Market Overview

Today's Pickup: Infrastructure Among The Losers In Democratic Debate

Today's Pickup: Infrastructure Among The Losers In Democratic Debate

Good day,

Last night marked the first of two Democratic debates with 10 challengers for the Democratic nomination for president on the stage in Florida. While there was plenty of talk about taxes, the economy and immigration, left out of the conversation was infrastructure.

Senator Amy Klobuchar and former congressman John Delaney have both proposed infrastructure plans, but neither was asked about them in the debate. Klobuchar has proposed a $1 trillion plan with $650 billion coming from federal dollars and the rest from other sources, including a federal Financing Authority. Delaney's plan is even bolder, pegged at $2 trillion, paid for by raising the corporate tax rate to 27 percent, and increasing the federal gas tax, which hasn't been increased since 1991.

When President Donald Trump took office, one of his proposals was a massive $1 trillion infrastructure program. With Republican leadership in both the House and Senate, a long-awaited bill seemed likely. But time dragged on, the House changed hands in the midterm elections, and hopes for an infrastructure bill are fading.

In May, President Trump cancelled a meeting with Democrats on a potential $2 trillion infrastructure package and said he would only sign a bill if Democrats called off investigations of his Administration.

Now, heading into a presidential election year when few large bills are ever passed, it appears that infrastructure packages are quickly becoming a political football no one wants to touch.

Did you know?

According to data from Clarksons Platou Securities, the retrofitting of container vessels to meet IMO 2020 sulfur content regulations has led to more vessels being removed from service, and raised rates about $3,000 per day, or about 18.75 percent.


"You used [to] see a guy with a turban and you would get excited. Today, you go to some stops and can convince yourself you are in India."

-Palwinder Singh, a truck driver in California, on the growing number of Sikh drivers in America

In other news:

Chickens, cows, beans and pigs among items spilled on highways

A special section of The Takeout runs through the assortment of items that spilled out of overturned trucks across the country in the month of June. (The Takeout)

Riding along the Punjabi American highway

The Los Angeles Times sent a reporter along with a Sikh trucker in California to learn what life is like on the road. (Los Angeles Times)

Silicon Valley's growing influence on trucking

Silicon Valley is increasingly investing in and disrupting the trucking industry, but for how long? (Forbes)

Maersk eyes inland logistics growth

Maersk CEO Soren Skou said that he would like the company to generate 50 percent of its revenues from inland logistics, and that could mean acquisitions. (Wall Street Journal)

U.S., Argentina sign air cargo agreement

A new agreement between the U.S. and Argentina could boost air travel between the countries with more destinations for people and cargo. (Merc Press)

Final Thoughts

Convoy's announcement today that it is now offering pre-packaged loads for drivers is a positive step from a time standpoint for drivers. Users can now search for several loads at once, all with a single price for the package, giving drivers the opportunity to choose three or even four loads at once, all based on their preferences and available driving hours. Drivers can even choose specific times. This eliminates the need for a driver to accept a load for one rate that may be on the low side and then spend time locating a backhaul to cover the lower revenue. With one rate for the entire package, drivers can determine whether it is the right price and package for them. If not, they can move on.

Hammer down everyone!

Image Sourced From Pixabay

Posted-In: Democratic debate Freight FreightwavesGovernment News Politics Markets General


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