The Ontario, CA outbound tender rejection rate rose 114 basis points in the past week to 4.5%. For comparison, the national tender rejection rate is 5.67%.
That week-over-week increase, combined with its status as the third-largest US freight market, produces a Weighted Rejection Index reading of 3.69, which ranks the market as number one in terms of its contribution to market tightening among the 135 freight market segments in SONAR.
Interestingly, the Ontario outbound tender rejection rate has been rising while tender volume has been falling, which is down 14% week over week and down 8% month over month. The dashboard above also shows that it is near the low end of its 52-week range.
The implication is that carriers have allocated capacity more heavily to other freight markets, a response to very loose conditions experienced in Ontario for most of this year. So, shippers should no longer expect carrier compliance to be automatic.
