Freight Friday! 👋 After two years of falling rates and shrinking revenues, the second half of 2025 is shaping up to be a test of patience and optimism. Q2 earnings offered a glimmer of stability, with carriers like Landstar, Old Dominion, and Knight-Swift showing modest gains. But executives aren’t ready to call it a rebound just yet.

💬 More In Freight News:

⬛️ Trucking Loan Stress Falls From Peak Level
⬛️ Broker Transparency Pushed To 2026
⬛️ TQL Offers $2k To Leave
⬛️ Cross-Border Busts Top $90M

Trucking Loan Stress Falls From Peak Level 📉

The ongoing freight recession has strained many carriers, driving up loan impairments and making financing tougher to secure. BMO, one of the industry’s largest lenders, said transportation loan stress rose sharply through 2024, well before tariff risks came into play.

In Q3, the bank’s gross impaired loans increased 3% from Q2, though provisions for credit losses fell to CA$773M, down CA$55M year-over-year. Transportation-related provisions dropped 35% to CA$50M, with BMO executives suggesting impairments may have already peaked in the U.S. When asked if the bank might sell its transportation finance unit, leadership declined to comment.

What it means: Trucking firms may still face tighter lending conditions as banks grow cautious, even with impairments easing. Carriers with weaker balance sheets could struggle to secure financing, while brokers should expect lenders to be more selective.

Texas To Enforce English Proficiency For All CDL Drivers Now 🚓

Texas Governor Greg Abbott announced Thursday that the state will begin strictly enforcing federal English language proficiency (ELP) rules for all CDL holders, including those driving only within Texas.

While FMCSA guidance—updated after President Trump’s executive order—applies ELP requirements only to interstate drivers, Abbott directed the Texas Department of Public Safety’s Commercial Vehicle Enforcement to apply the rule across the board.

DPS reported it has already taken enforcement action against 445 drivers for ELP violations. Roughly 28 held Texas licenses, 336 were licensed in Mexico, and the rest were from other states or countries.

What Else Is Moving 🚚

Don't Call It A Rebound: Back Half 2025 Outlook 📊

After two years of falling freight rates and shrinking revenues, trucking companies are entering the second half of 2025 with mixed expectations. Second-quarter earnings showed slight improvement for some carriers, but executives remain cautious about whether the market is truly turning.

Signs of Momentum
Analysts note that Q2 results for several carriers showed modest sequential gains. Landstar, Old Dominion, and Knight-Swift each reported improvements in metrics such as revenue per load and operating income compared with the first quarter, even as year-over-year revenues remained weak.

Executives at Knight-Swift and Werner Enterprises both pointed to potential upside in the back half of the year. Knight-Swift CEO Adam Miller said upcoming project work could strengthen margins and set up a more favorable bid season in 2026. Werner CFO Chris Wikoff said Truckload Transportation Services and logistics have shown “very positive momentum,” adding Q3 is off to a strong start.

Lingering Uncertainty
Not all carriers shared that optimism. Old Dominion CFO Adam Satterfield cautioned against assuming a seasonal uptick, saying the company is waiting on mid-quarter results for clarity. Saia CEO Fritz Holzgrefe echoed that “wait-and-see” tone, pointing to cost optimization as a near-term focus while top-line growth remains uncertain.

Beyond freight demand, executives also flagged ongoing uncertainty around tariff policy and regulatory enforcement. Schneider CEO Mark Rourke said evolving trade rules will continue to weigh on confidence into Q4. Carriers also cited new enforcement of English language proficiency (ELP) requirements for drivers, plus a pause in certain work visas, as potential drags on capacity. Analysts estimate the impact of ELP enforcement could sideline 2%–3% of drivers.

Bottom Line
Carriers see signs of stabilization, but few are calling a clear rebound. While some large truckload operators are finding momentum, LTL leaders remain cautious. For now, the outlook for late 2025 depends on whether demand firms up and how external pressures—tariffs, visa pauses, and ELP enforcement—shake out.

FREIGHT SNIPPETS ✂️

🚨 Broker Transparency Pushed To 2026 | The Trump administration has delayed several trucking-related rulemakings into 2026, including a second broker transparency proposal aimed at addressing alleged price gouging. The rule, first introduced in 2024 at the request of OOIDA and SBTC, will now see a new notice of proposed rulemaking in May 2026. Also delayed: a side underride guard rule (now slated for Jan. 2026) and a supplemental proposal on automatic emergency brakes for heavy trucks expected in December. FMCSA’s speed limiter rule has been cancelled. Other items—including updates on ELDs, safety fitness, CDL flexibility, and automated truck operations—have all been pushed back as well. Read more.

🏦 TQL Offers $2k To Leave | Total Quality Logistics (TQL) is making headlines after a companywide email—later posted on Reddit—revealed employees were told they could either commit fully to the company or take a $2,000 payout to resign. The move echoes past offers: in 2015, more than 50 workers accepted a one-day $2,000 deal, and a similar program resurfaced in 2019. Read more.

🐔 Tyson Supply Chain Change | Chief Supply Chain Officer Brady Stewart has left Tyson Foods after violating the company’s code of conduct, marking the second senior exit in just over a year. Poultry chief Devin Cole was named COO as part of broader succession planning.  Read more.

🤝 Expanding Duty Collectors | U.S. Customs and Border Protection added 10 more providers to handle duties on international postal shipments. New names include Flexport, BoxC, and North American eCommerce Solutions, joining existing players like Zonos and SafePackage. Read more.

🎙️ New voice for What The Truck?!? | FreightWaves named Malcolm Harris as the new host of its flagship show. Harris, known locally as radio personality “Miggie,” brings a mix of logistics experience from Axle Logistics and Steam Logistics, plus a strong broadcasting background from Power94 and Fox Sports Knoxville. Read more.

Pallet of News 🚛

Cross-Border Busts Top $90M ❌

Authorities on both sides of the U.S.-Canada border seized more than $90 million in cocaine and methamphetamine hidden in commercial trucks in late August and early September, highlighting the ongoing use of freight corridors for narcotics smuggling.

At the Blue Water Bridge in Ontario, Canadian officers intercepted two cocaine shipments within 24 hours. On Aug. 13, they found 150 kg worth $18.8M in a trailer, arresting Gurjeet Singh, 28, of Brampton. The next day, officers seized 199 kg worth $24.9M from another truck, arresting Abdikadir Egal, 38, of Etobicoke. Both face trafficking and importation charges.

In Texas, CBP officers made two meth seizures. On Aug. 29, at the Colombia-Solidarity Bridge in Laredo, officers discovered 4,241 pounds of meth valued at nearly $38M in a load of aluminum burr. On Sept. 2, at the Pharr Bridge, officers found 1,480 pounds worth $13.2M hidden in a broccoli shipment.

MEME OF THE DAY 😂