IA Insights: July 20, 2026

Macro: Trade, Technology & Supply Chain Strategy

• The U.S. will impose a 25% tariff on many Brazilian imports beginning July 22, with exemptions for products including certain foods, pharmaceuticals and goods already subject to Section 232 duties.
  
  
• Real-time visibility is increasingly becoming a baseline supply chain capability, but while 67% of companies began transformation initiatives during the past year, only 10% have achieved their top three strategic targets.
  
  
• Supplier diversification is creating “supplier sprawl” for some manufacturers, adding hidden costs and operational complexity as organizations manage more vendors, geographies and specialized components.
  
  
• Intelligent Audit was named a 2026 AI Excellence in Supply Chain Award winner, joining 14 other honorees recognized for moving AI from experimental pilots into measurable, production-scale supply chain applications.

What’s Happening in the Strait of Hormuz?

• Iran attacked the 7,000-TEU GFS Galaxy, forcing the crew to abandon the burning vessel, while U.S. forces disabled the unladen M/T Belma after it attempted to sail toward Iran’s Kharg Island in violation of the renewed blockade.
  
  
• Iran-linked energy tankers are reversing course, diverting or sailing in irregular patterns as the U.S. blockade and Iranian attacks sharply reduce observable traffic through the region.
  
  
• The U.S. abandoned its proposed 20% security fee on cargo transiting Hormuz, which industry estimates suggested could have added $65 million to $260 million per container ship voyage, and will instead seek reimbursement through trade and investment agreements with Gulf states.

Land: Trucking, LTL, Intermodal & Warehousing

• U.S. warehouse construction rose 18% year over year to more than 305 million square feet in the second quarter as demand strengthened among data-center suppliers, manufacturers, retailers and third-party logistics providers.
  
  
• ArcBest will consolidate MoLo Solutions, Panther Premium Logistics and ArcBest Technologies under the ArcBest brand, eliminate about 2% of positions and consolidate select service centers in a restructuring expected to save approximately $40 million annually.
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• The number of U.S. LTL terminals increased 19% from 2023 through 2025, but total dock-door capacity remains 4.8% below its 2022 peak as carriers continue rebuilding networks following Yellow’s collapse.
  
  
• J.B. Hunt handled a record 578,000 intermodal loads in the second quarter, up 10% year over year, as shippers saved an average of 31% compared with truckload even as rising volume began to pressure pickup and delivery performance.
  
  
• Broader North American rail data showed intermodal growth beginning to moderate, although year-to-date intermodal volume through week 27 remained 3.6% above last year.
  
  
• Average trucking operating costs rose 3.4% to $2.336 per mile in 2025, while costs excluding fuel increased 4.2%, outpacing consumer inflation by 1.5 percentage points.

Sea: Ocean, Ports & Global Freight

• Shippers are moving away from traditional seasonal ocean freight patterns, moving inventory when conditions are favorable as tariffs, fuel costs and geopolitical uncertainty contributed to a record June at the Port of Los Angeles.
  
  
• Typhoon Bavi more than doubled Shanghai’s vessel queue to 129 ships, while closures at Shanghai, Ningbo and Qingdao created berth waits of up to six days and disrupted vessel schedules across multiple trades.

Parcel & Air Cargo

• The USPS is moving more First-Class and Marketing Mail by air to satisfy its UPS contract, after Priority Mail volume fell 24.1% and left the agency struggling to meet minimum air-cargo commitments under the agreement.
  
  
• Amazon’s holiday fulfillment fees will apply from Oct. 15 through Jan. 14, 2027, averaging an additional $0.32 per unit before the company’s ongoing 3.5% fuel and logistics surcharge.
  
  
• Global postal revenue grew just 1.4% in 2025 despite parcel growth, as declining letter volumes, higher operating costs and intense parcel competition continued to pressure margins.
  
  
• The USPS raised the price of a Forever stamp from 78 cents to 82 cents as the agency confronts $31 billion in debt, $120 billion in cumulative net losses since 2007 and a potential liquidity crisis by 2031.
• DHL Global Forwarding added dedicated Boeing 777 capacity from Bangkok, Hanoi and Taipei to Chicago and Cincinnati, including a three-times-weekly Bangkok-to-Cincinnati service offering 100 tons of capacity per flight.
  
  
• Airlines including Cathay Pacific, Singapore Airlines, British Airways and Air Canada extended Persian Gulf flight suspensions into late October, prolonging Asia-Europe capacity constraints that have already pushed China-Europe rates up 33% since the war began.
  
  
• Xeneta now expects long-term air cargo contract rates to rise 5% to 15% in 2026, reversing its earlier forecast for a decline as Middle East disruption, fuel costs and stronger-than-expected demand tighten capacity.
  
  
• AI-related computer equipment is competing with e-commerce for limited freighter space out of Asia, with Taiwan-to-Europe tonnage rising 20% over three weeks even as Hong Kong-to-Europe e-commerce volumes declined.

Regulation, Compliance & Risk

• The EPA proposed revising portions of its 2027 heavy-duty engine emissions rule, potentially reducing new-truck costs by as much as $6,000 while retaining the requirement for an 80% reduction in nitrogen oxide emissions.
  
  
• FMCSA’s new Unified Agenda includes 48 regulatory initiatives, including CDL security, autonomous-vehicle safety, English-language enforcement, broker transparency and carrier safety-fitness standards, although the agenda signals priorities rather than binding timelines.
  
  
• The FBI linked transit and cargo-theft rings to a broader criminal and money-laundering network associated with more than $1 billion in losses over five years, including the movement of stolen electronics and consumer products through international channels.