The domino effects are just starting to hit. Plus: FedEx dethroned UPS, Mexico truck production plunges, another $26M AI supply chain raise, and more.
Freight margins are razor-thin. The brokerages surviving it built nearshore teams that actually work.
Flatbed rejections hit a record 48.7%, broker numbers stop falling, and diesel jumps 30 cents overnight.
Plus: Chattanooga floods close I-24 and stall freight, LA port hits its highest monthly volume in 117 years, July sees another spike in trucking bankruptcies, and more.
TGIF. With courts split 2–2, TQL and C.H. Robinson are pushing the Supreme Court to decide if brokers can be held liable for carrier crashes. Today’s feature breaks down the key cases and what’s at stake
Plus,
Correction: Wednesday's breakdown of the Inc. 5000 list mistakenly omitted TransCargo Solutions, the third fastest-growing freight brokerage.
TOP LANE MOVERS POWERED BY TRIUMPH
🌊 Chattanooga Flood Temporarily Closes I-24, Exposes Freight Vulnerabilities. A record-breaking August 12 storm dropped 6.42 inches of rain on Chattanooga, Tenn., killing three, leaving one missing, and submerging Interstate 24 along with multiple alternate freight routes. TDOT Commissioner Will Reid said crews were “mobilized and ready to respond with statewide resources,” but flooding also closed Brainerd Road, Ringgold Road, Bonny Oaks Drive, and SR 153. “Many of our alternate routes were also flooded, so we had to go to plans B and C,” added TDOT Region 2 Director Danny Oliver. The event underscores extreme weather as a top supply chain risk, demanding real-time visibility, dynamic rerouting, and contingency planning.
🚢 Port of Los Angeles Breaks Volume Record Amid Tariff Surge. The Port of Los Angeles moved 1,019,837 TEUs in July, its highest monthly total ever, as shippers rushed to beat tariffs that could reach 30% or higher. Imports hit a record 543,728 TEUs, with Executive Director Gene Seroka noting, “Shippers have been frontloading their cargo for months to get ahead of tariffs.” C.H. Robinson’s Mike Short said peak season started “two to three months ahead of normal,” but volumes are now tapering. Spot rates from Shanghai have fallen nearly 60% since June, and late-August vessel projections show a 16% drop, leaving trucking and rail providers facing softer demand.
😔 Trucking Bankruptcies Mount as Tight Credit Stalls Market Reset. Since early July, eight trucking firms have filed for bankruptcy, including Daniel Trucking International, JAM Trucking, and Wendover Transportation, with two more, TGS Transportation and GSC, closing outright. M&T Bank has $400,000 in unsecured claims tied to Daniel’s 47 trucks. Despite “some signs of recovery,” said Rush Enterprises CEO Rusty Rush, banks are tightening lending, with more pulling back from the sector entirely. Jarrett Harris of IronAdvisor Insights warns “zombie carriers” are “killing rates and keeping assets in play,” delaying a capacity correction. Until lender actions and rates stabilize, thin-margin fleets will remain vulnerable to collapse.
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Two big cases. A 2–2 circuit split. And now, insurance companies are getting in on the action.
Just weeks after losing its case in the Sixth Circuit, Total Quality Logistics (TQL) is asking the U.S. Supreme Court to weigh in—again—on whether brokers can be held liable when carriers they hire crash. It's the second broker liability case currently requesting Supreme Court review, joining Montgomery v. Caribe II, involving C.H. Robinson.
At stake is whether brokers are shielded by federal law (F4A) from being sued at the state level for hiring unsafe carriers, or if safety concerns override that shield.
Here’s what’s on the table:
Insurance giant Marsh has launched BrokerSafe, a first-of-its-kind insurance facility offering up to $10M in contingent auto liability coverage (via U.S. and London markets).
This tells you two things: one, the stakes are getting higher, and two, the legal exposure is now so great that brokers need millions in coverage to even pretend to be safe.
Marsh's launch validates the fear that TQL is fighting against. While TQL is trying to get the Supreme Court to say brokers are not liable, Marsh is saying, "Until you get that ruling, we're going to make you pay for that risk."
Stay tuned to Crane v. Liberty Lane. If the 5th Circuit rules in favor of liability, it could break the tie and compel SCOTUS to act.
You can read our full breakdown of the proceedings and next steps here.
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📦 Cargo Theft Surges. Overhaul logged 525 U.S. cargo thefts in Q2 2025, up 33% year-over-year. Electronics and food/drinks each accounted for 16% of incidents, with Southern California’s Red Zone remaining a key hotspot.
💡 2025 TIA Technovators Announced. TIA named 21 companies for its 2025 Technovators lineup, dominated by FreightCaviar sponsors: Highway, Cargado, CloneOps.ai, HappyRobot, TrueNorth, WireBee, and Tai Software.
📉 Freight Decline Hits 30. Cass reported July shipment volumes fell for the 30th straight month, down 5.2% year-over-year. While ports like LA saw record imports, much of that freight remains frontloaded and warehouse-bound, not moving inland.
⚖️ Landstar Q3 Impact. Landstar warned that Q3 results will be weighed by a $3.4 million jury verdict and other charges. The company expects revenue and earnings to fall below prior-year levels.
⚠️ Hope Trans Exposé. An investigation by The Playbook found Hope Trans’ fatal I-20 crash exposed forged documents, USPS contract breaches, and systemic HOS and maintenance violations. The report calls on the FMCSA to issue an Imminent Hazard shutdown.
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The domino effects are just starting to hit. Plus: FedEx dethroned UPS, Mexico truck production plunges, another $26M AI supply chain raise, and more.
Flatbed rejections hit a record 48.7%, broker numbers stop falling, and diesel jumps 30 cents overnight.
Congress is moving to put driverless 80,000-lb trucks on public roads. Plus: 13,000 California CDLs get cancelled, diesel hits a 32-year record, Florida wants $50K to get your truck back, and more.
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