Fall is in full swing, and for supply chains that means it will soon be time to test whether or not all those peak-shipping season preparations of the past few months were up to snuff.

This will be felt acutely in the final mile, as holiday orders make their way from distribution centers to doorsteps across the country. Last-mile delivery is often considered the most difficult part of the logistics journey, and it has been getting harder over the past decade thanks to accelerating e-commerce orders, labor challenges in both warehousing and transportation, and rising expectations for next-day and same-day delivery. Another factor is the high cost of last-mile delivery, which can account for more than 40% of total delivery costs, according to some industry estimates.

And it doesn’t end there.

Shippers and carriers are facing additional pressure this year, with many saying last-mile delivery costs are outpacing revenues—and that rising fuel and labor costs are at the heart of the problem. A recent survey of supply chain leaders by last-mile delivery platform FarEye, for instance, found that 70% of last-mile operators ranked fuel among their biggest cost pressures, with more than 50% citing labor issues. The results appear in the company’s “Eye on the Last Mile America 2026” report, which surveyed more than 500 delivery operators from across the country.

Compliance is another concern. I spoke to Gaurav Srivastava, co-founder and chief product and technology officer at FarEye, about the survey and the rising pressures shippers and carriers face as 2026 comes to close. He pointed to the May Supreme Court ruling stating that freight brokers can be held liable under varying state laws for accidents involving the federally licensed motor carriers they hire. The case, Montgomery v. Caribe Transport II LLC, affects shippers, too—especially those using unvetted carriers or substandard brokers to find better rates. Srivastava says the rule is creating an urgent need for compliant, certified, and insured drivers across the delivery chain—a factor that is also contributing to higher costs.

“Companies are now trying to find [better, vetted] drivers,” he explained, noting that in this case, the added costs are “for good reasons. But at the end of the day, it’s creating a lot of pressure for our customers.”

As a result, FarEye and others say they are seeing growing demand for tools that can help shippers and carriers get those costs under control. Chief among them are agentic AI (artificial intelligence) products that can address processes such as route planning, capacity optimization, and demand forecasting, according to Srivastava.

FarEye’s research shows that last-mile operators have greatly increased their use of AI over the past year, with more than 66% saying they were implementing or using AI products in 2026 compared with more than 46% in 2025. Organizations citing “extensive operational adoption” of AI rose to nearly 14% this year from 4% last year. Estimated time of arrival (ETA) prediction is the leading AI use case (39%), followed by demand forecasting (36%), customer support (31%), and real-time dynamic routing (21%), according to the research.

The tech firms say such tools are giving companies better decision-making control in their day-to-day operations. Srivastava explains that last-mile operators can’t control fuel prices or labor markets, but they can control how much fuel, labor, and capacity each delivery consumes, for example.

That makes a lot of sense—and, hopefully, will translate into savings for companies that have baked those solutions into their peak-season prep.

A survey of European logistics providers shows that road freight operators are continuing their efforts to cut emissions, but that their customers won’t pay the extra cost of greener transport.

The data showed that cost is now their biggest obstacle to going further, compared to last year’s survey, in which cost ranked second to infrastructure. Those numbers came from the “2026 Green Compact” survey conducted by world road transport organization group IRU and supply chain software provider Trimble.

That change has come because around seven in ten operators in Western Europe (70%), Eastern Europe (71%), and Australia (67%) say their customers are unwilling to pay the additional cost of decarbonization. That’s a problem because the price of decarbonizing is high, but operators have no reliable way to pass it on. Solutions are seen as too expensive by 64% of Western European operators, 62% in Eastern Europe and 40% in Australia.

Taken together, expensive solutions and unwilling customers form a “cost wall,” researchers said. The shift is clearest in alternative fuels. Last year, the lack of charging and refueling infrastructure was the leading obstacle. But in 2026, vehicle prices have become the biggest barrier in both European regions. In Western Europe, 66% of operators cite vehicle prices, up from 49% in 2025. In Eastern Europe, the figure has risen from 52% to 78%.

And indeed, the gap is large. An electric truck costs two to three times as much as its diesel equivalent, far more than operators’ thin margins can absorb, the study said.

Still, nine in ten Western European operators (90%) take at least one measure to cut emissions, as do 87% in Eastern Europe and 55% in Australia. They start with measures that pay for themselves: routing optimization (53% in Western Europe, 62% in Eastern Europe) and eco-driving training (42% in both).

The warehousing third party logistics provider (3PL) Stord is continuing its acquisition streak just two weeks after taking on $400 million in financial backing, buying the 3PL AMS Fulfillment for an undisclosed amount to mark its 12th takeover.

Valencia, California-based AMS Fulfillment says it processes more than 10 million orders per year for beauty, wellness, and high-velocity direct-to-consumer brands.

Atlanta-based Stord says the deal is its largest acquisition to date, adding over 1 million square feet across key East and West Coast hubs, including the Los Angeles, Salt Lake City, and Philadelphia metro areas, and bringing millions of annual orders onto Stord's platform. Stord's global network now spans more than 100 locations.

Stord had plenty of leverage to make the purchase, following the news that it had secured a $400 million credit facility led by Citi in October, closely after a $250 million Series F venture capital round in May. Supported by the Series F, Stord launched Stord Labs, its dedicated robotics deployment arm and data foundry. Stord is using the capital to expand its fulfillment network across the U.S. and internationally, and to accelerate its investment in robotics and AI at Stord Labs.

Previous acquisitions made by the company include buying Shipwire from CEVA Logistics in January, and in recent years snapping up Fulfillment Works, ProPack, Pitney Bowes E-Commerce Fulfillment, and UPS’ Ware2Go.

"In modern commerce, what happens after checkout has become as important to consumer trust as the product itself," said Sean Henry, CEO and Co-Founder of Stord. "We have spent a decade building the leading fulfillment network and end-to-end commerce platform, leveling the playing field for brands with Prime-like speed and reliability. This year, Stord has added the scale, leadership, network infrastructure, capital, and technology to extend that experience. AMS further accelerates our scale, while bringing some of the most discerning brands in the industry onto our platform. In commerce, scale drives lower costs, faster speeds, and more trust with consumers—powering Stord's flywheel. This deal spins our flywheel even faster, and we are entering peak shipping season with more capabilities, intelligence, and momentum than at any point in our history."

The American Association of Port Authorities (AAPA) is throwing its weight behind White House efforts to build nuclear reactors at maritime ports, saying the small modular reactors (SMRs) could provide a source of power for cranes through the night.

"We are witnessing an undeniable momentum for nuclear energy at ports across the maritime industry,” Sang Yi, AAPA’s president and CEO, said in a release.

“Key partnerships have emerged across the country to examine port microgrids, shoreside power, and emerging vessel propulsion technology applications. These partnerships envision broader potential for SMRs beyond propelling cargo ships across oceans to include a source of job creation for American workers and a source of power for cranes through the night. A diverse energy portfolio, including expanded grid connections, energy storage, microgrids, and other emerging technologies like SMRs, will be the answer. Undoubtedly, nuclear technology must meet rigorous safety, security, environmental, and regulatory standards. AAPA is working across industries for clear federal permitting responsibilities and strong emergency-response protocols developed with the U.S. Coast Guard through meaningful public and stakeholder engagement. America's ports are gateways to the global economy and require reliable, resilient, and sufficient power to keep American commerce moving," Yi said.

Additional support for the concept came from the ports of Long Beach and Corpus Christi.

"When you look at the different options that are on the table, small modular reactor has already been used by the US Navy for seventy years, it’s been adopted in different sectors and industries across the globe. Thanks to federal leadership at the US maritime administration and to start ups like Bluecore who is a tenant at the Port of Long Beach now, we can now leverage federal leadership and private sector innovate to explore fully the adoption of SMR technology to power the port of the future," said Noel Hacegaba, CEO, Port of Long Beach.

Likewise, Jeff Pollack, Chief Strategy and Innovation Officer for the Port of Corpus Christi, said: "The Port of Corpus Chrsiti's partnership with CORE POWER on a site-specific feasibility study of the technical, logistical, and regulatory feasibility of deploying Floating Nuclear Power Plants (FNPPs) and receiving nuclear propelled vessels is a critical step toward advancing nuclear applications in maritime. We are excited about producing the first end-to-end evaluation of nuclear readiness on an existing maritime trade route."

More than 500 dual-fuel containerships and vehicle carriers are operating worldwide, with total investment in dual-fuel ships delivered and on order surpassing $200 billion, according to the latest World Shipping Council (WSC) Dual-Fuel Fleet Dashboard, released today.

The report shows 503 dual-fuel ships in use as of September, up more than 40% from 358 at the same time a year ago. Another 849 ships are on order, bringing the total delivered or on order to 1,352 ships, according to WSC.

Dual-fuel ships are designed to operate on either conventional marine fuels or alternative fuel types, including renewable and lower-emission fuels, helping to prepare the fleet for the transition to cleaner shipping.

The latest figures highlight companies’ efforts to make that transition despite a lack of regulatory guidance that industry watchers say would accelerate the move to cleaner fuels.

“The container ship and vehicle carrier industry have committed more than $200 billion to ships that can run on cleaner fuels, with more than 500 already sailing and hundreds more on the way,” Joe Kramek, president and CEO of the World Shipping Council, said in a statement Thursday. “The investment is happening, but these ships need commercially competitive alternative fuels to deliver their full potential to reduce emissions.”

The latest figures show that alternative-fuel-capable ships remain the dominant choice for containership and vehicle carrier orders. They account for 65% of containership orders and 97% of vehicle carrier orders, as measured by deadweight tonnage. That compares with 23% across the rest of the global shipping fleet.

The report also shows that orders for conventional-fueled ships have increased compared with a year ago—a move that comes amid continued uncertainty over global GHG regulation at the International Maritime Organization (IMO). The WSC said it supports a global greenhouse gas measure through the IMO as part of that organization’s 2023 GHG Strategy. Such a measure would help close the cost gap between conventional and alternative fuels and provide clear, consistent rules for international shipping, according to WSC.

Without that framework, the industry risks facing a patchwork of regional emissions regulations that will add cost and complexity to global trade, the group also said.

“We need a global measure with clear rules and strong, consistent enforcement that gives companies the confidence to invest in the production of cleaner fuels and the infrastructure needed to supply them,” Kramek said. “We trust IMO member states can come together to deliver that framework. Every delay means increased uncertainty, making the transition harder and costlier for the global economy.”

