Flatbed Report: Higher commodity prices drive higher farm equipment sales


In accordance with the most recent knowledge from the Affiliation of Tools Producers (AEM), 4-Wheel-Drive Tractors and Mix Harvesters proceed to develop whereas another segments proceed to say no. In comparison with the 5-year common, 2-4WD Tractors and Mix Harvester gross sales had been 6% decrease in Could. Complete farm tractor gross sales within the U.S. fell 0.7% versus Could 2022 and are down 12.2% YTD. 2WD tractors had been down 1% y/y for Could and down 12.8% YTD, whereas 4WD tractors had been up 51% y/y and 52% YTD. Self-propelled Mix Harvester gross sales had been up 55% y/y and 68% YTD.

“The developments seen listed here are nonetheless being knowledgeable by the pandemic-driven highs in previous years, particularly within the sub-40 horsepower phase that, this month, makes up almost seventy % of complete unit gross sales quantity in agriculture tractors,” mentioned Curt Blades, senior vice chairman, trade sectors and product management on the Affiliation of Tools Producers. “The continued development in greater items and harvesters signifies two developments. First, farmers see sufficient enchancment within the expertise to make a transparent enterprise case for this funding, and second, they really feel assured that constructive commodity costs will proceed, permitting them to afford the expense.” 

Market Watch

All charges cited under exclude gasoline surcharges until in any other case famous.

Flatbed capability tightened within the Atlanta market final week following a $0.03/mile enhance to $2.49/mile. Georgia state common charges at $2.56/mile had been $0.04/mile larger w/w. Hundreds moved between Atlanta and Lakeland elevated by 4% final week however with loads of out there capability. Hundreds paid carriers a median of $2.31/mile, the bottom in 12 months and $1.14/mile decrease than final June. In Memphis, flatbed linehaul charges elevated by $0.08/mile the earlier week to a median of $2.67/mile for all outbound hundreds.

At $2.26/mile, outbound hundreds within the Dallas/Ft Price metroplex had been $0.04/mile larger final week, reversing the 4-week slide in state common spot charges. Texas common flatbed charges at $2.25/mile elevated by $0.08/mile final week and at the moment are simply $0.29 decrease than in 2018. Within the Pacific Northwest, regional linehaul charges averaged $2.54/mile the earlier week, with stable good points reported in Oregon, the place spot charges elevated by $0.06/mile to $2.69/mile. Washington State spot charges averaged $2.56/mile final week, up $0.07/mile w/w.

Load-to-Truck Ratio (LTR)

Flatbed spot market volumes proceed to float sideways following final week’s 12% lower. Loadposts are 71% decrease than the earlier 12 months and round half the quantity in 2018 and 2019. Provider gear posts had been down 11% final week, leading to final week’s flatbed load-to-truck (LTR) ratio reducing barely from 8.93 to eight.82, the bottom since 2016.  

Spot Charges

Flatbed linehaul charges had been flat for the third week leaving the nationwide common at slightly below $2.14/mile final week. In comparison with the earlier 12 months, linehaul charges are $0.35/mile decrease however $0.14/mile larger than in 2019 and $0.35/mile decrease than in 2018. 

The publish Flatbed Report: Greater commodity costs drive larger farm gear gross sales appeared first on DAT Freight & Analytics – Weblog.


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