“When I say you’re going to require high levels of authenticity and authentication at the point of entry... that is no longer going to be enough to prevent access. You’re going to need multiple points that all need to match in order to unlock access- that’s where we’re going."
FMCSA launched a new carrier registry three weeks ago to stop freight fraud — zero new carriers have been registered since. Plus: PepsiCo is running 41 driverless trucks, peak season and a shrinking driver pool, cameras know where your carriers have been, and more.
Freight AI pilots succeed. Production deployments often don't. Augment CEO Harish Abbott on the change management gap — and what ops leaders need to do before the tech even matters.
Indiana pulled the trigger on carriers employing illegal CDL holders. Plus: tariff ruling could flood LA with imports, DC finally moves on double brokers, spot rates are outrunning contract, and more.
Happy Hump Day. Indiana just dropped a bombshell fine on carriers employing illegal CDL holders. We break it down in today's feature.
Plus:
🚢 Tariff Ruling Could Flood L.A. With Imports. The Supreme Court’s decision tied to Trump’s tariff plan may trigger a short-term cargo surge at the Port of Los Angeles, according to Executive Director Gene Seroka of the Port of L.A. If effective tariff rates fall for some importers, shipments could “shoot through the system” quickly. Meanwhile, certain exports keep bleeding. Soybean volumes alone are down roughly 80%. Brokers should brace for import spikes, chassis scrambles, and terminal congestion.
🚨 Washington Finally Moves on Double Brokers. The Senate just advanced legislation that would restore FMCSA’s power to fine unauthorized brokers directly, without DOJ as a middleman. That means faster hits on double brokers siphoning freight payments and spinning up new MCs like burner phones. The bill would also require real physical addresses (goodbye P.O. boxes) and force applicants to disclose shared ownership or even family ties to past carriers trying to shed bad safety records.
đźš› Spot Rates Are Outrunning Contract. RXO's spot rate index is up 18.7% year-over-year through Q1, the highest tender rejections since 2022, during what's normally the slowest shipping stretch of the year. Carrier attrition, CDL crackdowns, and ELD enforcement are doing what three years of market pressure couldn't: structurally tighten capacity. RXO called it "the biggest structural change to the U.S. carrier market since deregulation in 1980." When spot outruns contract in mid-winter, brokers holding cheap contracts are about to have a very interesting spring.
GoodShip is the all-in-one freight orchestration platform built by transportation teams, for transportation teams, designed to unify data, surface optimization opportunities, and help teams move from reactive decision-making to coordinated, data-driven execution.
With the launch of Laney, the industry’s first AI Transportation Analyst, teams can ask questions about their operations and get clear, actionable answers in seconds through a simple, conversational interface, making it easier than ever to understand what’s happening across the network and where to improve.
Governor Mike Braun announced Indiana will revoke CDLs from drivers in the country illegally and fine carriers $50,000 per violation if they knowingly employ them.
It’s the first real state-level enforcement mechanism targeting both drivers and the companies behind them.
It followed multiple fatal crashes in the past month involving undocumented drivers operating commercial trucks.
Here’s what the amendment does:
Non-domiciled CDLs were meant for foreign drivers with legitimate work visas. A federal accommodation.
In practice, weak verification across several states made it a vulnerability.
Those licenses fed directly into chameleon carrier networks. Small fleets that pop up, haul freight for a few months, rack up violations or fraud flags, then dissolve and reappear under a new USDOT number.
Last fall, Indiana State Police ran Operation Midway Blitz near the Illinois line.
They arrested 223 people. 146 were truck drivers.
Indiana can’t revoke CDLs issued by other states. What it can do is revoke Indiana-issued licenses, deny operating authority to carriers employing flagged drivers, and make the economics of running a chameleon carrier much harder.
The $50,000 carrier fine is the lever.
For three years, loose enforcement helped keep the bottom of the market soft.
We’ve been flagging that pressure building for weeks.
Indiana just made it expensive.
If other states follow, the capacity conversation shifts from “when?” to “how fast?”
And once enforcement starts compounding, it rarely stops at one state.
Not testing. Not piloting. AI that actually works.
Chain does what your tracking reps do today:
It just doesn’t sleep.
It doesn’t churn. And it doesn’t grow your cost to serve.
đź’¸ FedEx Sues the Government. The carrier filed suit seeking refunds on duties already paid under the emergency tariff framework, plus interest.
📉 Freightos Founder Bails, Stock Follows. Shares dropped 30% after CEO Zvi Schreiber stepped down and the company posted a $17.5M loss for 2025.
đźš› The Alabama Crash Driver Is Hauling Again. Three years after killing 10 people, Mamuye Ayane Takelu obtained new federal authority, started his own trucking LLC, and was in another crash by October 2025.
🚗 Honda Halts Mexico Plant After Cartel Violence. Honda suspended operations at its Guadalajara facility “out of an abundance of caution” after a wave of violence erupted following the reported killing of a Jalisco cartel leader.
🚢 Panama Cancels China-Linked Port Deal. The government voided CK Hutchison’s canal terminal concessions and handed interim control to Maersk and MSC, tightening U.S. influence over the trade artery.
The industry is changing right before our eyes - from AI agents to cutting-edge tools and platforms - this is just the beginning. Harish Abbott, CEO at Augment, reveals how to adopt AI successfully, gain a head start on the tech curve, and more.
Listen to the episode on Apple Podcasts, Spotify, or watch the interview on YouTube.
P.S. Issue #2 is almost here. 80 pages on the history of Freight Alley. Print magazine + Caviar Circle access. From $17/month. 30-day money-back guarantee. Subscribe → here.
“When I say you’re going to require high levels of authenticity and authentication at the point of entry... that is no longer going to be enough to prevent access. You’re going to need multiple points that all need to match in order to unlock access- that’s where we’re going."
FMCSA launched a new carrier registry three weeks ago to stop freight fraud — zero new carriers have been registered since. Plus: PepsiCo is running 41 driverless trucks, peak season and a shrinking driver pool, cameras know where your carriers have been, and more.
The freight boom arrived. For some carriers, it arrived too late. We explain why in today's feature. Plus: real gouda fellas, satisfactory doesn't mean safe, LTL is waking up, and more.
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