Florence has soaked the North Carolina coast in what the National Weather Service described as a “1000 year flood.” The level of rain dumped on the coastal cities has destroyed the local economy and infrastructure. Damage estimates from the storm have changed from $20B to as high as $50B according to Moody’s. There have been an estimated 8 trillion gallons of water dumped on the area, which Vox describes as enough water to fill 12 million olympic swimming pools.
All of this is impacting freight flow throughout the region and country. Carriers are rejecting loads into the market and outbound freight has all but dried up. To quanitify this, we looked at SONAR’s OTMS index in the Wlimington, NC area. The Wilmington, NC market generates about .16% of all trucking freight in the U.S. This equates to $1.25B on an annual basis. On a weekly basis, it is around $24M.
At the end of August, the Wilmington, NC market peaked at .18% of all truckload freight in the US, before dropping to .06% this past week. That is a loss of 67% off the peak number. Even taking the moving average in marketshare of .16%, volumes out of the Wilmington, NC market dropped by nearly 63%. This turns out to be a loss of nearly $15M from the trucking market out of Wilmington, NC. For truckers that operate in the area, it will have a sizeable impact. What isn’t factored in this number, of course, is the increase of activity into the market due to relief efforts and additional volumes of truckloads that are expected in future months as the area dries out and reconstruction consumates.
You can read the full article from Freight Waves here.