Businesses spent $1.64 trillion on logistics and transportation in the United States in 2018. Changing government regulations on driver hours caused boosted wages and labor shortages in an industry facing a new crossroads. Logistics costs grew in 2018 14.8% to $493.7 billion and transportation grew to $1.04 trillion, a 10.4% increase.
E-commerse is “requiring big investments in supply chains that must be nimble and flexible in new ways” according to the 2019 State of Logistics Report from the Council of Supply Chain Management Professionals.
The report also projects, “e-commerce growth, lower fuel prices, and technology driven efficiency gains should bode well” for the industry, and “logistics is on the cusp of technological change that could transform nearly every sector… although some of these developments are years away.”