Dat Reefer April 27 Graphic

DAT Solutions: Spot truckload volumes improve but rates lagging

May 5, 2020
Reefer loads, pricing riding an upward trend that’s typical this time of year, but they’re starting from historic lows

The national average spot van rate hovered around $1.50 a mile during the week ending May 3, a four-year low despite improving freight volumes, said DAT Solutions, which operates the industry’s largest load board network.

Rates for refrigerated and flatbed loads hit their lowest points since early 2017.

The number of loads on the network was up 33% compared to the previous week as fresh produce began to move and some states prepared to relax their stay-at-home orders. Load-to-truck ratios were higher for all three equipment types, but a 4% reduction in capacity was a factor as more carriers sideline their equipment and wait for better pricing.

National average rates, April

  • Van: $1.64 per mile, 23 cents lower than the March average
  • Flatbed: $1.94 per mile, down 25 cents compared to March
  • Reefer: $1.93 per mile, 26 cents lower than March

Spot rates slipped throughout April and entered May averaging $1.51 per mile for van freight, $1.81 for flatbed loads, and $1.92 for reefers.

Van Trends

The national average van ratio was 1.2 last week after nearly a month in the sub-1.0 range.

Load availability increased on 44 of DAT’s top 100 van lanes by volume, and rates were higher or neutral on 40 of those 100 lanes. Activity is picking up in states that have begun to reopen (Missouri, Tennessee, Texas, Georgia) and in produce regions (Florida, California, Texas and Georgia again), as well as in Los Angeles, Houston, Savannah GA and Elizabeth NJ, as import traffic picks up.

Reefer Trends

Spot reefer volumes and pricing are riding an upward trend that’s typical for this time of year but are starting from historic lows.

The reefer load-to-truck ratio went from 1.7 to 2.3 last week and the number of available loads improved on 23 of DAT’s top 72 reefer lanes by volume. Produce activity is building in Florida and California. The number of posted loads out of Los Angeles jumped 8% compared to the previous week. Fresno and Ontario each gained 11%, while Miami was up 26%.

Outbound rates improved in key markets:

  • Fresno CA: $1.92 per mile, up 5 cents compared to the previous week
  • Los Angeles: $2.35 per mile, up 2 cents
  • Lakeland FL: $1.70 per mile, up 13 cents
  • Miami: $1.88 per mile, up 19 cents

Flatbed Trends

The national average flatbed load-to-truck ratio increased from 4.4 to 6.6 last week but it sits well below 22.4 from a year ago. Activity on 78 high-volume lanes was neutral at a time when construction, energy, manufacturing, and other flatbed markets should be accelerating.

At $1.79 a mile, the average spot flatbed rate is down 18% over the last two months. Volumes from Houston—the largest market for flatbed loads—improved 1.7% compared to the previous week but the average outbound rate dropped 6 cents to $2.01 a mile.

This summary’s month-to-date national average rates were generated using DAT RateView, which provides real-time reports on spot market and contract rates, as well as historical rate and capacity trends. The RateView database is comprised of more than $68 billion in freight payments. Actual rates are negotiated between the carrier and the broker.

Please visit dat.com/covid-19 for regular updates on the freight market and DAT’s most recent freight forecasts.

About the Author

Commercial Vehicle Staff

Voice your opinion!

To join the conversation, and become an exclusive member of FleetOwner, create an account today!

Sponsored Recommendations

Report: The 2024 State of Heavy-Duty Repair

From capitalizing on the latest revenue trends to implementing strategic financial planning—this report serves as a roadmap for navigating the challenges and opportunities of ...

Fleet Industry Benchmarks: How does your fleet stack up?

Discover how your fleet compares to industry benchmarks and gain insights from a 2024 Benchmarking Report on maintenance spend, turnaround time, and more. Join us to identify ...

Build a Tolling Program to Manage Toll Fees and Risks

Fleets looking to effectively manage their operational costs should consider their tolling costs. Download the PrePass whitepaper, “Build a Tolling Program to Manage Toll Fees...

Reducing CSA Violations & Increasing Safety With Advanced Trailer Telematics

Keep the roads safer with advanced trailer telematics. In this whitepaper, see how you can gain insights that lead to increased safety and reduced roadside incidents—keeping drivers...