Q: HOW WOULD YOU DESCRIBE THE CURRENT STATE OF THE PACKAGING AUTOMATION INDUSTRY?

William Nelson – E80: The industry is moving very quickly from stand-alone automation toward fully integrated systems. For years, manufacturers often automated one process at a time: a palletizer here, a wrapper there, an AGV [automated guided vehicle] fleet somewhere else. Today, particularly in the CPG [consumer packaged goods] industry, companies are looking at the entire material flow and asking how all those operations can work together as one system.

This is why we are seeing more customers look for long-term technology partners rather than individual equipment suppliers. The conversation increasingly starts with the overall process: What does the plant or distribution center need to accomplish today, what will it need to accomplish five or 10 years from now, and how can automation provide the flexibility and scalability to support that growth?

J Welch – Regal Rexnord: Packaging automation continues to evolve as manufacturers adapt to e-commerce growth, faster fulfillment expectations, and more dynamic product portfolios. As a result, companies are prioritizing flexible, scalable automation that can quickly accommodate changing packaging formats, production demands, and distribution models.

Q: WHAT MAJOR INNOVATIONS IN PACKAGING AUTOMATION HAVE YOU SEEN IN RECENT YEARS?

J Welch – Regal Rexnord: Right-size packaging systems and shuttle-based AS/RS [automated storage and retrieval system] solutions have transformed how manufacturers optimize packaging, warehouse space, and fulfillment efficiency. At the same time, increased automation adoption has heightened the need for integrated systems that seamlessly connect material handling, packaging, and warehouse operations.

William Nelson – E80: One of the most important developments has been the integration of robotics, autonomous material handling [equipment], advanced software, and real-time data into a single operating ecosystem. Software has therefore become fundamental. Instead of simply controlling individual machines, an integrated software platform can manage material flows across the entire facility, exchange information with production systems and the customer's ERP [enterprise resource planning system], dynamically assign missions to vehicles, manage storage and retrieval, coordinate shipping priorities, and provide complete traceability.

Another major advancement is simulation. Before installing equipment, we can now create a digital model of the customer's operations, test different layouts and production scenarios, identify potential bottlenecks, and validate control strategies. That significantly reduces implementation risk and gives customers much greater confidence that the system they are investing in today can support their future requirements.

Q: WHAT PROBLEMS ARE CUSTOMERS TRYING TO SOLVE WITH YOUR PRODUCTS?

John Lawn – Rice Lake: Manual measurements are time-consuming and often inaccurate, especially for irregularly shaped packages. Weighing and dimensioning systems calculate results in seconds and deliver more reliable measurements.

Q: WHAT ROLE DOES REUSABLE PLASTIC TRANSPORT PACKAGING PLAY IN AUTOMATED WAREHOUSING, FULFILLMENT, AND MANUFACTURING OPERATIONS?

Lynn Hediger – Orbis: As companies add more automation in their fulfillment, distribution, and manufacturing operations, repeatability and consistency are important because automated systems are engineered around very defined tolerances. Designed for long service, reusable plastic packaging can maintain its critical dimensions and performance characteristics throughout its entire service life. As automation evolves, companies are looking at reusable packaging as integral assets in their automated ecosystem, helping support the reliable movement, storage, and handling of goods.

Q: ONE OF THE TRICKIEST PARTS OF PACKAGING DESIGN IS FINDING THE OPTIMAL BALANCE BETWEEN PRODUCT PROTECTION AND PACKAGE WEIGHT. WHAT CAN SHIPPERS DO TO FIND THAT BALANCE?

J Welch – Regal Rexnord: Achieving the right balance requires understanding both product protection requirements and customer expectations. Testing and simulation tools can help manufacturers validate packaging designs, reduce material usage, and maintain product integrity throughout the shipping process.

Q: HOW HAVE DIM WEIGHT CHARGES FOR PACKAGES AFFECTED THE NEED FOR ACCURATE WEIGHT AND DIMENSIONAL DATA?

John Lawn – Rice Lake: With LTL [less-than-truckload] carriers charging by density, more shippers need to have accurate data on their packages' weights and dimensions. LTL carriers are now auditing more frequently, and if a shipment is improperly declared, shippers can face costly chargebacks or fees.

Q: THERE ARE SO MANY CHOICES FOR PACKAGING AUTOMATION. WHAT FACTORS SHOULD BUYERS CONSIDER WHEN MAKING PURCHASING DECISIONS?

William Nelson – E80: I would encourage buyers not to begin with the technology. Begin with the process and the long-term business objective. A very sophisticated machine can solve one problem while unintentionally creating another somewhere else in the facility. Buyers should understand their complete material flow, expected throughput, SKU [stock-keeping unit] mix, available space, labor requirements, and future growth before selecting individual technologies.

Scalability is another major factor. The best solution is not necessarily the system with the highest theoretical performance today but rather the one that can adapt as the customer's business changes.

Finally, I would look closely at the supplier itself: its engineering capabilities, installed base, simulation capabilities, service organization, and ability to support the system throughout its lifecycle. Automation is a long-term investment. The relationship with the technology partner should be considered in the same way.

J Welch – Regal Rexnord: Successful automation investments start with a clear understanding of operational challenges, long-term business goals, and future growth requirements. Partnering with experienced automation experts like Regal Rexnord ensures technology decisions align with both current needs and long-term scalability.

Q: WHAT ITEMS CAN BE MEASURED BY A DIMENSIONER?

John Lawn – Rice Lake: Dimensioners are typically designed for measuring either pallets or parcels. We offer dimensioning systems for both needs, capable of dimensioning unevenly stacked pallets or irregularly shaped parcels.

Q: HOW CAN QUALITY EQUIPMENT COMPONENTS ASSURE HIGH RUN TIMES FOR AUTOMATED PACKAGING SYSTEMS?

J Welch – Regal Rexnord: High-quality components reduce maintenance requirements, improve system reliability, and lower total cost of ownership over the life of the equipment. Buyers should evaluate long-term performance, serviceability, and workforce training requirements rather than focusing solely on upfront capital costs.

Q: WHAT IS THE BIGGEST MISTAKE COMPANIES MAKE WHEN APPROACHING AUTOMATION?

William Nelson – E80: The biggest risk is approaching automation as a series of independent projects without first developing an overall plan. We believe the better approach is to start with an overall design, understand the flows, simulate the future requirements, define the architecture, and then establish a roadmap.

You do not have to automate everything on day one. But you should know how everything you automate today will fit into the factory or distribution center you want to operate tomorrow.

Q: WHAT ARE THE ADVANTAGES OF USING IN-LINE WEIGHING AND DIMENSIONING SYSTEMS?

John Lawn – Rice Lake: In-line measuring with in-motion checkweighing systems such as [Rice Lake's] MotoWeigh reduces the chance of accidentally giving away product or short-selling customers. Dimensioning products early in the process helps workers select properly sized packaging options, boosting efficiency and reducing waste.

Q: WHAT ROLE DO AUTOMATED MOBILE ROBOTS AND AUTOMATED GUIDED VEHICLES PLAY IN TODAY'S HYPERCONNECTED PACKAGING, WAREHOUSING, AND FULFILLMENT OPERATIONS?

William Nelson – E80: This is where mobile automation can fundamentally change the way a facility operates. LGVs [laser-guided vehicles] and AGVs eliminate the need for many fixed connections between processes. They can collect finished pallets directly from palletizers or wrappers, transport packaging materials to production, feed warehouses, retrieve finished goods, stage orders, and move pallets toward shipping.

Because the vehicles are coordinated by software rather than dedicated to one fixed route, missions can be dynamically reassigned according to production requirements and priorities. That provides considerable flexibility and helps eliminate bottlenecks. The final step is automated truck loading and unloading. LGVs can move pallets from production or storage through staging and directly into the trailer.

J Welch – Regal Rexnord: AMRs and AGVs can create flexible connections between packaging, warehousing, and fulfillment operations by automating material movement and reducing manual transport tasks. When integrated with WMS [warehouse management systems] and ERP systems, they help streamline workflows, improve labor utilization, and support scalable automation strategies.

Lynn Hediger – Orbis: These vehicles depend on consistency. By design, reusable transport plastic packaging is standardized, and it provides a predictable and repeatable interface for AMRs and AGVs. Consistent dimensions and handling features ensure that automated equipment engages with these totes and pallets to reduce variability that can disrupt automated processes.

Q: WHAT ADVANCEMENTS WILL WE SEE IN THE NEXT GENERATION OF AUTOMATED PACKAGING TECHNOLOGIES?

J Welch – Regal Rexnord: The next generation of packaging automation will leverage AI (artificial intelligence]-driven analytics, predictive maintenance, and intelligent production optimization to improve efficiency and reduce waste. These technologies will help manufacturers make faster, data-driven decisions across production, packaging, and fulfillment operations.

William Nelson – E80: I believe the next major advancement will be greater intelligence at the system level. We will continue to see improvements in robotics, sensing technologies, autonomous navigation, and AI, but their greatest impact will come from combining them with increasingly sophisticated orchestration software.

Future systems will use much more operational data to anticipate changes, dynamically optimize flows, and help companies make better decisions in real time. Simulation will also become increasingly important, not only during the original design phase but throughout the lifecycle of the facility as companies evaluate new products, production volumes, and expansion scenarios. Flexibility will be critical. Organizations need automation platforms that can evolve without requiring them to redesign the entire operation every time their business changes.

Q: WHAT WILL YOU BE SHOWCASING THIS YEAR AT PACK EXPO?

J Welch – Regal Rexnord: At Pack Expo, Regal Rexnord will showcase solutions designed to maximize throughput and uptime through reliable conveyance, optimized accumulation, and reduced maintenance requirements. Highlights include our patented ModSort Divert and Transfer technology, which enables efficient diverting, transferring, and sorting of multiple package types across both new and existing conveyor systems. [Editor's note: Regal Rexnord will be exhibiting at Booth S-2174.]

John Lawn – Rice Lake: We will be showcasing iDimension dimensioning systems for pallets or parcels and MotoWeigh in-motion checkweighers and platform scales for weighing shipments. Our scale experts will be providing live demos throughout the event. [Editor's note: Rice Lake will be exhibiting at Booth N-5265.]

