Online freight forwarder iContainers says that the US is still experiencing supply chain headaches over a year since the hard enforcement of the Electronic Logging Device (ELD).
Congestion and delays as a result of a lack of truckers have caused an increase in overall shipping costs.
“The trucking shortage continues to pose problems for shippers’ supply chains. It’s causing unpredictable delays and added costs,” said Klaus Lysdal, Vice President of Operations at iContainers. “Expect significantly higher costs for last minute trucking arrangements or modifications. This is either because shipments end up going into storage or demurrage for failing to secure a trucker or simply because a higher rate is needed to get a trucker to accept the last-minute move.”
According to the Miami-based forwarder, the trucking shortage situation appears to have somewhat improved since its climax last year. That is due, in large part, to industry players acclimatising to the situation. “From what we’ve seen, truckers have gotten better at managing their work within the new regulations,” said Klaus. “Most shippers have also come to terms with the situation. They have realised that more planning is required in advance and have learned to adjust their day-to-day planning and find ways to make it work.”
With no answer in near sight, the forwarder is advising shippers to accept and adapt to the new situation accordingly or risk jeopardising their supply chains and business.
Photo: Klaus Lysdal