The Ontario outbound tender rejection rate declined 360 basis points in the past seven days to a current rate of just 4.1%. It reached a high of 8.3% during the holiday season.
Of the 135 SONAR market segments, Ontario is the largest outbound market, and it is currently having the largest impact on the post-holiday normalization of the national tender rejection rate (now 9.3% from a high of 12.3%).
In addition to capacity returning to the Ontario market, lackluster outbound Ontario volumes are impacting the tender rejection rate. The market’s outbound volume in the past seven days has started the year slowly, down 6.8% year over year. That volume implies that shippers are not in a hurry to move additional inventory out of Inland Empire warehouses to locations closer to consumption.