Lynn Hediger – Orbis: Orbis is showcasing a variety of reusable packaging solutions, with a strong focus on its products designed specifically for automated operations. This includes the Odyssey pallet family. This line of 40 x 48 pallets helps improve material handling efficiency, support automation initiatives, and reduce the total cost of ownership compared to traditional limited-use wood pallets.

We will also feature the AROS tote family. This portfolio includes a wide range of totes engineered for automation, including the ML6545-325, the ML6040-325, and the collapsible MLN6040. Orbis is also an official bin supplier to AutoStore and will feature AutoStore bins. They are designed to maximize storage density and enhance picking efficiency. [Editor's note: Orbis will be exhibiting at Booth LU-6702.]

William Nelson – E80: Our focus will be on showing CPG decision-makers what becomes possible when automation is considered as a complete intralogistics ecosystem rather than a collection of separate technologies. Visitors will be able to explore E80 Group's capabilities across robotic end-of-line automation, LGVs and AGVs, high-density automated storage, picking and distribution center solutions, automated truck loading, and the SM.I.LE80 software platform that integrates and controls these operations.

We also want to talk about what happens before equipment is installed. Our consulting and simulation capabilities allow us to model existing and future operating scenarios, evaluate layouts, identify bottlenecks, and validate system performance before implementation. For customers making major automation investments, reducing project risk at the design stage is increasingly important. There is no universal automation solution. The right starting point is understanding where the company is today and where it wants to go, and designing a roadmap that allows the technology to evolve with the business. [Editor's note: E80 will be exhibiting at Booth N-4738.]

Transportation management system (TMS) software has been a mainstay of logistics operations for years, helping users plan and arrange for the physical transport of goods across the supply chain while striking the optimal balance between cost and speed.

For decades, the software has paid for itself by generating savings and efficiencies in straightforward freight hauls. But the events of recent months have injected unprecedented levels of uncertainty into the business of cargo transport—whether by truck, rail, ocean, or air. Instead of simply arranging for cargo to be hauled from point A to point B, companies now have to worry about major variables that can change from day to day, including radical swings in diesel fuel prices caused by geopolitical conflict, attacks on containerships and sudden closures of ocean lanes, soaring rates of cargo theft, and unexpected court rulings that place new legal burdens on businesses.

"For most of the last two decades, a TMS existed to execute a shipment, price it, and track it through delivery. That was the job. Today, the same platform is being asked to absorb a much wider set of forces at once: legal and security risk, cost volatility, and global disruption, often in the same week," says Raddy Velkov, senior vice president of carrier sales and strategy at BlueGrace Logistics, a Florida-based third-party logistics service provider (3PL). "None of those four pressures existed at this intensity five years ago. Now a platform has to account for all of them at once, and that's a meaningfully bigger job than the one TMS platforms were originally built to do."

Take carrier vetting and compliance, for example. A spate of recent legal and regulatory developments have changed the game for freight brokers and 3PLs, forcing them to rethink how they evaluate, document, and defend their carrier-selection programs.

One of those developments was the U.S. Supreme Court's decision in Montgomery v. Caribe Transport II, which it handed down in May. In a surprise ruling, the justices found that freight brokers may be held financially liable for highway accidents involving trucks they hired to haul freight, even when those motor carriers were federally licensed and had met safety requirements set by the U.S. Federal Motor Carrier Safety Administration (FMCSA).

That decision came down just months after another regulation affecting brokers and forwarders, the FMCSA's Broker and Freight Forwarder Financial Responsibility rule, took effect. Among other stipulations, the rule requires brokers and freight forwarders to make their operations more transparent by sharing their records with shippers and truckers, and also to maintain $75,000 in bonds to ensure they can pay for their services.

HOW TO JUGGLE THE CHALLENGES

While various online platforms exist for addressing individual threats, TMS software sits at the nexus of where they all intersect. That helps explain why TMS users are suddenly asking developers for features to help them cope with this wide range of new concerns.

To meet those demands, some companies license a commercial TMS product, while others design their own system in house. With either approach, it's critical that the software be able to keep up with the dizzying pace of change in the market, Velkov says. He says BlueGrace struck a balance between the two approaches by building its own TMS—called "BlueShip"—but turning to outside sources for the data it uses for its security analysis. "The data that tells you whether a carrier is who it claims to be, in real time, across the country, is an industry-scale problem" that requires far more information than a single company can collect, Velkov explains. "So we feed the best available version of that into our own systems rather than reinventing it."

Another TMS developer, Solana Beach, California-based Alvys, took a similar approach when it expanded its platform's capabilities to include automated carrier vetting, continuous monitoring, and more.

"The shift isn't about the TMS adding more features; it's about the TMS changing shape. Alvys' answer is to make the TMS the orchestration layer rather than the do-everything application," says Alvys CEO Nick Darman. He characterizes this approach as "TMS-as-hub plus best-of-breed intelligence, connected by automation rather than by people switching between a bunch of tabs."

The firm recently launched a product called "Alvys Foundry," an agentic artificial intelligence (AI) platform that lets freight teams deploy pre-built or custom AI agents inside the TMS they already run. The platform includes more than 20 pre-built agent templates covering common workflows but also allows customers to use agents they build themselves (such as agents that collect status updates from truck drivers, handle invoice and settlement prep, and track exceptions) or custom agents built by Alvys.

In another move aimed at helping the market respond to the growing list of challenges, Alvys recently announced that its TMS will now be accessible to fleets of all sizes, which it says democratizes freight technology for owner-operators and smaller freight carriers alongside the larger trucking companies it has traditionally supported.

REMEMBER THE LITTLE GUYS

Another TMS developer that's seeking to democratize the tech landscape is Brandon, Florida-based Ascend TMS. Tim Higham, founder, president, and CEO of the company, which focuses specifically on the small and medium-sized business (SMB) sector, says access to a TMS is becoming increasingly crucial for smaller carriers and brokers today as they try to cope with the market's spiraling demands.

"If you want to be in the freight world, you have to have the capability to transact digitally, so that means vetting electronically and making payments electronically," Higham notes. "The top 200 brokers and the top 100 carriers have big budgets and IT teams, but everybody else doesn't. So we offer a free TMS option for SMBs, those people with just three, four, or five trucks or brokers."

In order to support those SMBs, Ascend is pursuing a strategy that's much like the "TMS-as-hub" model cited by Darman. For instance, instead of building and updating its own carrier-vetting module, it has integrated its TMS with carrier-vetting sites like Highway, Truckstop's RMIS, Search Carrier, and Descartes' MyCarrierPortal.

Those "no code" integrations are easy to use, which is critical for small players that don't have the IT expertise to handle complex integration projects. However, the challenge is that cargo thieves have access to these same services, which makes it easier for them to exploit any weaknesses that might exist.

"The bad actors are using all the same tools, including the APIs [application programming interfaces], and they're looking for cracks to sneak through," says Higham. "Everybody is pasting over the old cracks as fast as we can, whether it's fraud, double-brokering, or theft. The main vetting sites like Highway are not being overwhelmed, but the bad guys are doing nothing but [looking for] ways to [circumvent] the good guys."

In light of these challenges, it's no wonder TMS users and vendors across the industry are scrambling to stay nimble, notes BlueGrace's Velkov. "When the landscape shifts—whether it's a legal standard, a fraud pattern, a fuel spike, or a disrupted shipping lane—the platform has to let us stay carrier-agnostic and move freight to whichever mode and carrier makes sense in the moment, instead of the customer finding out secondhand that something changed," he says.

In a turbulent era for transportation, TMS users everywhere want one thing above all—predictability.

Despite strong U.S. container import volumes, warehouse vacancy rates near seaports rose 20 basis points to 7.7% through July, up from year-end 2025 and above the national rate of 6.8%, according to Cushman & Wakefield.

The reasons for the empty warehouse space include shifting distribution networks and an oversupply of new warehouse supply, the commercial real estate firm said in a report titled “From Port to Property: Resilient Import Volumes Amid Shifting Trade Patterns and Industrial Demand.”

The drop-off in rental rates came as imports at 10 major U.S. maritime ports increased 0.5% year over year through July, exceeding 14.5 million twenty-foot equivalent units (TEUs). And monthly imported container volumes exceeded 2 million TEUs in May, June and July.

But instead of renting inventory storage space at ports, companies have been storing their goods elsewhere. In fact, inland markets captured 83% of U.S. industrial net absorption in the first half of 2026, their highest share since 2010.

Inland markets have attracted occupiers because they offer lower labor, rent, and energy costs than port markets, the report said. In addition, growing imports from Mexico have supported demand for distribution facilities served directly by truck and rail, without goods first passing through a U.S. maritime port.

“Cargo volumes tell only part of the warehouse demand story,” said Jason Price, Head of Americas Logistics & Industrial Research at Cushman & Wakefield. “Goods continue to arrive, but where companies choose to store and distribute them is changing. Inland markets offer cost advantages, while imports arriving through Mexico can move directly into inland distribution networks. At the same time, port markets are still absorbing space delivered during the construction boom.”

Despite the overall improving leasing activity, risks remain, the report warned. Inflation, elevated interest rates, and rising energy prices could constrain consumer spending and occupier demand, while further changes in trade policy could alter cargo flows and distribution decisions.

Autonomous freight railcar builder Intramotev this week said it will provide its technology for a federally funded project to run robotic locomotives on Missouri’s Columbia Terminal Railroad (COLT).

Specifically, Saint Louis, Missouri-based Intramotev will serve as the technology partner on a $16.2 million federal grant. The Federal Railroad Administration (FRA) announced this week that it has selected the City of Columbia for a grant under its Consolidated Rail Infrastructure and Safety Improvements (CRISI) program.

Intramotev will deploy two TugVolt autonomous railcars on COLT’s 21.4-mile line between Centralia and Columbia, Missouri. Operations will advance in phases under an FRA-approved test program. They begin with remote switching at COLT’s Columbia terminal and build to autonomous freight service across the full mainline and its public crossings.

The project’s goal is to produce a safety record that FRA and the more than 600 U.S. short lines can use as a template for adopting autonomous railcars.

“Short lines keep America’s small cities and rural communities connected to the freight network. Autonomous railcars can help them serve more customers, more often, at lower cost, and this program will show what that looks like on a working mainline. We’re proud to partner with the City of Columbia and COLT, and grateful to FRA for its support of this important milestone for the rail industry,” said Tim Luchini, Intramotev’s CEO.

