Widespread Weakness in US Intermodal Rates

Domestic U.S. intermodal rates weakened broadly this week, reflecting the slack, post-holiday season. Of the 36 lanes tracked weekly by IDS, 32 either dropped or remained the same from the prior week, with declines seen on lanes in all four directions.

An average of West-to-East lanes dipped from $2,518 to $2,505 per all-in 53-foot door- to-door moves as quoted by railroads, while East-to-West lanes on average dropped from $1,795 to $1,779, according to IDS. An average of North-to-South lanes inched up from $1,989 to $1,991, but the South-to-North average dipped from $1,759 to $1,750.

“We continue to see the market pricing soften across the entire network,” said IDS EVP Rick LaGore. “We still see the softening as the typical softening experienced at this time of the year.”

Examples of individual lane weakness this week included:

• Atlanta to Chicago, dropping from $910 to $890.
• Charlotte to Los Angeles, dropping from $2,235 to $2,230.
• Chicago to Atlanta, dropping from $1,315 to $1,275.
• Los Angeles to Chicago, dropping from $2,380 to $2,370.

Examples of individual lanes that saw increases included:

• New Jersey to Atlanta, which rose from $920 to $935.
• New Jersey to Chicago, rising from $850 to $870.
• New Jersey to Dallas, rising from $1,905 to $1,935.
• Orlando to Chicago, rising from $750 to $775.