The US trucking industry may begin to see an uptick in freight demand in the back half of the year after grappling with another quarter of lower profits due to a slump in package volumes, company executives and analysts said. The expectations have been largely fueled by US retailers' comments on their improving inventory position and prospects of better inbound container shipments.
Companies ranging from Target to Macy's have signaled that they have largely moved past their bloated inventory issues from a year earlier as retailers look to stock up on in-demand products ahead of the crucial holiday season. Meanwhile, a drop in volume of large containers handled by US ports compared to last year is also set to narrow in the coming months, according to the National Retail Federation, indicating retailers are preparing for increased demand during the year-end holiday period.
Source: reuters.com