Accenture will collaborate with a German certification organization to accelerate the installation of physical AI platforms in automated factories and warehouses, the consulting firm said today.

By working with TUV SUD, which is a testing, inspection, and certification organization, Accenture said it can now help companies safely deploy physical AI equipment such as autonomous mobile robots (AMRs) alongside human workers faster. Specifically, the partners’ “Physical AI Safety Suite” will allow clients to navigate the intricate web of standards for adopting physical AI-enabled automation solutions.

Established industry standards are important because they provide the basis for ensuring that automated facilities are designed and operated safely. An example is ISO 3691-4, which specifies safety requirements for driverless industrial trucks and systems, including AMRs. But such a process can take several weeks for a medium-sized production plant to follow the standard process of iterative coordination, validation, and acceptance of safety concepts.

Now, the Physical AI Safety Suite partially digitizes the manual assessment of facilities, equipment, and preparation of certification packages, using digital twins and AI-powered simulations. TÜV SÜD estimates that the digital process could bring production online up to 30% sooner.

“Physical AI enables robotic systems to become increasingly adaptive while also paving the way for an independent, evidence-based digital certification process,” said Patrick Vollmer, CEO and Chairman of the Board at TÜV SÜD AG. “Through our Physical AI Safety Suite, which leverages simulation-generated evidence, we can support compliance-readiness much earlier in the engineering lifecycle without compromising the rigor safety standards require. Assessing automation concepts before the first robot is deployed reduces uncertainty in live operations and helps drive higher levels of safety, efficiency and performance across production and logistics.”

Accenture defines physical AI as a mix of technologies, including digital twins, simulations, sensors, robots and AI models, which enables robots and machines to sense, decide, act and improve constantly under changing conditions and operate more autonomously in real environments. The firm recently established a Center of Excellence that incubates, builds, scales, and deploys physical AI solutions for warehouses and production facilities.

Toyota Motor North America says it has installed two mobile hydrogen fueling devices at its largest parts distribution facility in the U.S., allowing heavy-duty trucks to be refueled in about eight minutes for a range of up to 450 miles.

With the tanks and fuel ready, Toyota's commercial logistics fleets plan to use the mobile fuelers to support Toyota operations by fueling heavy-duty fuel cell trucks hauling freight from the Port of Los Angeles to Ontario, and throughout the region. A permanent station is planned to be built at the location, which Toyota calls its North American Parts Center California (NAPCC).

The station will initially fuel heavy-duty trucks commissioned through Hyroad Energy and will later integrate heavy-duty trucks with Toyota's own certified fuel cell powertrain. Production Toyota-powered trucks are expected to hit the open road for commercial operations in 2027.

In a public-private partnership, Toyota is collaborating with the U.S. Department of Energy's National Laboratory of the Rockies (NLR) in Golden, Colorado, to research several initiatives, including 70 MPa high-flow hydrogen fueling for heavy-duty trucks.

High-flow fueling allows trucks to accept hydrogen fuel at speeds up to 300g/s, or about five times faster than the rate of conventional light-duty fueling technology. It allows heavy-duty trucks to carry energy into the vehicle at an equivalent speed of a 20 MW fast charger. Refueling times are comparable to modern diesel-powered, heavy-duty trucks. Unlike a diesel powertrain, however, fuel cells emit only water.

The company supports the research through its Toyota Hydrogen Headquarters (H2HQ) division, which is the lead office in North America for the development, engineering, commercialization, and business operations of Toyota's hydrogen fuel cell technologies. Based in Gardena, California, H2HQ works collaboratively with Toyota's R&D offices in Michigan and Texas, as well as business units in Japan and internationally, to create zero-emissions fuel cell technologies that enable energy independence, innovation, and the movement of people, goods, energy, and information.

The artificial intelligence arms race has created a new target for cargo thieves, who have stolen more than $150 million in AI equipment this year, according to supply chain visibility provider Overhaul.

Overhaul’s AI Infrastructure Intel Report also found a 34% increase in the theft of data center equipment, chips, and computing components since 2024.

The methods thieves use to steal equipment are also changing from force to fraud, shaping what shippers need to watch for to stay vigilant. Overhaul’s report shows that deception was used to steal 92% of high-value technology shipments. Thieves used methods such as fraudulent carrier identities, double-brokering, spoofed communications, and falsified paperwork to slip inside legitimate freight transactions and steal loads.

According to Overhaul, a single flagship AI server rack costs roughly $3 million, so one truckload routinely carries eight figures of value, and all of it moves on ordinary roads before it is installed. Overhaul found that individual losses now regularly exceed $30 million, with such thefts occurring weekly.

“AI hardware is some of the most concentrated value moving through the supply chain right now, and it’s become the fastest-growing target for these criminal networks,” said Barry Conlon, CEO and Founder of Overhaul. “As thieves become increasingly deceptive, visibility into a shipment alone isn’t enough to stop it from being taken. Our findings give shippers the intelligence to know how crews take loads, where the equipment ends up, and what to put in place now so they can stop the next theft before it happens.”

E-commerce supply chains could be exposed to cyberattacks through a gap in digital defenses in their warehouse barcode scanners, cybersecurity consulting firm Kaspersky Security Services said today.

The company said it had discovered a new cyber-attack vector via “a barcode scanner model from a major manufacturer” as part of a security audit of a warehouse digital ecosystem. The attack pattern was observed across devices from multiple vendors, and could allow hackers to use such scanners as an entry point to gain a foothold on a computer within the greater warehouse network.

Kaspersky explained that a typical setup in warehousing and retail applications has handheld scanners communicating with a base station, which is in turn connected to a workstation or another business system. The main weak point is that there is no authentication between the base station and the scanners. That’s a problem because modern warehouses constitute complex ecosystems built upon multiple technologies and devices. So the scanners in question might serve as an entry point into the entire warehouse OT network.

In a hypothetical attack, a legitimate user may be carrying out their normal daily work using a wireless barcode scanner connected to a base station, while an attacker obtains the Bluetooth address of the base station, for example, through passive eavesdropping on Bluetooth traffic. The attacker then sends a malicious payload to the base station, simulating keyboard keystrokes. And the base station forwards these keystrokes to the connected PC, where they are interpreted as legitimate user input and may be used to execute unauthorized commands.

Kaspersky researchers believe that the same attack scenarios might be used for other warehouse devices like Portable Data Terminals (PDR) or thermal printers to gain access to infrastructure such as warehouse management systems (WMS).

“Modern retail and logistics are profoundly digital, from enterprise-wide management platforms down to every device in a worker’s hands. This pervasive connectivity means that any technology at any tier can become an entry point for a cyberattack capable of destabilising the entire ecosystem – as our research shows, even a single barcode scanner. The warehouse sector, and the broader retail industry, should treat cybersecurity as a top priority across every layer of their operations,” said Sergey Sidorov, Head of Industrial Security Services at Kaspersky.

To protect against such a scheme, Kaspersky experts recommend verifying every new device in warehouse environments before it connects to the network, disabling any unused Bluetooth interfaces, enforcing strong authentication mechanisms, segmenting warehouse networks so that only essential connections are permitted, promptly applying security updates to both devices and the WMS, restricting account permissions to the minimum required, and conducting regular full‑scale attack‑path exercises that include scenarios involving insiders with legitimate credentials.

Forklift accidents claimed 97 lives across the U.S. in 2024, according to an analysis of the most recent Occupational Safety and Health Administration (OSHA) data done by material handling equipment provider Intella Parts.

Most of the fatalities occurred through three types of incidents: struck-by incidents or collisions (23 fatalities); caught, crushed or pinned (22); and falling loads or materials (20). Forklift overturns and falls from elevation each accounted for 14 fatalities. Electrical contact or electrocution caused three deaths, while one involved another accident mechanism.

The findings reinforce that forklift safety extends beyond traffic management. Overturns, elevated work, unstable loads, crushing hazards, and electrical contact all contributed to fatal incidents during the year.

"These incidents show that forklift hazards extend far beyond the operator's seat," said Marcel VandenTop, President of Intella Parts. "Many of the fatalities involved pedestrians, maintenance personnel, workers handling materials and employees working around forklifts. Preventing these tragedies requires a comprehensive approach to workplace safety."

The analysis also found that 21 fatalities occurred during maintenance, repairs, inspections, loading preparation, or other service-related activities. Those incidents highlight the importance of properly securing equipment, controlling stored energy, blocking elevated components and preventing unexpected movement before maintenance work begins, Intella Parts said.

To prevent future incidents, Intella Parts recommends separating pedestrians from forklift traffic, establishing exclusion zones around moving equipment and elevated loads, verifying load stability, enforcing seat belt requirements, and inspecting travel routes for slopes, edges, and obstructions. Employers should also consider safety devices, including warning lights and audible alarms, as part of a comprehensive safety program. These devices should complement task-specific training, safe operating procedures, and efforts to investigate near misses before serious incidents occur.

"Operator training remains essential, but it's only one piece of the puzzle," VandenTop said. "Employers must also protect mechanics, contractors, pedestrians and anyone else who works around forklifts, even if they never operate the equipment themselves."

Retail sales in November and December will grow 4.2% over 2025 as consumers remain resilient despite higher gas prices, persistent inflation, higher interest rates, and elevated consumer debt, according to a forecast from the National Retail Federation (NRF).

Despite the overall increase, that economic turbulence could affect spending by consumers in lower income brackets much more than their wealthier neighbors, a pattern that economists call a “K-shaped” distribution.

But thanks to increased spending by high earners, that spending would still be a greater increase than last year, when holiday sales rose 3.1% over 2024, totaling $972 billion.

“We head into the holiday season with strong spending momentum, as consumers remain the bright spot in the economy,” NRF Chief Economist and Executive Director of Research Mark Mathews said. “At the same time, inflation, rising gas prices and pressure on household spending will affect consumers differently across income groups.”

As they prepare for that scenario, retailers are hiring seasonal workers to meet consumer demand. NRF expects retailers to hire between 325,000 and 375,000 seasonal workers, in line with last year’s estimated 356,000 seasonal jobs.

NRF's holiday forecast is based on economic modeling using various key economic indicators including consumer spending, disposable personal income, employment, wages, inflation, and previous monthly retail sales releases. NRF’s calculation excludes automobile dealers, gasoline stations and restaurants to focus on core retail. NRF defines the holiday season as Nov. 1 through Dec. 31.

