Reefer Tender Rejections Hold Strong as Intermodal Captures 33% Savings

5%, bucking the broader softening trend in van and flatbed markets. This persistence stems from both seasonal summer heat driving temperature-controlled capacity demand and a structural limitation: reefer trailers cannot easily convert to intermodal alternatives, making refrigerated freight inherently less fungible than dry cargo. Meanwhile, intermodal freight is experiencing a significant breakout driven by a 33% cost savings advantage over over-the-road trucking—the widest gap in at least three years—resulting in record outbound rail container volumes on a seasonally adjusted basis. The divergence between modes reveals a fundamental reshaping of freight economics.

Carriers and shippers are actively shifting dry van and flatbed freight to rail containers where the cost advantage justifies the operational complexity, while refrigerated loads remain locked to trucking due to operational constraints. Flatbed rejections have notably declined from spring highs, reflecting the natural demand cycle for construction materials that peaks in the first half of the year. This seasonal normalization in flatbed, combined with continued reefer tightness, creates distinct market dynamics that require mode-specific strategies. Looking ahead, supply chain professionals should monitor whether the intermodal cost advantage narrows as spot trucking rates ease into fall, which could compress savings and reduce mode conversion incentives.

-Mexico flows may signal tariff-related trade shifts, though current signals remain inconclusive. For shippers moving perishable goods, the structural inability to use intermodal means accepting sustained reefer rate pressure as the new operating reality for the foreseeable future.