The state of U.S. freight growth in 2016 and perhaps next year hangs on inventories that have been piling up for years at retailers, wholesalers and manufacturers and have proved difficult to draw down. Bloated inventories have depressed freight demand since 2014, contributing to overcapacity in trucking, and filled every nook and cranny of available warehouse space, leading to low vacancy rates and higher warehousing costs.
(This article requires registration at the Journal of Commerce. To access, please click on the above link.)
Comments are closed.