Failures to meet On‑Time, In‑Full (OTIF) performance targets impose approximately $100 billion in annual economic impact on North American consumer packaged goods (CPG) and food & beverage manufacturers, according to analysis from Cleo, a supply chain orchestration solution provider.

Roughly 90% of that impact comes from indirect costs, including lost sales, reduced shelf presence, excess inventory, and manufacturing inefficiencies, Chicago-based Cleo said in a report titled “The $100 Billion Supply Chain Penalty: OTIF’s Total Economic Impact.”

The problem stems from a significant management blind spot, Cleo said—while companies track retailer deductions and delivery metrics, the broader consequences of OTIF failures often remain disconnected from executive decision-making.

For example, inaccurate demand forecasts, late purchase order transmission, and promotional spikes can strain production and logistics capacity. But addressing such failures requires coordination across planning, order management, manufacturing, and transportation. Companies can follow several approaches to prevent the problem, including tactical compliance management, logistics technology, supply chain intelligence, retailer collaboration, and supply chain orchestration.

“A missed delivery can cost a manufacturer its next order, its shelf space, and ultimately its standing with a retailer. The chargeback captures only a fraction of that damage,” said Mahesh Rajasekharan, President and CEO of Cleo. “The deeper problem is fragmented accountability: logistics tracks delivery performance, finance tracks deductions, and sales tracks lost business, while the connections between them go unaddressed. CEOs need to make OTIF a shared business priority, with clear ownership of its full financial impact.”

As diesel prices pass $6.40 per gallon, the climbing price pressure is forcing difficult decisions for fleet operators, making it prohibitively expensive for them to continue running older-model trucks to haul heavy freight, according to a study from data analytics and asset performance firm Fleet Advantage.

Upgrading from a 2022 model year sleeper to a 2028 model year model can save organizations $12,655 per vehicle in the first year, the firm said in its latest Truck Life Cycle Data Index (TLDI), which compares all-in operating costs of Class-8 trucks across recent model years.

Diesel prices have climbed steadily since Fleet Advantage last released its TLDI in April, when the national average stood at just $5.47 per gallon. As fuel prices rise, the cost gap between older, less-efficient equipment and newer, more fuel-efficient trucks continues to widen, placing additional financial pressure on organizations running aging assets.

At $6.40 per gallon, even incremental improvements in fuel efficiency translate into thousands of dollars in annual savings per truck, significantly accelerating return on investment (ROI) timelines, the Fort Lauderdale, Florida-based firm said.

That’s because fuel economy continues to represent a major portion of the savings available through truck replacement. The first-year fuel cost for a 2028 model year truck is $66,057, compared with $78,875 for a 2022 truck.

“Choosing when to order trucks and what type of truck are two of the most consequential decisions an organization will make this decade,” said Brian Antonellis, CTP, Senior Vice President of Fleet Operations for Fleet Advantage. “With diesel at $6.40 per gallon and an EPA timeline that makes every quarter of delay more expensive, organizations cannot afford to make this call on instinct or incomplete information. The difference between ordering in Q4 2026 and waiting until late 2027 is more than $410,000 for every 100 trucks.”

The number of companies offering forklifts that can lift, lower, pick, put away, and transport loads without a human operator on board has exploded. At material handling shows in the U.S., Europe, and Asia, dozens of companies from around the world are exhibiting driverless (a.k.a. robotic or automated) lift trucks. They’re just the tip of the iceberg, though: One industry executive estimates that hundreds of companies offer automated forklifts today—some large and well-established, but many of them tiny and untested.

Although automated lift trucks have been available in the U.S. for more than a decade, only a limited number of fleets have adopted them, and it’s unclear how many units have been leased or sold to date. It’s also unclear whether the market for driverless forklifts can support so many vendors. To get some sense of the near-term outlook for this equipment—primarily automated trucks with masts and forks—we looked at the current market, what is driving or constraining adoption, and how much demand is expected to grow.

​THE CURRENT LANDSCAPE

When it comes to suppliers of driverless forklifts, vendors fall into two main categories. The first includes original equipment manufacturers (OEMs) of manual lift trucks that have added automated forklifts to their lineups. In the U.S., that list includes such familiar names as Toyota, Raymond, Crown, Hyster, Yale, Linde, and Big Joe, among others.

The second category could be called “robotic from the start” and includes Seegrid, Rocrich AGV Solutions (a joint venture between Logisnext Americas Inc. and Jungheinrich that sells Rocla and Jungheinrich automated forklifts in North America), Oceaneering, Fox Robotics, VisionNav, and Vecna Robotics, to name just a few of the many players.

We spoke to companies in both categories for this article. Each one offers a different mix of products, including automated counterbalanced trucks, pallet stackers, reach trucks, very narrow aisle (VNA) equipment, and tow tractors, which are also known as tuggers. Some automated forklifts are versatile, while others are very specialized. Equipment offered by Fox Robotics, FlexNav, and Gideon, for example, is specifically designed for loading and unloading trailers and containers.

Which product types are most popular? Automated tow tractors or tuggers for horizontal transport are among the biggest sellers for companies such as Seegrid, Toyota, and Yale. Globally, automated pallet stackers are the most popular with Linde’s customers, because they are a “good fit” for the most common warehouse applications and are an affordable option for customers that are starting their journey into automation, says Yanis Harmance, senior product manager with Linde North America. Jim Gaskell, managing director, automated warehouse and emerging technologies for Crown Equipment, says the versatility of automated reach trucks makes them a good choice for many warehouse applications: They can be used for full-pallet putaway and retrieval and as transport vehicles to the docks, plus they can pick pallets and deposit them in pallet positions on other rack levels or on the floor. “You can automate an entire building using just one model of an automated reach truck,” he says.

Some OEMs handle both hardware and software entirely in-house, while others have partnered with specialists. Yale and Hyster, for example, recently brought forklift automation in-house and launched their own technology platform after years of partnering with another company. And in June, The Raymond Corp. announced that it will add Third Wave Automation’s AI (artificial intelligence)-enabled navigation and control technology to several of its automated models, beginning with its Swing-Reach truck. (Raymond’s parent company, Toyota, is an investor in Third Wave through its Toyota Ventures and Woven Capital funds.)

Many of the automated trucks offered in the U.S. are designed and built here or in Europe, an early leader in forklift automation. China, however, is home base for a swiftly growing cadre of robotic forklift vendors. Regardless of their origins, OEMs see substantial growth opportunities in North America. Croatia-based Gideon, for instance, signaled its confidence in the market late last year by opening a factory near Chicago to produce its Trey autonomous trailer loading/unloading forklift.

Such confidence appears to be well-placed. A recent report on the autonomous forklift market from U.S.-based Grand View Research pegs the global market in 2026 at $5.9 billion, while a report from Dubai-based Fact.MR similarly estimates it at $5.6 billion. In an attempt to translate those estimates into “facts on the ground,” we asked several vendors how many automated forklifts they had sold or leased in North America so far, how many customers are using them, and how well sales matched up with forecasts. A few declined to answer those questions, while others said they could only provide estimates.

David Griffin, chief sales officer of Seegrid, said his company has shipped and deployed more than 2,500 robots “across hundreds of facilities to 50-plus customers.” Rocrich’s director of sales, Brian Markison, said his company had deployed “a little over 500” units at about 70 to 75 locations, while Harmance said Linde has sold “more than 1,500” globally. Kyle Smart, sales manager, automation for Yale Lift Truck Technologies, said that “hundreds of units are deployed and operational in North America” for more than 50 different customers. That is “about what [Yale] expected,” given that industrywide, most companies that have invested in automated forklifts are large firms with enough capital available to take on sizable, complex projects, he explains.

Even for large customers, though, most automated forklift projects have been “small, more like pilots,” Griffin observes. One of Seegrid’s customers has deployed more than 100 automated vehicles, but that scale is still uncommon, he says; most companies “start with a handful of trucks, and then they may scale to dozens over a few years”—if they scale at all, that is. (Griffin contends that some other vendors’ projects often fail to move beyond the pilot stage.)

Generally speaking, Smart says, automated forklifts are appropriate for industries with “repeatable material flow processes that are well-designed and are able to accommodate automation, with design changes if needed.” Customers using Yale’s automated products are in consumer packaged goods, e-commerce, retail, large warehouses, and heavy manufacturing. The majority of Seegrid’s installations are in manufacturing, including the automotive industry, which Griffin says is “by far the leader in the use of automated fork trucks today.” Linde’s most frequent customers are in general warehousing, third-party logistics (3PL), and automotive, and more of those installations have been implemented in existing facilities than in new, “greenfield” environments, Harmance says. Many of Rocrich’s customers are in food and beverage, retail, wholesale, pharmaceutical, 3PL, and manufacturing, including paper and cardboard manufacturing, according to Markison.

​DEMAND DRIVERS AND CONSTRAINTS

As for what’s driving demand for automated lift trucks, OEMs say it largely comes down to the trucks’ labor- and safety-related advantages. Labor expenses are a prime motivator for many of their customers, particularly in manufacturing, where labor costs are high. “The more expensive the labor, the more you can justify automation,” Griffin says. Warehouse labor generally is less expensive than its manufacturing counterpart, but because labor can represent 50% to 65% of warehouse operating costs, more high-throughput warehouses and distribution centers are considering driverless forklifts, Markison says. The lower labor cost means that warehouse operators require a lower price point than manufacturers do; with that in mind, Seegrid plans to release a new model in early 2027 that is targeted at warehouse applications and will be about half the price of the company’s manufacturing-focused equipment.

Labor availability is an equally influential factor. At many facilities, turnover rates are high, up to 25% of the staff may fail to show up for work on any given day, and open positions for forklift operators are hard to fill, leading some to hire inexperienced operators or loosen their hiring standards. Those situations can lead to work backlogs, late shipments to customers, costly overtime, or increased accidents and damage. Automated forklifts have none of those problems, and their consistency, predictability, accuracy, and reliability make them an effective solution for many companies that are struggling with staffing.

Improving safety is a third major reason businesses are interested in driverless forklifts. OEMs say that these forklifts’ traffic control software, sensors, scanners, obstacle-detection systems, and automated braking capabilities reduce or eliminate collisions, worker fatigue, accidents and injuries, damage to product and racking, and failure to comply with safety rules. “The data is crystal clear: The work environment becomes safer on Day 1 with automation,” Griffin asserts. “Safety incidents immediately go down to zero.”

