As global trade realigns under the pressure of tariffs, shifting carrier strategies, and unpredictable consumer demand, U.S. supply chains continue to evolve rapidly. West Coast port volumes are stabilizing, though far from booming, despite the U.S.-China tariff pause.
Less-than-truckload pricing remains resilient as truckload markets falter. Meanwhile, carriers are restarting trans-Pacific services at speed to absorb sudden demand, and Walmart has become the first major retailer to pass tariff costs on to consumers.
Below are five key developments shaping how goods move, prices shift, and logistics networks adapt this quarter.
U.S. LTL rates held steady for a third straight month, maintaining a record BLS PPI of 259, up 12.1% since Yellow’s 2023 collapse and 4.9% year over year. Capacity constraints and early 2025 contract renewals helped support the high pricing.
However, truckload markets continue to slide, with April’s PPI down nearly 1% and now 24.6% below May 2022 highs. LTL terminal counts are rising, but broader freight remains imbalanced.
The decoupling of LTL shipping and truckload pricing reflects the stark divergence in market conditions between short-haul network freight and broader linehaul capacity.
Port of Los Angeles Executive Director Gene Seroka anticipates a manageable increase in imports following the 90-day U.S.-China tariff pause but not a surge. He expects volumes to reach 70-80% of normal in early summer.
April’s volumes rose 9.5% year over year, but early May imports fell 30% year over year amid tariff uncertainty. While bookings from China are climbing, Seroka says there’s sufficient ship capacity to handle it without congestion.
Elevated freight rates and cautious buying will keep a lid on volumes, while repositioned empty containers surged 25% to match regional demand patterns better.
Walmart confirmed it’s raising prices due to elevated tariffs, with CFO John David Rainey calling the current pressure “unprecedented.” Price increases are already visible; for example, bananas now cost 54 cents a pound, and more hikes are coming as tariffed inventory flows in.
Executives expect meaningful cost increases to persist even with temporary relief, reducing China tariffs to 30%. Despite this, Walmart posted a 4.5% rise in U.S. comp sales in Q1 and is leaning on private-label products and its ad business to offset pressure.
CEO Doug McMillon called for further tariff reductions while emphasizing Walmart’s role as a price leader.
Truck makers faced a steep drop in U.S. Class 8 sales during Q1 2025, down nearly 10% year over year, with orders plummeting over 50% in April. Fleet hesitancy, a weak freight market, expected price hikes, and unclear trade and emissions policies all contributed to the decline.
Following the slump, Daimler, Volvo, Paccar, and Traton revised full-year forecasts downward. However, Mack saw a rare bright spot with a surge in vocational truck demand. Layoffs hit major manufacturers, while tariffs on steel, aluminum, and electronics pushed prices higher. Industry leaders are now anticipating reduced truck sales for the rest of the year.
XPO is using artificial intelligence to optimize linehaul freight operations, cutting unnecessary miles and improving trailer use. The technology guides loading decisions and reduces freight handling across its 2.6 million daily miles.
The LTL carrier is also testing AI tools for trailer and route assignments to improve on-time delivery. CEO Mario Harik said AI will continue to shape how XPO operates and competes. Logistics firms like C.H. Robinson and Wabash are also turning to AI for performance gains in shipping and manufacturing.
We understand that tariffs and trade wars have created an unstable environment. However, we can promise you a few things amid this turbulent period. When you call, we answer. No matter the hour. We respond when you have urgent shipping needs. No matter the challenge.
When you work with VCPB, you can always count on:
VCPB Transportation
600 Meadowlands Pkwy Secaucus, NJ 07094
(201) 770-0111
