Intermodal and Drayage Market Update and Hot Lanes
Intermodal Market Update
Drayage capacity to support intermodal remains tight in most markets across the US, driven by volume and ramp congestion. Recent surges in the southeast are causing delays due to congestion and chassis shortages. Additionally, container capacity is tight due to extended cycle times caused by rail slowdowns and extended customer dwell times. We expect this demand to continue through the foreseeable future as imports and domestic shipping remain strong.
If you are interested in pursuing capacity in the hot lanes or other lanes, please reach out to your XPO rep or contact us below.
Hot Lanes: Intermodal
|Origin Location||Destination Location||Rate|
|Chicago, IL||Los Angeles, CA||$2,200|
|Chicago, IL||Stockton, CA||$2,500|
|Chambersburg, PA||Los Angeles, CA||$2,425|
|Chambersburg, PA||Stockton, CA||$2,500|
|Kearny, NJ||Los Angeles, CA||$2,400|
|Kearny, NJ||Stockton, CA||$2,600|
|Syracuse, NY||Los Angeles, CA||$2,750|
|Worcester, MA||Los Angeles, CA||$2,850|
|El Paso, TX||Chicago, IL||$2,700|
|El Paso, TX||Kearny, NJ||$3,800|
|El Paso, TX||Chambersburg, PA||$3,800|
|El Paso, TX||Los Angeles, CA||$1,650|
|St. Louis, MO||Los Angeles, CA||$1,900|
Rates shown are inclusive of fuel, subject to XPO standard accessorials, effective from 04/27/21-05/27/21 and applicable for origin/destinations within 50 miles of the rail ramp.
Drayage Market Update
Demand for drayage remains high as imports continue to show strong year-over-year comps with no end in sight. Congestion and chassis shortages remain a major concern in Los Angeles, where Port of Long Beach reported record import volumes in March. Additionally tightness remains in New York/New Jersey, and is now extending into the South East. Pay is becoming a larger topic in the industry as companies look to maintain driver capacity.
If you are interested in pursuing capacity in these or other markets, please reach out to your XPO rep or contact us below.
As one of the largest intermodal and drayage providers in North America, we have the capability to provide door-to-door freight management.
Our intermodal team focuses on building collaborative partnerships with our customers. We have Tier 1 rail partners, controlled capacity of private domestic containers and chassis and access to international containers for domestic shipments. Our service history spans over 30 years, with a presence at more than 80 rail ramps across North America, including cross-border movements between the US, Mexico and Canada.
For drayage services, we provide extensive high-quality capacity throughout a comprehensive national network of 42 operating locations. In addition to our national footprint, capacity and service reliability we are differentiated by our technology, and the experience of our leadership team. Our scale provides us with opportunities to solve large problems across multiple markets and foster long-term partnerships with customers.
Our proprietary Rail Optimizer system manages all aspects of drayage and intermodal operations and is integrated with our XPO Connect digital platform, for industry-leading connectivity with customers. Our scale allows us to capitalize on one of the most durable value propositions in transportation – that rail has a structural advantage over long-haul trucking as it’s less expensive, more fuel efficient, environmentally friendly and solves industry wide driver shortages.