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6/17/2014 11:00:00 AM Write a Letter to the Editor Write a letter to the Editor

Logistics Costs Rose 2.3% in 2013

Brandon Green/Transport Topics

Total U.S. business logistics costs in 2013 rose to $1.39 trillion, a 2.3% increase from 2012, according to the 25th annual “State of Logistics Report” released June 17.

The report said logistics as a percent of gross domestic product declined for the second year in a row, indicating that the sector is not keeping pace with the growth in the overall economy.

The report has tracked and measured all costs associated with moving freight through the U.S. supply chain since 1988. It reveals that the transportation sector grew only 2%, with all modes experiencing modest gains in revenue. Despite the weak revenue picture, tonnage was up due to heavier average loads per shipment.

In business logistics system cost, the trucking sector led the way, with costs coming in at $657 billion, a 2% increase. Railroad costs came in at $74 billion; water at $37 billion; oil pipeline at $13 billion; air at $33 billion; and forwarder costs at $38 billion.

The report was presented by Penske Logistics and authored by transportation consultant Rosalyn Wilson of Parsons.

By Transport Topics

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