Despite these and other factors that favor the adoption of autonomous forklift systems, several concerns may give potential adopters pause. For instance, managers may be worried about the potential complexity of integrating automation software with legacy information systems, or about technology acceptance and capabilities among their workforce. But in Griffin’s view, the most important factor holding back implementation “is not the technology, which has matured and been proven.” Most of the constraints, he believes, lie in a facility’s operations. Successful automation requires consistent, disciplined processes and an overarching automated system that orchestrates activities—something that is lacking in many operations, he says. “If you want to automate, there has to be an orchestrating system” as well as internal processes that enable and support automation.

Even when operating conditions are amenable to automation, cost may be a big issue for many organizations. Grand View Research estimates upfront costs of $100,000 to $200,000 per unit, depending on the complexity of the technology and the required equipment features. That cost typically includes hardware, software, and systems integration, such as integration with legacy warehouse management systems. Other expenses may include things like infrastructure modifications, facility mapping, employee training, and system maintenance.

While nobody disputes that an automated forklift system is expensive, Grand View’s figures are broad estimates that may not reflect every user’s experience. Rocrich’s Markison notes that the per-unit cost will decline as the number of automated trucks increases because the fixed costs for every project regardless of its size—such as design work, software development, and facility preparation and integration—will be spread across more units. And some OEMs are taking steps to make automation more affordable and accessible, especially for small and medium-sized businesses. Just one example is the Yale Relay automation platform, which uses a drag-and-drop visual interface so users do not need software coding expertise to set up automated lift trucks, map or change routes, or add or drop a truck. A rental model that rolls all costs into one monthly fee directly addresses financial concerns, allowing facilities to “prove out the business case without making a long-term commitment,” Smart explains.

Focusing entirely on upfront expenses, though, will not give a prospective buyer a complete understanding of the potential cost benefits of automation. Any return on investment (ROI) analysis, vendors say, should balance capital outlays against less-tangible benefits, such as lower labor costs (including the cost of hiring and training new forklift operators in high-turnover environments), fewer accidents and less damage, lower insurance costs, the avoidance of regulatory fines, and a reduction in late shipments (and, therefore, better customer service and retention).

​A LOOK AHEAD

Labor challenges and the need for safety improvements in warehouses, DCs, and factories are unlikely to diminish anytime soon. Those factors alone may be enough to incentivize more companies to invest in driverless forklifts, but analysts predict that technology like AI that makes navigation, material flows, and project implementations more efficient; integration of autonomous forklifts with “smart” warehousing solutions and internet of things (IoT) platforms; and lower-cost, scalable solutions that make automation accessible to small and mid-sized companies will also fuel growth in forklift automation. Their outlook for robotic forklift sales is upbeat: Grand View Research forecasts a market value of $14.5 billion by 2033, with a compound annual growth rate (CAGR) of 13.7%, for all types of automated lift trucks, while Fact.MR forecasts a market value for automated equipment with forks and lift mechanisms of $8.79 billion by 2036, with a CAGR of 4.6%. Interact Analysis, meanwhile, reports that two-thirds of respondents to its June 2026 survey of more than 270 forklift buyers said they plan to increase spending on forklift automation in the next 12 months.

The vendors we spoke with foresee steady growth in demand for both their own products and industrywide. Rocrich, for one, expects year-on-year sales growth approaching 50% this year, despite U.S. companies’ uncertainty about tariffs and geopolitical developments, according to Markison. He expects double-digit growth for the North America automated forklift market as a whole and says he “wouldn’t be surprised” to see 10% to 15% annual growth over the next few years. Linde’s Harmance is confident that demand for automated vehicles “will keep growing every year and … will not stop anytime soon.” He cautions, though, that any forecast will vary depending on the application, the specific type of automated vehicle, and whether sales figures include ancillary equipment or software.

While manufacturing applications have dominated sales of driverless lift trucks, that is shifting as demand from warehouse operators strengthens. Crown’s Gaskell is seeing a trend toward greater deployment of automated forklifts in high-bay warehousing, which creates opportunities for reach trucks, turret trucks, and other warehouse-specific models. Automated counterbalanced trucks will have less of a role in warehouse applications than they have had so far, he predicts.

A key question for buyers and providers alike is whether there will be enough sustained demand growth in the next decade to support both the established OEMs, whether “traditional” or “robotic from the start,” that have long-term production and implementation experience in the U.S. and the plethora of new market entrants that may not have much more than their technology to offer at this point. The answer appears to be no. “Hundreds of companies are designing, experimenting with, piloting, and (in some cases) selling automated forklifts, and the market isn’t big enough for all of them,” Seegrid’s Griffin says. He estimates that more than 80% of automation-only startups won’t survive as standalone companies.

One reason their prospects could be shaky, Gaskell says, is that startups dedicated to automation face the dual challenge of scaling their businesses and delivering reliable solutions. “Getting an automated system to perform consistently and cost-effectively with minimal intervention is difficult enough, particularly when customers expect a certain rate of return,” he observes. “If a customer has an expectation to be able to operate a 1.5 million-square-foot warehouse with a fleet of 50 automated forklifts and five ‘forklift tenders’ to monitor the vehicles and to resolve issues that may occur, only the most capable automation systems provided by the most capable companies will be able to meet that expectation.”

Another factor that may work against the long-term success of new market entrants, particularly “automation-only” startups, is that they may not have the capability to fully install, integrate, and operationalize their solutions, or to maintain the equipment and systems they provide. Buyers want a supplier that will be stable and reliable over the long term, and also has a national and local service network that provides expert technical and maintenance support, Yale’s Smart says. These are all things customers should be thinking about as they select a vendor.

But companies that are solely dedicated to automation do have an advantage that potential buyers should keep in mind, Markison says: a “project mindset” as opposed to the “product mindset” that often characterizes traditional forklift OEMs. Those OEMs can, of course, create specialized automation groups, he adds, but automation projects require software integration, facility configuration, and change management alongside the lift trucks—all primary responsibilities for teams at a pure automation provider.

A specialist in artificial intelligence, robotics, and intelligent logistics, Lit Fung is managing director and vice president of international business and the Americas at warehouse robotics and automation company Geek+. Among other accomplishments, he led Geek+’s first overseas deployments and has built its international organization and partner ecosystem in more than 40 countries, overseeing strategy, sales, delivery, and customer success across these international markets.

Q: HOW WOULD YOU DESCRIBE THE CURRENT MARKET FOR WAREHOUSE ROBOTICS?

A: The market has entered a new phase of maturity. When we first started, many companies we spoke with viewed warehouse robotics as an innovation project, which often led to proof-of-concept projects. Today, it’s increasingly considered a strategic business investment largely driven by persistent labor shortages, rising customer expectations, and SKU [stock-keeping unit] proliferation.

The need for greater supply chain resilience has fundamentally changed how companies think about warehouse operations. As a result, automation is no longer just about reducing labor costs; companies also want to create more agile, scalable, and predictable operations.

Q: YOU WERE INSTRUMENTAL IN ESTABLISHING GEEK+ AS AN INTERNATIONAL PLAYER. ARE THERE SOME LESSONS YOU LEARNED IN LAUNCHING OPERATIONS IN MULTIPLE COUNTRIES?

A: One of the biggest lessons is that while logistics challenges are remarkably similar around the world, every market is different with respect to how business gets done. Success requires much more than shipping technology into a new country. It requires local talent, trusted partners, responsive service, and a willingness to understand each customer’s operating environment.

Q: WHERE DOES SOFTWARE FIT INTO A SUCCESSFUL ROBOT INSTALLATION?

A: Robots execute physical tasks, but software orchestrates the entire operation. Without intelligent software, even the most advanced robots cannot operate at their full potential. The software determines task prioritization, traffic management, inventory movement, resource allocation, and integration with warehouse management systems and enterprise platforms.

Good software enables facilities to optimize throughput, respond to changing demand, and continuously improve performance through analytics and data-driven decision-making.

Q: WHAT ADVICE WOULD YOU GIVE SOMEONE WHO’S JUST BEGINNING TO EXPLORE AUTOMATION FOR THEIR DISTRIBUTION OPERATIONS?

A: Start with your business objectives rather than the technology. It’s easy to become fascinated by robotics demonstrations, but the most successful automation projects begin with identifying the operational challenges you’re trying to solve. Whether the goal is increasing throughput, improving storage density, addressing labor shortages, or supporting future growth, those priorities should drive the automation strategy. I would also encourage companies to think beyond today’s requirements. Choose solutions that can scale as your business grows rather than just solving an immediate problem.

Q: WHAT INNOVATIONS IN WAREHOUSE ROBOTICS DO YOU FORESEE IN THE NEXT FEW YEARS?

A: We’re entering an era where warehouse automation is becoming increasingly intelligent rather than simply becoming more automated. Artificial intelligence will play a much larger role in optimizing workflows, predicting demand, dynamically allocating resources, and continuously improving warehouse performance through real-time learning.

We’re also seeing greater integration across different forms of automation. AMRs, robotic arms, machine vision, AI, and warehouse software are becoming part of a unified ecosystem instead of operating as separate technologies. The future isn’t about individual robots—it’s about intelligent orchestration.

D-Wave Quantum Inc., a provider of quantum computing systems, software, and services, and the University of Arkansas are launching an initiative to explore the role quantum computing could play in supply chain management.

The initiative, which was announced at the Council of Supply Chain Management Professionals’ EDGE Conference on Monday, will be part of the Supply Chain Management Research Center (SMRC) at the Sam M. Walton College of Business.

Quantum computing is an emerging area of computing that researchers are exploring for certain complex optimization problems, including routing, scheduling, and resource allocation.

“Supply chains are highly dynamic, with decision-making that can have a far-reaching impact on efficiency and costs,” said Murray Thom, vice president of quantum technology evangelism at D-Wave. “We’re seeing quantum computing technologies emerge as potentially powerful alternatives to existing classical approaches.”

The collaboration between D-Wave and the SCMRC will explore foundational and applied research in quantum optimization for supply chain use cases, including transportation routing, logistics network design, inventory and resource allocation, scheduling, and decision-making under disruption. The organizations also may collaborate on curriculum development, case studies, practical frameworks and student-learning opportunities.

