Canada Freight Rates
Canada Freight Rates in October 2024
Truckload rates in Canada are being influenced by both domestic and cross-border dynamics as the market continues to shift. Below is the latest breakdown of spot and contract rates across key Canada-related freight lanes.
Spot Market Rates
- Intra-Canada Dry Van: Spot rates for dry van freight within Canada dropped slightly to $1.67 per mile in September 2024, down from $1.69 in August. Despite a temporary rise caused by a brief rail strike, spot rates softened as the month progressed. The year-over-year increase stands at 10%, accelerated from a 6.5% rise in August.
- US to Canada: US-to-Canada dry van spot rates held steady month-over-month at $1.54 per mile in September, marking a 7.1% year-over-year rise. Rates are forecasted to increase year-over-year in Q4 2024 due to easing comparisons, with continued acceleration expected.
- Canada to US: Southbound rates typically lag northbound rates, influenced by backhaul competition. However, these rates spiked briefly due to the rail strike but are now falling again in October.
Contract Market Rates
- Intra-Canada Dry Van: Contract rates in Canada remained firm at $2.02 per mile, influenced by strong domestic demand, especially for larger industrial projects and cross-border trade activity. Rates are expected to increase in 2025, following a slight decline in 2024.
- Cross-Border Rates: The strength of the US dollar has continued to help align Canadian rates more closely with US freight markets. This currency advantage, alongside improving rail service, is supporting a gradual rate recovery in Canada’s contract market, which is set to expand further into 2025 and 2026.
To see how Canadian rates change in the future, and for detailed analysis and forecasts or truckload, less-than-truckload, and intermodal, see ACT's freight & transportation forecast.
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