IA Insights: August 31, 2026

Macro: Trade, Tariffs & Demand

•  Corporate profits surged in the second quarter, with S&P 500 per-share earnings up 53% and sales nearly 16% higher year over year; tariff refunds, AI and federal spending, and resilient consumer demand lifted results, although the refund benefit is temporary and consumer strength remains uneven.
  
  
• The latest U.S. tariffs on Canadian imports apply a 50% rate to roughly $20 billion in goods but affect only 5.2% of Canadian exports to the U.S., while critical inputs such as crude oil, potash, nickel, cobalt and lithium remain exempt.
  
  
• Canada will answer on Sept. 8 with 15%, 25% or 50% duties on targeted U.S. goods and a $7.5 billion business support package; trade groups warn that agriculture, forest products, apparel, canned foods and consumer goods face higher costs and disrupted North American flows.
  
  
• The benchmark diesel price reached $5.652 per gallon, its highest level since military action against Iran began in March, after rising 19.8 cents in one week and 39.5 cents over two weeks; diesel's rise is widening the gap with comparatively stable gasoline prices and feeding transportation surcharges.

Land: Drayage & Trucking

• Spot drayage rates are climbing at U.S. ports, up 12% year over year on the East Coast and 17% on the Gulf Coast as frontloading, diesel costs, chassis constraints and fewer drivers tighten supply; Norfolk rose 23% and Savannah 19%, while greater carrier-safety scrutiny is narrowing some shippers' options.
  
  
• RXO expects truckload inflation to extend through peak season, with its spot-rate index up 32.4% year over year in Q2 and 43% so far in Q3; capacity exits and tighter enforcement are straining routing guides even without a broad demand rebound, setting up higher spot premiums and contract-rate resets in 2027.
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• English-language proficiency entered Roadcheck's top five driver violations, with 361 drivers placed out of service for failing to demonstrate proficiency, equal to 9.1% of driver-related out-of-service orders; no medical card led the 2026 list at 27%, followed by hours-of-service violations at 23.4%. 

Sea: Ocean, Ports & Global Freight

• The Asia-Americas container system is operating with little slack, with fleet idling at 0.5%, congestion tying up 4.3 million TEUs and global schedule reliability falling to 56.4%; typhoon delays, Panama Canal restrictions and strong imports expected through Golden Week are keeping rates elevated even as carriers plan 2.24 million TEUs of U.S.-bound September capacity, including a 2.5% West Coast increase.
  
  
• Trans-Atlantic carriers are pursuing September rate increases and peak surcharges of up to $2,000 per FEU despite softer demand, while blank sailings are set to reduce North Europe-North America capacity 9% and Maersk's European inland fuel fees will add as much as 12% to truck and barge costs and 6% to rail.
  
  
• MSC is partially restoring Suez Canal transits for select India-Europe services beginning with an Aug. 31 voyage, and schedule data indicates an India-U.S. East Coast sailing may follow on Sept. 4 with a 28-day Mundra-New York transit versus the 38 to 40 days associated with Cape routing.
  
  
• The IMO will resume negotiations on shipping's net-zero framework Sept. 1-4 and again in November, aiming to send a consensus package to the Nov. 30-Dec. 3 Marine Environment Protection Committee meeting; the baseline framework covers vessels of at least 5,000 gross tons and combines a global fuel standard with emissions pricing.
  
  
• Yusen Terminals secured a 30-year Port of Los Angeles lease through 2056 and committed another $200 million to zero-emission cargo-handling equipment at its 232-acre facility, which handles roughly 1.5 million TEUs annually.
  
  
• Containerships on order now equal nearly 39% of the operating fleet, with 13.1 million TEUs due against a 33.8 million-TEU fleet; 2026 fleet growth of about 4.2% is already outpacing projected trade growth of 3% to 4%, and deliveries could intensify supply pressure from 2027 through 2029.

Parcel & Last Mile

• UPS holiday demand fees will begin Sept. 27, with peak additional-handling charges of $8.75 to $11.90 and large-package fees of $96.25 to $117.50.
  
  
• USPS has proposed a 6% average peak increase for Ground Advantage, Priority Mail, Priority Mail Express and Parcel Select from Oct. 4 through Jan. 17, pending regulatory review.
  
  
• New York City's proposed Delivery Protection Act would require qualifying last-mile facilities to directly employ core delivery and warehouse workers after a two-year grace period while adding licensing, safety and training standards; supporters target accountability, while opponents warn of higher shipping costs, slower service and facility relocations.