Canada Things are picking UP

FIS53 · Sep 20, 2009

The last year and a half have been slow for the Canadian market. There has been a glut of trucks for the freight available. The last 2 months have definitely improved for most companies as we've been seeing more activity in the industrial sector.

The best indicator has been the increase in the number of ads for drivers and owner operators as many try to replenish their fleets to cover the business. For the moment the increase in freight has not been great but things are happening.

Hopefully the price problem will abate but I'm sure a lot of companies will be trying to regain market share and will continue the lower pricing for awhile yet. Not the companies who will suffer but the brokers who haul the freight. Diesel is currently about 3.22-3.27/US gal so it's hard to make a decent buck when call prices are depressed.
Rob

piper1 · Sep 20, 2009

It is for sure on the way up, I ran today (a Sunday) with outbound freight....been a very long time since I have been running loaded on a Sunday!

OntarioVanMan · Sep 21, 2009

Yes..much to the chagrin of some Americans the Cash 4 Clunkers has provided a window of opportunity for us to be busy as the auto companies ramp up their low inventories...but alas it may come to an abrupt end when they do...so stay in service and run like a deer while the sun is shining..

Darmstadter · Sep 21, 2009

I think you're right OVM. Alll Cash4Clunkers will have done is gotten people to move up their timeline on that new car purchase.
Essentially, borrowing from the sales of the next few months.
Still---it's nice to see some uptick in volume, however short lived it might be.

Lawrence · Sep 23, 2009

For clarification...are you primarily hauling automotive parts?

OntarioVanMan · Sep 23, 2009

Lawrence said:
For clarification...are you primarily hauling automotive parts?

At last calculation Express-1 only did 18% of business volume from NLM....

piper1 · Sep 23, 2009

My increase has been automotive fueled. While there have been some loads of parts, there has been more that is machinery/technology related, there are a ton of high tech companies in the Kitchener area. I also attribute the increase to automotive because it gets me outbound from Canada, which allows me to have access to inbound freight which is mostly non auto related. Either way, September has been my best month by far this year and I will make all the hay I can while the sun shines!

FIS53 · Sep 24, 2009

I'm handling manufacturing for the most part and we've been seeing an increase in activity. Unfortunately we're also seeing an incredible amount of competition as everyone is pushing for a piece of the pie. Most manufacturing is still lagging though as many companies are not upto speed with production. US Steel brought their Hamilton operation back online a couple of weeks ago bu the Nanticoke operation is now down (on strike).
Rob