Radiant's Freight Market Update

This week: President Trump delays import tax increase for Mexico; New York and Washington D.C. face off over congestion pricing; Changes to the 90-year-old NMFC rating system are coming soon.

Current Critical Industry Trends

President Trump delays import tax increase for Mexico. The pause, which came two days after the tariffs went into effect, will last until April 2, the date when reciprocal tariffs for all trading partners are expected to take effect.

New York and Washington D.C. face off over congestion pricing. A legal battle erupts as the federal government demands an end to NYC’s congestion pricing by March 21. Governor Hochul and the MTA refuse to comply, vowing “orderly resistance.” The program has already generated $49 million in its first month, reducing traffic and improving transit.

Ocean

Nuclear Power could be the key to maritime decarbonization. ABS says there is no net-zero future in shipping without nuclear energy. Small-scale Molten Salt Reactors could eliminate fuel costs while increasing efficiency. Regulatory, safety, and financing challenges remain, but industry leaders see nuclear as a game-changer.

Ports

Alabama breaks ground on new inland port to boost freight connectivity. The Montgomery Intermodal Container Transfer Facility will link central Alabama businesses to the Port of Mobile, handling up to 30,000 containers annually.

International

BlackRock and MSC make bold move with $22.8 Billion ports buyout. The deal spans nearly 200 berths worldwide, positioning MSC as a dominant terminal operator. Panama’s government review of the sale could influence regional trade dynamics.

Trucking

Truck parking remains a top concern across the U.S. and Canada. An Ontario committee has recommended amendments to expand truck parking spaces in Brampton, while U.S. House lawmakers advocate for new and updated trucking rest stops. Both countries agree that the current shortage of truck parking is unacceptable.

Changes to the 90-year-old NMFC rating system are coming soon. Starting on July 19, significant updates to classification ratings will be implemented, with the goal of modernizing the system to improve efficiency and user-friendliness.

Rail

The U.S. freight rail industry generated more than $230 billion for the economy in 2023. A recent report from the Association of American Railroads also reveals that U.S. freight railroads invested over $25 billion in upgrades to enhance safety and operations.

Air

Despite ongoing concerns, Hong Kong airfreight rates have remained strong this February. Factors such as tariffs, the Lunar New Year holiday, and fluctuating consumer demand have all contributed to the stability of these rates.

Technology

Technology advocates are seeking federal government support for Autonomous Vehicle (AV) policies. AV companies are calling for the establishment of a national standard to address the fragmented and inconsistent regulations currently in place.

Other

Quebec enforcement officers are facing accusations of conducting unfair checks on major carriers. Reports of these actions surfaced earlier this week, with carriers pointing out that such interventions are leading to delays and frustration for both customers and drivers.

⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯

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.

⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯⎯

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.