US Logistics Sector Slows Again in December

The Logistics Manager’s Index in the US increased to 69.9 in April 2026 from 65.7 in March, pointing to the strongest growth in the logistic sector since March 2022. Transportation prices continue their sharp upward trajectory (95 vs 89.4), the second-fasted rate of expansion for this, or any, metric on record. At the same time, inventory costs (74.7 vs 76.2) and warehousing prices (72.7 vs 67.4) remained elevated. Meanwhile, transportation utilization increased (69.6 vs 62.9) but transportation capacity recorded the second lowest reading on record (28.4 vs 39.2). Freight markets were already on a strong upward trajectory coming into 2026, the closure of the Strait of Hormuz and subsequent increase in fuel costs have supercharged these movements. Inventory level expanded faster (56.3 vs 54.8), as firms consolidate shipments to avoid transportation surcharges. Warehousing capacity (45.5 vs 46) fell faster but warehousing utilization (64.4 vs 59.8) expanded more.

The Logistics Manager’s Index in the US increased to 65.7 in March 2026, the highest since May 2022, from 61.5 in February, driven by continued expansion in the freight market. Transportation Prices skyrocketed (+12.7 to 89.4, a new high level since March of 2022), at least partially attributable to the start of the Iran conflict that has limited available oil supplies. This stands in contrast with the continued contraction of Transportation Capacity (-1.8 to 39.2), at least partially due to the reduction of fleet capacity of the last few years. The 50.2-point gap between these two metrics is the highest positive inversion since November 2021. Meanwhile, Inventory Levels expanded slightly faster (+1.0 to 54.8) and Inventory Costs also moved higher (+8.4 to 76.2, the highest since August 2025). Also, Warehousing Capacity contracted (-4 to 46) and Warehousing Utilization expansion slowed (-0.6 to 59.8) while Warehousing Prices increased (+4.8 to 67.4).

The Logistics Manager’s Index in the US increased to 61.5 in February 2026, the highest in a year, from 59.6 in January. The reading also breaks an eleven-month streak of readings below the all-time overall average of 61.3. This slightly above average yet steady rate of growth is consistent across supply chains, with no significant differences between Upstream and Downstream (56.2 and 59.2), early and late (55.2 and 58.1) or large and small (58.1 and 54.7) respondents. Inventory levels expanded at roughly the same pace as the previous period (53.8 vs 53.9), while inventory costs moderated (67.8 vs 71.3). Warehousing capacity remained unchanged (50 vs 50), but warehousing utilization rose (60.3 vs 54.4), and warehousing prices slowed (62.6 vs 64.8). Meanwhile, transportation utilization increased at a faster rate (61.9 vs 58.1), but transportation capacity declined further (41 vs 47.1), contributing to higher transportation prices (76.7 vs 71.4).