Until 2022, shippers could expect a pressured market
It’s said that supply-demand balance is clearly skewed in favor of demand. Due to both the strong expectation for demand and the weak outlook for capacity, this appears to be the case for the rest of the year.
Over the last two years, demand has been variable, with unanticipated causes such as hurricanes and wildfires combining with pandemic-fueled shopping habits and a general increase in consumer spending. Retail inventories are now low, while imports into the United States are near record highs ahead of peak season. All of these things add up to a positive demand picture for the foreseeable future.