New England Motor Freight, Inc. (NEMF) Announced a shutdown amid a Bankruptcy Filing two days ago. As the 19th largest carrier of LTL freight, the announcement came as a surprise to many in the industry.
No official closure date has been set. According to a recent article on Freightwaves,
“The Elizabeth, New Jersey-based carrier, which was founded in 1977 but whose roots date back 101 years, said it would use the bankruptcy proceedings to conduct an “orderly wind-down” of its business. After two years of losses, the company concluded that the combination of high labor costs and a “severe” driver shortage made it unsustainable to continue as a going concern.”
How NEMF’s Announcement Impacts the Industry?
If you’ve been keeping up with the Amware blog, you’ll recall a couple recent articles we posted which focused on industry trends to watch in 2019. Chief among the potential issues looming this year was a concern around overall LTL capacity.
Demand is outpacing supply at the moment, and NEMF’s shutdown announcement will certainly stress an already overburdened carrier space. LTL customers can expect to see rate increases and longer wait and delivery times from the carriers who are equipped to handle the influx of new LTL orders.
How Will the NEMF Bankruptcy Impact Your LTL Freight?
If you’re an existing Amware customer who has used, or regularly uses NEMF for LTL shipments, we’ll be reaching out to you individually with alternative carrier options.
Amware logistics specialists have already begun preparing for the looming LTL crunch by working with several carriers who are actively expanding their fleet to meet increased LTL demand.
How Amware Can Help
As a full service 3PL, Amware is well positioned to help ease the pain of customers who will undoubtedly be struggling to move their LTL shipments after the NEMF final shut down date is announced.
This is largely due to the fact that Amware boasts relationships with many carriers, not just one. Customers utilizing Amrate, Amware’s proprietary LTL management software, are able to input their shipment’s information and receive quotes from multiple carriers through a single interface. Amware is also able to provide their LTL clients with guaranteed and or exclusive use options.
Don’t wait until it’s too late. Now is the time to put Amrate to the test ahead of the impending increase in LTL shipping demand. Amware is happy to offer customers a 30-day free trial of Amrate. Click below to request your trial now.