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Freight and Logistics Cycle: Tighter Capacity, Uneven Demand

The Tip Desk · October 29, 2026 · 3 min read

Transportation companies described firmer rates as capacity tightened, with industrial freight demand remaining uneven and some benefits still absent from reported results.

Forward Air Corp. (FWRD), a transportation-services provider, gave a more specific account of truckload conditions in August: tightening capacity and “relatively stabilized demand” had increased spot rates starting in late 2025 and continuing into 2026. Its May discussion had described the general effects of economic cycles on transportation demand, rates and margins. The August account identified capacity as a driver of higher rates and said fuel costs had increased both fuel-surcharge revenue and purchased-transportation costs.

Radiant Logistics, Inc. (RLGT), a freight-forwarding and brokerage provider, extended that capacity explanation in September. The company said capacity had continued to exit North American truckload and intermodal markets through carrier attrition, tightening driver availability and normalization of a previously expanded fleet. Spot rates and tender rejections had moved higher through the spring and into its fourth quarter. Radiant said those developments were constructive for domestic operations, particularly U.S. brokerage, and were “not fully reflected” in its June-quarter results.

Schneider National, Inc. (SNDR), whose truckload business includes dedicated transportation and one-way shipments, reported higher revenue per truck per week in its Network operation. The measure was $4,041 in the first quarter and $4,421 in the second quarter. Average Network truck counts were lower year over year in both periods. Dedicated revenue per truck per week remained nearly unchanged between the two quarters, giving Schneider’s operating units distinct patterns within the same truckload business.

C. H. Robinson Worldwide, Inc. (CHRW), a surface-transportation and global-forwarding provider, described the procurement consequences of tighter capacity in April. The company said its first-quarter North American Surface Transportation adjusted gross profit margin was flat year over year despite tighter carrier capacity and a significant increase in truckload spot-market costs. It attributed that result to pricing and procurement discipline, dynamic pricing and costing capabilities, and a widening cost-of-hire advantage. In July, the company said the operation’s volume performance had outpaced market indices for a 13th consecutive quarter.

Universal Logistics Holdings, Inc. (ULH), a provider of contract logistics and intermodal services, retained the same description of uneven freight demand in May and August. Both accounts singled out industrial, automotive and consumer-related markets and said automotive and heavy-industrial production and shipping volumes remained below historical levels, negatively affecting demand for portions of its services. Forward Air also said in August that import-sensitive intermodal volumes had decreased. Those companies continued to describe specific pockets of demand weakness during the period of firmer truckload pricing.

International freight disclosures also tied higher rates to supply constraints and disruption. C. H. Robinson said in July that those factors had driven higher airfreight rates; air adjusted gross profit per metric ton increased 33.5% year over year, and air tonnage declined 7.5%. Radiant said in September that elevated fuel prices, airspace restrictions and conflict-related rerouting had added cost pressures across air and ocean freight markets. Its standing risk language says those pressures may adversely affect its business and financial results.

Wabash National Corp. (WNC) described customers’ equipment-related decisions cautiously in May. The company said order patterns had been uneven, asset utilization inconsistent and capital decisions carefully evaluated. It also cited “early signs of stabilization” and improving customer visibility as conditions that supported its outlook for a constructive 2027.

By September, Wabash reported second-quarter sales of $417 million, approximately 38% above the first quarter. The company also said its backlog had expanded for a second consecutive quarter, reaching $956 million at the end of June, adding a concrete order-book measure to its earlier language about improving visibility.