Navigating Challenges: Intermodal Providers Face Tough Pricing Environment in 2025

By Ken Miller, Senior Transport Journalist

Domestic intermodal service providers are voicing their dissatisfaction with the current freight landscape, as initial bids for yearly contracts with shippers have resulted in modest rate hikes in California and stagnant or decreasing rates in other areas.

This situation highlights the challenging pricing climate that carriers are facing as they enter 2025.

An unnamed executive from an asset-based intermodal company expressed his disappointment regarding the outcomes of the annual contracts awarded for 2025, noting that they did not meet his expectations. He mentioned that he hopes to secure a marginal increase of 1% or 2% on these contracts, which reflects the broader struggles within the industry.

As the market evolves, intermodal providers are grappling with various challenges, including fluctuating demand and shifting shipping patterns. The economic landscape, influenced by factors such as inflation and supply chain disruptions, continues to put pressure on pricing strategies. Companies are now more than ever focused on efficiency and innovation to maintain competitiveness.

Looking ahead, intermodal carriers may need to adapt their approaches, exploring new partnerships and leveraging technology to enhance service offerings. This proactive stance could help them navigate the complexities of the freight market and secure more favorable terms in future contracts, ultimately aiming for a more sustainable growth trajectory in the coming years.

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