The carrier\u2019s one-way fleet was 34% smaller in the quarter, which helped improve its total TL segment adjusted operating ratio by 270 basis points to 94.5%. While that was roughly 10 points worse than the prior peak, it was the unit\u2019s best margin<\/a> performance since the 2023 fourth quarter.<\/p>\n The Tuesday LMI report showed transportation utilization (65) was 9.7 points lower than June, but remained elevated by historical standards. Growth in transportation prices (86.9) slowed 5.5 points but remained at a \u201cvery robust expansionary rate.\u201d<\/p>\n \u201cThe lack of available fleet capacity has caused the lead time for tender bookings to increase,\u201d the report stated, citing SONAR data. \u201cIn late July bookings were being made at an average of 3.74 days before the tender needs to move, up 11% from the same time last year.\u201d<\/p>\n Werner noted one-way contractual bid negotiations are returning some of the strongest increases in a decade. <\/p>\n Green Bay, Wisconsin-based Schneider National\u2019s (NYSE: SNDR<\/a>) one-way fleet captured double-digit rate increases<\/a> on contract renewals in the quarter. It said mini-bid activity is up as shippers grow more concerned with securing capacity for peak season. Schneider has increased its exposure to the spot market<\/a>, noting June closely resembled March 2021, the prior cycle peak. It believes the TL market is \u201conly in the early stages of rate recovery.\u201d<\/p>\n Supply chain costs remain elevated<\/strong><\/p>\n The overall LMI (68.9) was down 2.2 points from a four-year high in June. Even with the modest step down, the index is on track for the highest annual reading since the freight market\u2019s boom cycle in 2021.<\/p>\n Inventory levels (55) were down 5.5 points in the month, with downstream companies, like retailers, registering an almost 20-point decline into contraction territory at 46.3. Upstream respondents (manufacturers and wholesalers) reported little change, returning a reading of 59.<\/p>\n \u201cThis seems to support the hypothesis laid out last month that some of the surge in imports was due to retailers rushing some goods imports ahead of new potential tariffs,\u201d the report said. \u201cIt is not clear if there will be a repeat of what we saw last year where the bulk of this inventory was held Upstream at the wholesale level and then only pulled down right before the holiday shopping season.\u201d<\/p>\n Even with the slowdown in inventory growth, inventory costs (77) grew at a \u201cvery robust rate,\u201d up 1.1 points from June.<\/p>\n Warehousing capacity (46.3) was down 1.2 points, pushing warehouse prices (75.5) up 1.7 points to the second-highest reading since July 2022, \u201cthe height of the post-covid inventory bullwhip.\u201d<\/p>\n The readings showed a much tighter warehousing market for upstream companies. Warehouse prices were 12 points higher at the wholesale level of the supply chain.<\/p>\n Aggregate logistics costs (inventory, warehousing and transportation) were down 2.6 points to 239.5 in July. May\u2019s 250.9 reading marked the fastest rate of expansion for the all-in cost dataset since March 2022.<\/p>\n Logistics managers surveyed expect the transportation market to remain very tight over the next 12 months, returning future readings of 40.4 for capacity, 71.8 for utilization and 89.2 for pricing.<\/p>\n The outlook pegged inventory levels at 64.4 one year out, with inventory costs (77.6) and warehouse prices (76.3) showing no retreat.<\/p>\n \u201cEssentially, respondents are anticipating having to fit increasing inventories into tighter capacities at higher costs over the next 12 months.\u201d<\/p>\n The LMI is a collaboration among Arizona State University, Colorado State University, Florida Atlantic University, Rutgers University and the University of Nevada, Reno, conducted with the Council of Supply Chain Management Professionals. <\/p>\n Why it matters? The Logistics Managers\u2019 Index provides a look at all major supply chain cost buckets. The latest report signals a difficult operating environment for shippers characterized by tight capacity and growing cost pressures.<\/p>\n![\"\"](\"https:\/\/www.europesays.com\/us\/wp-content\/uploads\/2026\/08\/TL-tender-rejections.jpg\")
<\/a>SONAR: Outbound\u00a0Tender<\/a>\u00a0Rejection Index (OTRI.USA) for 2026 (blue shaded area), 2025 (yellow line), 2024 (green line) and 2023 (pink line). A proxy for truck capacity, the\u00a0tender\u00a0rejection index shows the number of loads being rejected by carriers. Current tender rejections show a tight truckload market.\u00a0To learn more about SONAR,\u00a0click here<\/a>.<\/p>\n![\"\"](\"https:\/\/www.europesays.com\/us\/wp-content\/uploads\/2026\/08\/Dry-van-contract-rates.jpeg\")
<\/a>SONAR: Van Contract Rate Per Mile Index (VCRPM1.USA<\/a>) for\u00a02026 (blue shaded area), 2025 (yellow line),\u00a02024 (green line) and 2023 (pink line).\u00a0The index shows a 7-day moving average of the initial reporting of\u00a0dry van\u00a0contract rates without fuel or\u00a0accessorial<\/a>\u00a0charges.<\/p>\n