FREIGHT WAVES
AUGUST 25, 2022
The phrase “freight broker” is rather boring, I will admit it. As snoozy as those words may make you feel, these brokers are key to making sure stuff gets on trucks and across the country.
Since deregulation wrested trucking from the control of the federal government in 1980, freight brokerages have become a trucking necessity. Every imaginable company — ranging from General Mills to Amazon to Starbucks — relies on freight brokers to place loads on trucks every day.
One major transporter has tried to eschew freight brokers for years: the U.S. Postal Service. The Postal Service spent nearly $10 billion moving letters and boxes in fiscal year 2021. Most of that expense is on trucks, but there are also FedEx and UPS planes, trains and even ships.
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Outsiders have characterized DeJoy as a fella who wants to run the Postal Service like a corporation, not a government service. That’s a good thing if you’re, say, Nevada-based ITS Logistics, which saw its Postal Service contract nearly double from fiscal year 2020 to 2021. But it’s not so good if you’re one of the Postal Service’s hundreds of long-haul trucking partners — which are likely set to lose business as the Postal Service reimagines its trucking network.
Read the original story here.
