The global and domestic freight landscapes experienced divergent trends, with international air cargo showing robust growth, US ports securing major infrastructure investments, and domestic trucking markets facing ongoing rate stagnation. According to the International Air Transport Association (IATA), global air cargo demand, measured in cargo tonne-kilometers (CTKs), rose by 13.6% year-on-year in July 2024. This performance represented the eighth consecutive month of double-digit growth for the sector. Reports from Air Cargo News and The Loadstar indicated that global capacity, measured in available cargo tonne-kilometers (ACTKs), also grew by 8.3% compared to the previous year. This surge was primarily driven by expanding global e-commerce demand and ongoing disruptions in maritime shipping lanes, which prompted shippers to seek faster transport alternatives.
While international air freight experienced high demand, US domestic freight infrastructure received significant federal support to prepare for future capacity needs. The Port of Oakland announced it was awarded a $110 million grant from the US Department of Transportation’s Nationally Significant Multimodal Freight and Highway Projects (INFRA) program. As reported by the American Journal of Transportation and JOC.com, this funding was designated to upgrade the port’s electrical infrastructure, support the transition to zero-emission cargo handling equipment, and improve overall freight efficiency. The project aimed to reduce emissions and improve air quality in surrounding communities while boosting the port’s long-term capacity.
In contrast to these capital investments and booming international volumes, the US domestic road freight market continued to struggle. Reports from JOC.com, drawing on data from DAT Freight & Analytics and Cass Information Systems, revealed that US truckload spot rates remained flat in August 2024, despite modest gains in freight volumes. The national average van spot rate was unchanged, while flatbed and refrigerated rates saw only minor fluctuations. This flat rate environment indicated that the domestic market continued to grapple with overcapacity, allowing shippers to maintain the upper hand in contract negotiations and keeping contract rates under pressure.
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