Radiant's Freight Market Update

This week: Unprecedented winter weather hits the southern U.S.; Starting February 1, 25% tariffs could be imposed on Canada and Mexico; The American Trucking Association predicts growth in 2025.

Current Critical Industry Trends

Winter Weather Alert! Winter storm closes businesses, ports, and disrupts supply chains across Southern US and Gulf States. For information on road conditions around the U.S. visit this DOT page.

Unprecedented winter weather hits the southern U.S. Record-breaking snowfall and extreme cold temperatures blanket areas not accustomed to winter weather conditions. Businesses and Gulf Coast Ports have been forced to close, and supply chains have been severely impacted. Winter weather storms have a greater impact on supply chains than hurricanes, according to recent rejection rate data.

Starting February 1, 25% tariffs could be imposed on Canada and Mexico. With Canada sending about 75% of its exports to the U.S., there are growing concerns that the two countries could be heading toward the biggest trade war in decades.

Ocean

More ships are set to enter service in 2025, contributing to an expected increase in tonnage supply. Experts have provided detailed breakdowns of the new vessels that will be launched this year.

Ports

Efforts to expand shore power capabilities are ramping up as ports move toward more sustainable systems. Cavotec secured €7 million for Italian ports to enhance infrastructure for cruise ships, Ro-Ro vessels, and containerships. Deliveries are scheduled through 2026, reflecting Italy’s growing commitment to green port technologies.

International

The Australian government is investing $262 million in the submarine supply chain. This initiative will support local businesses across the country and contribute to the construction of submarines for the UK and US, as the AUKUS Naval Nuclear Propulsion Agreement comes into effect.

Trucking

The American Trucking Association predicts growth in 2025. This growth is expected to continue through 2035, with an anticipated volume of nearly 14 billion tons.

Rail

The Federal Court of Appeals has blocked a ruling allowing liquefied natural gas to be transported via rail. The court sided with the groups that challenged the initial ruling, citing environmental concerns, and sent the rule back for further proceedings.

Air

Xeneta projects a 4% to 6% increase in global air cargo demand for 2025, outpacing capacity. However, factors like higher tariffs, geopolitical tensions, and changes to the U.S. de minimis threshold could cause rate fluctuations.

Technology

What is blockchain and how does it impact the supply chain? Explore how this technology works and the benefits it offers. Although cost has been a barrier in the past, increasing affordability is expected to drive wider adoption.

Other

Children’s book celebrates truck drivers and aims to improve how people see drivers. The author, the granddaughter and niece of truck drivers, is excited to work on her next book, which will focus on supply chain leadership.

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The Radiant Network's supply chain and logistics updates provide valuable insights on freight trends, customs regulations, global news, economics, tech, and more. The Radiant Network includes the brands Radiant World Trade Services, Radiant Global Logistics, Radiant Canada, Radiant Road & Rail, Adcom, Airgroup, SBA, and Distribution By Air.

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Radiant World Trade Services is a part of Radiant Logistics, Inc. (NYSE American: RLGT), a publicly traded third-party logistics company that provides technology-enabled global transportation and value-added logistics solutions to a diverse account base. They offer comprehensive services including freight forwarding, truck and rail brokerage, warehouse and distribution, customs brokerage, order fulfillment, inventory management, and technology services. Radiant has an extensive network of offices throughout North America and other key markets worldwide.