The chemical industry is expanding. 72 percent of chemical company CEOs said they saw more growth potential for the industry in 2016 than in the previous three years, according to PwC’s 2016 Global CEO Survey. Two years out from that survey, and the changes have been drastic. Emerging technology like AI and blockchain has cemented itself as more than just emerging. Digitization has expanded the relationship between the provider and the consumer, in turn opening doors to new markets with untouched potential sales. All of this combined with a good economy, several catastrophes that have called for city-wide rebuilds, and seasonal shipments are paving the way for an increase in products sold… and products shipped in the chemical industry.
Though this feels like a positive for the manufacturers and the providers, the logistics back-end of the industry is struggling. Over-the-road and rail congestion has hit an all time high, truck drivers are aging out, and the current infrastructure is not equipped for such massive growth. Where does the chemical production industry go from here? To help make sense of the cross-industry issue are two members of The Logistix Company team: Alex Azeredo, VP of Sales & Marketing, and Josh Savory, Operations Manager. “We used to see spot quotes for intermodal dry moves that would be at least a thousand, maybe two thousand less. And now just because of capacity, you’ve got those companies offering those lanes at much higher rates; sometimes where the rate is, it doesn’t even make sense to use intermodal anymore,” Savory said. “It used to be you could save a thousand dollars by having a longer transit time, now it’s you just have a longer transit time and it’s almost the same cost.”
They break down how the increase in demand, not the shortage of supply, has caused this issue. Along with how to deal with increasing rates, tips for staying flexible on delivery dates, and how government regulations and tariffs may ease the problem in a roundabout way, Azeredo and Savory stress heavily the importance of collaboration in this time of growth and strain. “You have ELD mandates, you have driver hours, you know they can only drive so many hours a week. That’s putting a damper on a lot of these guys pay,” Azeredo said. “You’re seeing a lot of these long-haul drivers becoming more terminal to terminal, kind of like a spiderweb effect. It’s getting wild out there.”
For the latest news, videos, and podcasts in the Transportation Industry, be sure to subscribe to our industry publication.
Follow us on social media for the latest updates in B2B!
Twitter – @TransportMKSL
Facebook – facebook.com/marketscale
LinkedIn – linkedin.com/company/marketscale
Higher education is under pressure. Over the past few years, public confidence in the value of a four-year degree has declined significantly, with fewer Americans expressing a strong belief that traditional higher education delivers a worthwhile return on investment. At the same time, employers consistently report that graduates lack job-ready skills—particularly the “durable skills”…
Healthcare providers across the U.S. are facing a growing wave of claim denials that is putting pressure on already strained hospital finances. Industry research from the American Hospital Association shows that nearly 15% of medical claims submitted to private payers are initially denied, forcing hospitals and health systems to spend about $19.7 billion annually attempting…
At ISE 2026, Jabra highlighted how meeting technology is evolving to support the realities of hybrid work, where the experience must be equally effective for people inside and outside the room. In a conversation with Craig Durr, Chief Analyst and Founder of The Collab Collective, Jabra’s VP of Video Product Olly Henderson explained that…
Starting in 2026, The Marketing AI SparkCast alternates between the Marketing AI Pulse Monthly Brief and in-depth interviews with leading marketing AI innovators. This episode is the February 2026 edition of the Monthly Brief and focuses on trust and authenticity in an AI-driven world. Aby Varma and Matt Cyr explore the emergence of advertising inside…
Transportation management systems are undergoing a quiet but consequential shift. Once viewed primarily as tools for tracking loads and storing paperwork, modern TMS platforms are increasingly expected to function as the operational backbone of logistics organizations. As freight volumes continue to fluctuate, margins remain tight, and supply chains rely on a growing mix of…
As the U.S. accelerates its push toward cleaner freight transport, policy and market forces are reshaping what’s possible in trucking. The EPA’s Phase 3 greenhouse gas emissions standards for heavy-duty vehicles, finalized on March 29, 2024, establish stricter CO₂ limits for model years 2027 through 2032. The rule is technology-neutral and performance-based, allowing manufacturers…