“The Walton College is dedicated to exploring the very latest methods, processes and technologies that advance supply chain management and resilience,” said Brian Fugate, Associate Dean for Research and Graduate Programs with Walton College. “Quantum computing is showing great potential to help organizations accelerate decision-making, mitigate disruption and drive better operational outcomes.” We’re excited to partner with D-Wave, one of the quantum computing industry’s foremost leaders, to bring quantum into our research portfolio and ultimately benefit students and partners alike.”

Logistics service providers, manufacturers, and retailers largely agree on the measures that cut emissions and promote sustainability in logistics, but they struggle to scale them, according to results of the first Global Sustainable Logistics Survey (GSLS), released this week by Kühne Logistics University (KLU) and the Kuehne Climate Center (KCC).

The survey polled 1,085 professionals from 64 countries about sustainable logistics, covering three topics: sustainability solutions, skills, and adaptation to climate risks.

“Across all three areas, the same pattern emerges: professionals broadly agree on what needs to happen, but progress depends on whether individual companies, or the wider systems they rely on, are actually able to act,” GSLS researchers wrote in the inaugural report, which they say is the first global, longitudinal study on sustainable logistics and sets a baseline for tracking the sector over the United Nations (UN) Decade of Sustainable Transport initiative.

Key survey findings include:

• Logistics providers and their customers rated 21 sustainability solutions—such as route optimization, fleet electrification, and the use of low-carbon fuels—almost identically. Feasibility, not disagreement, influences what gets adopted.
• Infrastructure could become the bottleneck of the coming decade if low-carbon vehicles and fuels scale faster than the charging networks, terminals, and rail they rely on.
• A majority—83%—of logistics professionals expect climate adaptation to force a fundamental redesign of logistics networks, but only 45% consider current efforts adequate.

The report also makes recommendations for policymakers and logistics professionals on scaling sustainability solutions, building skills, and adapting to climate risks.

For policymakers, those recommendations include developing a “context-specific enabling policy framework” for sustainable logistics: “Frameworks should focus on solutions that are rated effective but rarely adopted, such as low-carbon fuels, electrification, and intermodal transport,” according to the report.

For managers, recommendations include moving ahead with capital-intensive solutions while demanding changes in policy frameworks: “Companies that move early build know-how and meet customer expectations before regulation requires it. Investments can be staged while preserving flexibility,” according to the report.

The survey and full report are available online from the Kuehne Climate Center.

A range of forces will reshape supply chains in the year ahead, and many of them will come from outside the industry, according to a 2027 Freight Market Outlook Report from logistics service provider C.H. Robinson, released this week.

The report examines five key areas shaping supply chains in the year ahead, and points to their collective potential to increase operating costs and alter global sourcing and procurement strategies.

“Entering 2027, global shippers face a world where long-held assumptions about the movement of goods are increasingly tested. Global supply chains have been altered in ways few could have predicted, changing not only where goods are produced but also how they travel across borders, oceans, air and rail networks, and highways,” C.H. Robinson wrote in the October report. “Some of today’s largest shipping challenges are influenced by forces beyond the freight market itself: conflict in key corridors, changing trade relationships, and climate-related disruptions.”

According to the report, the five areas affecting global supply chains in 2027 are:

• Transportation regulations: Increased enforcement could reduce available capacity, and compliance requirements could remove carriers from the market and make it harder for new carriers to enter.
• Legal and liability changes: Greater scrutiny of carrier selection, alongside rising insurance, compliance, and liability, could make it difficult for smaller transportation providers to compete.
• Capacity growth: Global transportation capacity may expand, but now-routine changes in how carriers are managing their networks could still leave shippers with fewer service options on certain routes.
• Extreme weather: A strong El Niño and low-water conditions could disrupt ports, shipping corridors, and inland transportation networks, with ripple effects beyond the affected regions.
• Geopolitical tensions: Trade policy, conflicts, and shifting investment could redirect freight flows and change transportation costs and capacity.

The report examines each trend across various modes of transportation and offers insight into how shippers can prepare to mitigate the challenges.

“For shippers, the key is to understand where supply and demand are moving out of balance, why, and what would justify a change in strategy,” according to the report. “Plan for these differences but continue to measure assumptions against the current market and adjust as conditions evolve.”

The report is available for download on C.H. Robinson’s website.

Walmart last week opened its fifth “next-generation fulfillment center,” a 900,000-square-foot facility in Stockton, California, that it said will expand the retailer’s ability to provide faster shipping and delivery to customers across California and the West Coast.

First announced by Walmart in 2023, the new facility now brings its employees together with advanced automation, technology, and machine learning to move products faster and more efficiently. That technology enables Walmart to materially improve storage capacity and increase the number of customer orders the facility can fulfill each day compared with a traditional fulfillment center.

More specifically, the facility features an automated, high-density storage and retrieval system that brings products directly to associates, reducing the traditional 12-step fulfillment process to just five steps. The technology reduces repetitive, manual tasks while allowing associates to focus on higher-value work and helping Walmart move orders through the building more efficiently.

Combined with the rest of Walmart’s fulfillment network, these next-generation fulfillment centers will enable the retailer to reach 95% of the U.S. population with next- or two-day shipping. Walmart Fulfillment Services, Walmart’s end-to-end third-party fulfillment service, will also leverage the space to fulfill third-party Marketplace items.

The opening of the California site follows earlier “next-generation fulfillment centers” such as a 1.5 million square-foot facility in Pennsylvania that opened in 2024 and a 2.2 million-square-foot facility in Indianapolis that opened in 2023. And more are on the way, such as a 1.5-million-square foot building planned for rural Georgia, according to plans unveiled earlier this year.

Higher tariffs and geopolitical conflicts have been slowing the flow of global trade, but a powerful new trend is now helping to outweigh those forces, as the global race to build infrastructure for artificial intelligence is giving world trade strong momentum, according to a study from DHL.

The report shows that global goods trade grew faster in the first half of 2026 than in any half-year in the past 15 years, apart from the exceptional Covid rebound. A major driver was strong demand for goods used to build AI infrastructure, such as semiconductors and data-transmission equipment. Trade in AI-enabling goods drove 42% of goods trade growth in 2025, and this share rose to 76% during the first quarter of 2026, according to WTO and OECD analysis.

This is one of the key findings of the latest edition of the “DHL Globalization Tracker”—previously known as the "DHL Global Connectedness Tracker"—which was released October 7 by DHL and New York University's Stern School of Business. Based on more than 30 million data points, the report analyzes international flows of trade, capital, information, and people.

“The biggest story in global trade right now is AI - not tariffs,” said John Pearson, CEO DHL Express. “Every AI query ultimately depends on logistics. Chips, networking equipment, and the many other goods behind this technology must be in the right place at the right time. DHL connects the businesses and markets behind these complex supply chains.”

To be sure, the Iran war and the closure of the Strait of Hormuz have disrupted important trade routes. But according to DHL, those effects remained concentrated on economies dependent on the Strait. For example, the value of trade fell 37% in Saudi Arabia and 7% in the United Arab Emirates in the first five months of 2026 compared with the same period in 2025.

Likewise, trade policy created a separate headwind. U.S. tariffs reached their highest levels in decades, but their global impact was limited for two reasons. First is that the U.S. accounted for only 13% of world imports in recent years, with roughly half of those imports exempt from the tariff increases as of August 2026. And second, most countries refrained from broad retaliation, and instead increased efforts to secure access to alternative markets through new trade agreements.

Another finding is that the weakening of U.S.-China ties has had a surprisingly small global impact. For example, trade between the U.S. and China accounted for 3.5% of world trade at its peak in 2015, before falling to only 1.6% during the first five months of 2026. The U.S.-China share of international business investment is even smaller - less than 1%. Meanwhile, close U.S. allies have largely maintained their relationships with China.

Weighing all those variables together, DHL is forecasting that global goods trade is projected to expand by an average of 3.4% per year through 2029. That would be substantially faster than the 2.7% rate recorded over the previous decade.

Freight rates are being driven to historic highs by the potent effects of a structurally higher-cost transportation environment, heated up by entrenched high fuel prices, capacity constraints, and peak-related fees, according to a report from AFS Logistics and TD Cowen.

The report projects an expensive Q4, with holiday shippers facing record-high ground and express parcel costs, the highest truckload rates since Q1 2022, and LTL rates eclipsing 80% above the January 2018 baseline for the first time ever.

Those are the results of the “TD Cowen/AFS Freight Index,” a snapshot with predictive pricing for truckload, less-than-truckload (LTL), and parcel transportation markets.

“We expect fuel to drive elevated transportation costs for the foreseeable future. Inventories are low and refineries are at capacity, so even if crude oil prices drop in the coming months, diesel and jet fuel supplies must still catch up before prices recede,” says Andy Dyer, CEO, AFS Logistics. “The other key force shaping freight markets is capacity. The holiday rush always places a seasonal premium on parcel capacity, while the continued ascent of truckload rates is the result of steady demand chasing a shrinking pool of trucks.”

For example, the parcel sector could see conditions for a “perfect storm for a pricey peak season,” the report said. Projections for Q4 solidify 2026 as the most expensive parcel shipping year on record, a testament to years of carrier pricing changes designed to maximize revenue in a broad range of market conditions. The fuel surcharge is a prime example, with carriers frequently reindexing surcharge tables since 2021 to not only capture additional revenue as fuel prices rise but keep fuel surcharges high even as actual fuel prices fall.

“While diesel and jet fuel are major costs for ground and express parcel, the fuel surcharge has become a revenue lever for carriers in addition to a pass-through mechanism for covering the cost of doing business,” says Mingshu Bates, Chief Analytics Officer and President of Parcel, AFS Logistics. “Even if crude oil normalizes and fuel prices recede, the effective fuel surcharge will not show a material decrease.”

“For shippers, peak season involves a year-long tight-rope act of balancing volume across carriers to maintain access to capacity when orders really need to move and to limit the impact of demand surcharges that incrementally penalize volume that exceeds baselines established earlier in the year,” says Bates. “The holiday peak also tends to accelerate the trend of alternative carriers continuing to gain share from the large incumbents, as shippers diversify to shield themselves from capacity risk and surcharge impact."

