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How the Bakken Oil Boom Impacts U.S. Supply Chains

CH Robinson Transportfolio

The oil and gas industry impacts freight transportation in four significant areas: Diesel Prices. I was chatting with Ben Spilger from our Reno office about this when he said, “I can’t count the number of people I’ve met in Nevada with friends or family at least considering moving to North Dakota.” Driver Shortage.

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Spring Came Early in These Freight Markets

DAT Solutions

The number of loads available on the spot market last month was also up more than 100% compared to February 2016, which is a pretty good sign that the freight recession really is over. Since the freight coming out didn’t pay very well, inbound lanes paid more. The freight market in L.A. The rest stayed put.

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Booming Oil Industry Boosts Flatbed Demand

DAT Solutions

Las Vegas to Phoenix also jumped up to $2.97/mile. Continuing the regional theme out of Nevada: Flatbed rates from Reno to Seattle rose to $2.97/mile. Florida has a balance problem, where the demand for inbound freight is much higher than the demand for outbound trucks. Rock Island, IL, to Minneapolis rose at an average of $3.71/mile.

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Storms and Rising Fuel Costs Put Pressure on Flatbed Rates

DAT Solutions

Rates rose across the region, with shippers moving freight out of the way of the coming storm. Nevada is still dark in the Hot States Map above, though, and rates could rebound once as volumes rise along the Gulf Coast. The lane from Las Vegas to Phoenix lost 57¢ at $2.57 per mile.

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So You Want to Make the Perfect Logistics Model

Logility

Find the case where a customer node is right near the Alabama warehouse but is shipped from the Nevada warehouse. You will find that the cost from Phoenix to downtown LA is 42.5% the cost of a truck from LA to Phoenix. But this is the real world and reflects the optimum use of the freight market.

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Do Freight Shipping Prices Vary by State?

Freight Center

Several factors can impact the cost of freight shipping, including your shipment’s weight, dimensions and any special handling requirements, such as temperature or shape. Yes indeed, freight shipping prices do vary by state. Additionally, our freight experts are here to guide you through the process if needed.

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Do Freight Shipping Prices Vary by State?

Freight Center

Several factors can impact the cost of freight shipping, including your shipment’s weight, dimensions and any special handling requirements, such as temperature or shape. Yes indeed, freight shipping prices do vary by state. Additionally, our freight experts are here to guide you through the process if needed.