Freight Costs to Stay High, New Index Reveals

The newly released TD Cowen/AFS Freight Index indicates that shipping costs for truckload, less-than-truckload, and parcels are set to remain elevated throughout the third quarter of 2026. This trend is largely driven by soaring fuel prices, which are pushing freight rates upward. In the second quarter, truckload costs hit their peak in nearly four years, while LTL prices also reached unprecedented levels. Parcel shipping expenses are staying close to historical highs, despite intensifying competition from regional carriers and major players like Amazon. The report highlights rising diesel and jet fuel costs as the primary cause behind the increasing transportation expenses. Additionally, the ongoing constraints on truck capacity alongside strict pricing strategies from carriers are sustaining high rates, even as the demand for freight transportation fluctuates.