While frequent changes by parcel carriers have increasingly divorced fuel surcharge trends from actual fuel price movements, LTL is a different story. In LTL freight, the fuel surcharge closely mirrors diesel price trends, setting up a circumstance where sky-high fuel costs and carrier pricing power could send rates to the moon, the report said.

And in the truckload markets, rates are track to reach their highest levels in over four years, despite limited demand signals, according to the report.

The Massachusetts-based warehouse robotics vendor Symbotic has bought a German firm that provides a software-driven sortation system, saying the platform replaces traditional conveyor infrastructure with intelligent, omnidirectional movement.

Symbotic bought Cellumation GmbH, a Bremen, Germany-based automation company and creator of the “celluveyor,” a software-driven sortation technology.

Cellumation says its system is made up of hundreds of independently controlled, omnidirectional cells. Each cell can move an item in any direction, meaning the celluveyor does not simply move products; it decides where products should go while moving them. That technology is particularly relevant in industries and markets where facility footprints are constrained and efficient use of space is increasingly critical, and is currently being used in live deployments for postal, e-commerce, and logistics operators worldwide, the firm said.

According to Symbotic, the firm’s technology will enable Symbotic to simplify cell architecture and free up critical warehouse space for more storage and other high-value uses, with the potential to reduce capital equipment costs. After the deal closes, Cellumation will continue to operate under its own name from its headquarters in Germany, serving its global customer-base while accelerating Symbotic’s expansion across Europe.

The move marks the latest acquisition for Symbotic. “Building on our recent acquisitions of ARMS Innovations and Fox Robotics, this transaction brings another diversified, standalone product into Symbotic’s portfolio – one that will be sold both directly to customers and other integrators, and integrated into Symbotic’s solutions,” said Rick Cohen, Chairman and CEO of Symbotic.

Symbotic has deep ties with Walmart—which in 2022 said it would install Symbotic’s robotics and software automation platform in all 42 of the retail giant’s regional distribution centers over the coming years—and with Softbank, the Japanese investment firm which bought a stake in Symbotic in 2023 and announced plans to create a joint venture offering warehouse-as-a-service automation products using Symbotic’s technology.

Thanks to that financial backing, Symbotic has been able to make previous acquisitions such as buying ARMS Innovations, a British vendor of warehouse orchestration software, buying Walmart’s Advanced Systems and Robotics business for $200 million, and buying the robot safeguarding system maker Veo for $8.7 million.

U.S. container imports reached their highest September volume on record, reaching 24.8% above the pre-Covid mark of September, 2019, according to the Global Shipping Report from supply chain software vendor Descartes.

By the numbers, September imports to the U.S. totaled 2,546,261 twenty-foot equivalent units (TEUs) in September 2026, down 2.2% from August and up 10.3% from September 2025.

The increase came despite stormy conditions in worldwide container flows. Descartes cited an array of changes to trade conditions, including: Middle East maritime incidents and new carrier fuel charges added to routing and cost risk; Section 232 tariff treatment for specified pharmaceuticals took effect for additional companies on September 29; the Panama Canal Authority announced a partial restoration of transit capacity; and some carriers are resuming selected Suez Canal services even as Red Sea security remains uncertain.

Much of the increase was driven by China-origin imports, the numbers showed. U.S. containerized imports from China reached 924,454 TEUs in September 2026, increasing 40,136 TEUs (4.5%) from August and 161,682 TEUs (21.2%) from September 2025 (see Figure 4). China represented 36.3% of total U.S. container imports, up from 34.0% in August.

China’s September import mix was led by plastics (HS-39), at 135,097 TEUs (14.6% of China-origin volume), followed by furniture and bedding (HS-94), at 123,574 TEUs (13.4%), and toys and sporting goods (HS-95), at 92,842 TEUs (about 10%). Machinery (HS-84) and electrical machinery (HS-85) accounted for a combined 17.6%, while apparel, made-up textiles, and footwear (HS-61 through HS-64) represented 11.1%.

The Descartes report also described the factors it is tracking as it seeks to manage supply chain risk in the months ahead:

• Middle East conflict and maritime security risk. Reports of continuing incidents in and around the Strait of Hormuz, while carrier surcharges show how fuel and insurance risks can affect freight costs and route choices.
• Expanded tariffs and other potential trade restrictions. In September, additional pharmaceutical-related Section 232 duties began for specified importers. Section 301 and other Section 232 measures remain relevant by origin and product.
• Port transit delays. If they decrease, it can indicate improved global supply chain efficiency or weaker demand for goods and logistics services. Delays increased at eight of the top 10 gateways in September, with the largest rise at New York/New Jersey. Monitor whether increases persist in October.
• Panama Canal availability. The Panama Port Authority plans to raise total reserved daily slots to 33 beginning October 15. Monitor whether the increase takes effect as announced, along with draft limits, reservations, and waits for unreserved ships.
• Red Sea routing. Some services have resumed Suez transits, but further disruption could restore Cape of Good Hope diversions and affect vessel capacity, transit times, and schedules.
• The economy. The U.S. remains an import-driven economy, so economic health is a key indicator of container demand. The Federal Reserve raised the federal funds target range to 3.75%–4.00% on September 16. The Bureau of Economic Analysis’ third estimate placed second-quarter real GDP growth at a 2.2% annualized rate, following a revised 2.5% in the first quarter. Consumer demand, inflation, energy costs, and interest-rate conditions remain important indicators for future import volumes.

The first major storm of the 2026 Atlantic hurricane season strengthened to dangerous category 3 status over the Gulf of Mexico last night, but is forecasted to weaken quickly once it makes landfall on the Alabama coast sometime Friday night.

Hurricane Isaias—which is pronounced “issy-ay-ahs”—will likely come ashore late Friday night or early Saturday morning around Mobile Bay, Alabama, according to forecasts from Everstream. But the storm will likely weaken right before making landfall to a category 1 or strong tropical ranking, and then it will move fairly quickly overland, as opposed to stalling out and dumping dangerous loads of rain in concentrated locations, the firm said.

That means its rainfall totals will likely be in the range of 3 inches to 7 inches, which is on the lower range of hurricane-spectrum drenchings which can typically reach well into the double digits, Everstream said. Likewise, its windspeed, storm surge, and electrical power outage potential will be moderate. It total, Hurricane Isaias will not be as big an event as other recent hurricanes to strike the region, such as Helene and Milton, which both struck in 2024, Everstream’s chief science officer, Mark Russo, said in a video briefing.

Still, the storm could impact supply chains by causing flooding, slowdowns, or potential closures of interstate highways including I-10 between Slidell, Louisiana, and the middle of the Florida panhandle, and I-65 near Mobile, Alabama, he said. At the time of the briefing, Everstream said that no cargo airports were expected to close and the Port of New Orleans planned to continue operating.

However, the Port of Mobile sits right at the center of the storm's target area, and has largely shut down already. The U.S. Coast Guard by Friday morning had established “Port Condition ZULU,” indicating gale-force winds are expected within 12 hours. The port is now closed to vessel traffic, and cargo-handling operations are suspended, except for activities specifically authorized by the Coast Guard. Port leaders said that vessel and terminal operations at Alabama Port Authority public berths are suspended. Operations will remain suspended until conditions allow for assessments and clearance to safely resume.

So far, the storm is more notable because of its timing than its power, Everstream said. By the calendar, Isaias is the latest-forming hurricane of the Atlantic hurricane season in recorded history, a delay which is caused by the “Super El Nino” weather pattern now simmering in the Pacific Ocean. In fact, there has never been a hurricane in the Gulf of Mexico during the previous three Super El Ninos, which occurred in 1982, 1997, and 2015.

Despite those measures, Isaias is still a force to be reckoned with, according to the American Logistics Aid Network (ALAN), which is urging Gulf Coast businesses to heed local advisories and warnings – and is asking logistics professionals everywhere to be ready to help. Earlier this week, ALAN entered the preparedness stage of its storm activation, including working with its non-profit partners on their prepositioning activities. ALAN has also begun providing information about hurricane supply chain impacts via its Rapid Assessment website page.

“Isaias is expected to make landfall as a Category 2 hurricane sometime Friday – with massive rainfall, a potentially life-threatening storm surge, and winds as high as 110 miles per hour. As a result, we are officially mobilizing to help,” said Kathy Fulton, ALAN’s Executive Director.

Logistics activity grew September, driven by tight warehousing and transportation capacity and marked by high costs that continue to pressure supply chains.

That’s according to the latest Logistics Managers’ Index (LMI) report, released this week. The LMI score for September was 70.2, up 3.6 points from August to reach its highest level in four years.

An LMI reading above 50 signals expansion across the industry, and a reading below 50 signals contraction. A reading above 70 indicates a “significant rate of expansion,” according to the LMI researchers; expansion equates to strong demand for logistics services nationwide.

Inventory levels grew at a faster rate in September compared to July and August, which drove up costs and contributed to tightening warehouse capacity. The LMI’s warehousing capacity index saw its fastest rate of contraction in four years, sinking to 39.3. Most of that inventory is sitting upstream, with wholesalers, and waiting to make its way to retailers for holiday peak season, a process that typically occurs in mid-October. Inventory costs rose to a reading of 79.9, the third-highest reading in two years.

Transportation capacity remained tight as well. The transportation capacity index dropped to 34.4, continuing a 10-month trend of contracting activity. Transportation prices continued to move toward historic highs, with the index rising nearly three points to a reading of 92.7.

The researchers pointed to the high “disruption-driven costs” as a key pressure affecting supply chains heading into peak season. They noted that Aggregate Logistics Costs—a combination of Inventory Costs, Warehousing Prices, and Transportation Costs—reached their highest level in September since April of 2022 “when supply-driven inflation was rampant in the wake of both the cessation of Covid-era demand and the invasion of Ukraine.”

Logistics managers expect costs to remain high over the next 12 months, according to the report. September’s Future Conditions Index scores for inventory costs, warehousing prices, and transportation prices were 81.3, 72.4, and 86.1, respectively.

The LMI is based on a monthly survey of logistics managers from across the country. It tracks industry growth overall and across eight areas: inventory levels and costs; warehousing capacity, utilization, and prices; and transportation capacity, utilization, and prices. The report is released monthly by researchers from Arizona State University, Colorado State University, Rochester Institute of Technology, Rutgers University, and the University of Nevada, Reno, in conjunction with the Council of Supply Chain Management Professionals (CSCMP).