a gallon of diesel is still about 60 cents cheaper now than at this point a year ago. Learn more about your ad choices. Visit podcastchoices.com/adchoices

Manufacturing has improved greatly since the onset of the coronavirus pandemic, but a lot of work remains, experts said during a panel discussion Nov. 19. The National Association of Manufacturers, in its quarterly industry survey released Sept. 10, found that 66% of manufacturers were positive about their outlook. That is up from 33.9% in May. Respondents were asked in the survey when they expect to return to pre-pandemic levels. One-fourth of the association members said they were already back or were expecting to get back in the third quarter, but roughly 62% said they won’t get back to pre-pandemic levels until at least next year if not 2022 or later. Learn more about your ad choices. Visit podcastchoices.com/adchoices

A case that alleges ocean carriers are overcharging truckers for use of container chassis at ports will proceed after a judge denied a request for dismissal filed by the defendants. An administrative law judge with the Federal Maritime Commission this week rejected a motion from the Ocean Carriers Equipment Management Association seeking dismissal of a claim filed by the Intermodal Motor Carriers Conference of American Trucking Associations. In the case, IMCC alleges that OCEMA and 11 international ocean carriers violated the Shipping Act of 1984 by inflating prices for intermodal chassis at dozens of ports nationwide. IMCC says this has cost the trucking industry $1.8 billion over the past three years. The decision was welcomed by ATA, and clears the way for its case to continue. Learn more about your ad choices. Visit podcastchoices.com/adchoices

The U.S. Federal Communications Commission voted Nov. 18 to redeploy airwaves assigned 21 years ago for a vehicle safety system that hasn’t come to fruition, rejecting carmakers’ efforts to hold onto the frequencies. With its vote, FCC opened the way for billions of Wi-Fi devices to use frequencies once destined for a safety system to be used by vehicles linked to roadside gadgets. The change follows years of lobbying by carmakers such as Ford Motor Co. and General Motors Co. to retain their exclusive hold on the rich airwaves swath. Among the stakeholders that were pushing back on FCC’s proposal were transportation leaders on Capitol Hill and the American Association of State Highway and Transportation Officials. Learn more about your ad choices. Visit podcastchoices.com/adchoices

State and federal transportation officials are contributing to an emergency response effort after a truck crash damaged the Brent Spence Bridge, which links northern Kentucky and Cincinnati and carries interstates 71 and 75 over the Ohio River. The double-decker span has been closed since a fiery crash involving two commercial motor vehicles occurred Nov. 11. Inspections showed that the structure remains sound. A construction contract has been awarded, and the bridge is scheduled to reopen Dec. 23. According to the U.S. Department of Transportation, the Brent Spence Bridge carries about 165,000 vehicles per day. Learn more about your ad choices. Visit podcastchoices.com/adchoices

The Federal Motor Carrier Safety Administration has determined that Washington state’s meal-and-rest-break rules for commercial truck drivers are pre-empted by federal hours-of-service regulations. The determination, included in a notice scheduled for publication in the Federal Register on Nov. 17, honors a petition submitted by Washington Trucking Associations in April 2019. According to the notice, FMCSA has determined that Washington’s meal-and-rest-break laws have no safety benefits that extend beyond those provided by the Federal Motor Carrier Safety Regulations, are incompatible with federal HOS rules and place an “unreasonable burden” on interstate commerce. Learn more about your ad choices. Visit podcastchoices.com/adchoices

U.S. trailer orders for October soared to 54,200, the third-best month in industry history, according to an ACT Research report. A year ago, orders were 31,786. The all-time record is 58,228, set in September 2018, with that October claiming the second-highest volume with 55,399. Frank Maly, director of commercial vehicle analysis and research at ACT, said, “Current production rates would result in industry backlogs extending into next July. Expect OEMs to adjust build rates upward to take advantage of this positive shift in fleet investment.” Learn more about your ad choices. Visit podcastchoices.com/adchoices

Class 8 U.S. retail sales in October remained 18.4% below year-ago levels, but closed in on 19,000, according to a WardsAuto.com report yesterday. Sales were 18,774 compared with 23,001 a year earlier. It was the second-highest tally of the year, trailing only 19,126 in September. All truck makers in the month posted lower year-over-year sales except Western Star, the smallest, which rose 2.8% to 484 units compared with 471 a year earlier. Western Star earned a 2.6% market share. For the first 11 months of the year, all OEMs except International and Peterbilt have notched gains in market share compared with 2019. Learn more about your ad choices. Visit podcastchoices.com/adchoices

The U.S. Government Accountability Office has overturned the award of a potential nine-year, $19.9 billion contract to a New Jersey company for moving military household goods worldwide. The lucrative Global Household Goods Contract, first awarded in April to American Roll-on Roll-off Carrier Group, or ARC, of Parsippany, N.J., is intended to address military families’ long-standing problems with delays and damaged goods during moves to assignments, according to the Department of Defense U.S. Transportation Command. The GAO decision came in response to protests lodged by two of ARC’s competitors, alleging that ARC lacks the experience and capability to move the estimated 400,000 members of the military and their families, as well as DOD employees, across the globe each year. Learn more about your ad choices. Visit podcastchoices.com/adchoices

The truck making world will soon have a new kid on the block. Fully embracing an alliance begun in 2017, the boards of directors at Traton SE and Navistar International approved over the weekend a definitive agreement to merge. The merger is subject to Navistar shareholder approval, but major shareholders in that company have already agreed to vote their shares in favor of the transaction. The deal is expected to close in mid-2021, and when it does, company officials say the new entity will have an enhanced ability to meet the demands of new regulations and rapidly emerging technologies for connectivity, propulsion and autonomous driving for customers globally. Learn more about your ad choices. Visit podcastchoices.com/adchoices

A previously unidentified New Orleans attorney alleged to be a co-conspirator in a sweeping federal investigation into staged accidents with tractor-trailers was named in a federal indictment last week for his alleged role in the conspiracy. Danny Patrick Keating Jr., 51, unnamed but only identified as “Attorney A” in several previous indictments, was accused of being a participant in as many as 31 staged accidents in the New Orleans area in recent years. He became the 33rd individual charged in the complex conspiracy. Federal authorities specifically charged Keating with one count of conspiracy to commit mail and wire fraud, for conspiring with alleged ringleader Damian Labeaud and others to defraud insurance companies, commercial carriers and trucking companies in a scheme involving intentionally staging automobile accident crashes. If convicted, Keating faces up to five years in prison and a $250,000 fine. Learn more about your ad choices. Visit podcastchoices.com/adchoices