If you've been shipping bulk freight recently, you've probably noticed it: trucks are harder to find, lead times are longer, and capacity disappears quickly.
While today's market isn't experiencing the dramatic supply chain breakdown seen during and immediately after COVID, the bulk trucking industry has quietly entered another period of tightening capacity. According to Doug Grills, Operations Manager at Bulk Connection, the difference today is that no single event is responsible.
Instead, today's market is being shaped by several factors occurring simultaneously. Individually, each creates additional pressure. Together, they make securing bulk transportation considerably more challenging.
When railcars become delayed, equipment isn't available where it's needed, or connecting rail service falls behind schedule, manufacturers often can't afford to wait. Production lines still need raw materials, and facilities can't risk running out of critical ingredients.
Instead of waiting days, or even weeks, for rail service to recover, many companies turn to over-the-road bulk trucking.
As Grills explains, "These products need to get into facilities so they don't run out and we don't have a shutdown. You'll see dry bulk products transferred from railcars into trucks so manufacturers can start using that material instead of waiting endlessly for a switch to occur."
That additional freight increases demand for already-limited trucking capacity.
Another factor is uncertainty surrounding fuel costs.
When fuel prices rise quickly, manufacturers often decide it makes financial sense to move product immediately rather than risk paying higher transportation costs later.
According to Grills:
"People are looking at cost and saying, 'We better get this product now because next week it's going to go up.'"
Instead of spreading shipments throughout the month, companies accelerate purchases and transportation schedules. The result is a surge of freight entering the market all at once, increasing competition for available trucks.
Just like they’re trying to get ahead of fuel cost increases, shippers are also looking to move freight sooner than normal due to tariff concerns.
This is particularly true among manufacturers that rely on imported raw materials or components for production.
The trucking industry continues to face driver shortages, whether caused by driver aging and retirements, recruiting challenges, or stricter qualification requirements (e.g., English language proficiency).
Bulk transportation has traditionally been somewhat insulated because tanker and pneumatic drivers require additional endorsements, specialized equipment knowledge, and significantly more experience than many general freight operations.
Still, the labor market affects everyone.
"There are still driver shortages," Grills explains. "You do see it on the bulk side, even though it's probably more prevalent on the dry van side."
The above factors are not alone in affecting the current market. There are also high interest rates to contend with, smaller carriers getting squeezed out of the industry, and a changing regulatory environment, as just a few additional examples.
But, none of these issues alone would necessarily create the current tight capacity market.
The challenge is that all of these factors are happening simultaneously (and just in time for another factor: peak season).
When these pressures overlap, trucks become increasingly difficult to secure.
Although no one can control market conditions, Grills says shippers can significantly improve their chances of securing transportation by changing how they approach the market.
Flexibility has become one of the most valuable tools a shipper has.
The more flexibility a shipper can provide with pickup dates, delivery windows, or appointment times, the easier it becomes to find quality capacity.
A truck that isn't available today may become available tomorrow because another shipment was canceled. Likewise, scheduling a load one day later than originally desired may open up significantly more transportation options.
"The map is constantly changing," says Grills. "One day you don't have a truck. The next day, boom—you do."
One of Grills' strongest recommendations is not to wait too long when a good option becomes available.
In today's market, available trucks rarely stay available for long.
"If you have a truck ready to book and you don't make a commitment right then and there, someone else is going to grab that."
Instead of holding out for the perfect option, Grills recommends securing a workable solution first.
Then, if something better becomes available later, your logistics partner can often adjust the shipment before pickup.
His philosophy is simple:
"I'd rather secure something than have nothing."
The earlier your transportation provider knows about an upcoming shipment, the more options they'll have available.
Advance notice allows brokers to search a much larger carrier network, coordinate equipment, and optimize routes before capacity disappears.
Even small amounts of additional lead time can create dramatically different outcomes.
Finally, today's market reinforces something Bulk Connection has been recommending for years: become a Shipper of Choice.
Driver-friendly facilities, efficient loading procedures, clear communication, reasonable appointment flexibility, and respectful treatment of drivers are all opportunities to make your freight more attractive to carriers. Those relationships often pay dividends when capacity becomes scarce.
If you'd like practical ways to strengthen your relationships with carriers, download our free guide: How to Become a Shipper of Choice
The guide covers topics including:
These strategies help during tight markets but, more importantly, they create a competitive advantage in every market.
Bulk trucking capacity isn't tight because of one major disruption. It's tight because multiple market forces are pulling on the same limited pool of trucks.
While shippers can't control those factors, they can control how they respond.
Companies that plan ahead, remain flexible, communicate early, and build strong relationships with experienced transportation partners will be far better positioned than those waiting until the last minute to find capacity.
As Grills puts it:
"You've got to have flexibility. You've got to be patient. At least secure an option. We'd much rather have a bird in hand while we continue working to improve it than lose that opportunity and start over."
To put Bulk Connection’s immense network of liquid and dry bulk carriers to work for you, contact us today.