LTL Freight Embargoes: What They Are and How a 3PL Can Help
Recently, less-than-truckload (LTL) carriers have faced everything from driver shortages to the infamous “capacity crunch,” which we cover in our 2022 State of the Freight Shipping Industry blog post. But what does the continued strain on LTL carriers mean for small and mid-sized businesses (SMBs) like yours?
In a word: embargoes. If your SMB uses freight services, you’ve probably experienced a recent uptick in LTL shipping rates and an overall reduction in carrier capacity. This is the result of domestic freight restrictions imposed by shipping companies that are struggling to keep up with the ongoing capacity crunch. So let’s get to the bottom of LTL freight embargoes and see how your business can overcome them for a smoother road ahead.
What are LTL freight embargoes?
Freight embargoes are when carriers stop accepting freight based on a certain geographic region or product type. In recent years it’s become increasingly common for LTL carriers to impose domestic freight embargoes due to overwhelming freight volumes. In effect, they serve as a short-term solution to capacity issues. As LTL carriers face unprecedented volumes, they implement embargoes to reduce the stress on their transportation networks.
How do LTL freight embargoes impact you?
If your go-to carrier imposes an embargo on your region or a product you ship, you’ll be forced to seek an alternative solution. In some cases, SMBs must use freight carriers that are more expensive than their previous partners. Even so, freight embargoes imposed on your region will cause more strain on the remaining carrier options — which effectively causes a chain reaction of delays.
The solution? Don’t face embargoes alone. With the help of a third-party logistics (3PL) company, you can navigate a capacity crunch and come out on top.
What can a 3PL do to help?
While 3PLs can’t stop freight embargoes from happening, they offer several solutions that will make LTL shipping much easier during times of capacity issues — which is just one of many reasons why SMBs love working with them. Here’s how a 3PL can help you overcome freight embargoes:
Provide expert consultation services
Expert 3PL consultants take the time to understand your circumstances and help you find a carrier that perfectly suits your shipping needs. When carrier restrictions strike, 3PLs can provide you with alternative carrier solutions.
Diversify your freight carrier network
In times of limited capacity, 3PLs can leverage their relationships with LTL carriers to ensure you have the best chance of getting your freight to your customers on time.
Save money with competitive LTL shipping rates
Normally, the lowest rates are reserved for bigger businesses. Luckily for SMBs, 3PLs like Unishippers leverage the combined shipping volume of their 121,000+ customers to provide the most competitive pricing.
Increase your shipping efficiency
Without the right shipping automation technology, your business will likely suffer from increased costs and inefficiencies. 3PLs like Unishippers have their own proprietary transportation management systems (TMS) to streamline your business shipping.
Multiple shipping modes
With a full-service 3PL, you gain access to a vast network of carriers across multiple shipping modes, including LTL, full truckload (FTL), parcel, international and more — all from just one company. No matter the state of the industry, a 3PL can provide dependable logistics solutions to keep your business running smoothly.
Partner up for a smooth road ahead
Unishippers has partnered with more than 75 of the top national, regional and local LTL carriers to bring you the best rates and reliability. So if you’re ready to bring dependability to your business, it’s time to request an LTL shipping quote from Unishippers.