The freight recession is on its way out and the trucking market will see net-positive growth by the fourth quarter and steadily move in a positive direction in the second half this year, the report said.

“This will, in turn, force many retailers to adjust their inventory management strategy, holding on to more inventory longer as later restocking becomes more expensive. We expect to see this change take hold by the holiday season,” the fleet management and driver safety platform noted.

Consumer prices are projected to go up by the second quarter (Q2) of 2025 due to higher supply chain costs.

Higher trucking rates will also impact consumers, as some retailers will likely need to start passing higher logistics costs to consumers by the end of Q1 or early Q2 next year. How companies have approached their inventory strategy up to this point will partially dictate this.

Those who over-committed to a low-inventory strategy, i.e., last-minute restocking while the spot market was cheap and there was excess capacity, will feel a greater shock and be forced to raise prices sooner. Retailers with more diversified and flexible inventory strategies will likely fare better, Motive predicted.

Apparel was among the top retail performers in June.

Fibre2Fashion News Desk (DS)