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The Less-than-Truckload (LTL) market continues to evolve in 2026, bringing major changes for shippers. The market is turning, but the shift is happening on the capacity side rather than demand. Federal enforcement around illegal CDLs, non-compliant ELDs, and driver-visa restrictions is pulling capacity out of truckload and pushing more weight per shipment into LTL.
At the same time, rising operating costs, carrier exits, higher insurance premiums, and elevated diesel prices are putting continued pressure on transportation budgets. Staying ahead of these trends is critical to protecting your freight spend. Below is our roundup of the latest LTL market indicators, general rate increases, diesel trends, and carrier network updates you need to know.
LTL Pricing & LTL Shipping Rate Changes
Operating costs continue to climb, with non-fuel expenses reaching approximately $1.78 per mile. Commercial trucking insurance costs are also up approximately 75% to 125% YoY, driven in part by the growing impact of nuclear verdicts- commercial trucking crash-liability awards that exceed $10 million, with some exceeding $100 million.
The impact is showing up in LTL pricing. The LTL Producer Price Index (PPI) reached 526.12 in May 2026, representing a 21% increase from the same period last year.
Nuclear verdicts are adding another layer of cost pressure for carriers. A notable 2026 example was an $81 million verdict against Beacon Roofing Supply, now QXO, following a Utah retrial in March. The case was later resolved through a confidential settlement. According to ATRI, average nuclear awards continue to grow approximately 5.7% annually- two to three times the rate of inflation.
The combination of rising insurance costs, operating expenses, and constrained capacity is creating a market where carriers are increasingly focused on pricing to the opportunity rather than pursuing additional volume.
Less-than-Truckload (LTL) General Rate Increases
Looking Back at 2025 GRIs
While 2025 saw average General Rate Increases (GRIs) around 5.9%, 2026 is bringing additional rate pressure. ArcBest/ABF raised rates 5.9% in June 2026, and Saia implemented a 7.1% GRI in July.
Due to the FreightWise team negotiating across $1 billion in freight under management, the FreightWise average 2025 GRI was just 3.76%. Furthermore, no FreightWise negotiated contracts were subject to more than one GRI annually.
As carriers continue to operate in a discipline-over-volume market, the current consensus points to modest, low-single-digit rate growth for 2026, assuming economic conditions and tariffs remain relatively steady.
Diesel Fuel Price Trends & Surcharges
Diesel prices have become another major source of volatility for shippers. The national average reached $5.652 per gallon for the week of August 24, 2026- up 3.6% WoW and up 52.3% YoY.
California remains the highest-priced region at approximately $7.04 per gallon, while diesel prices across the West Coast, Midwest, and Gulf Coast are generally ranging from approximately $5.48 to $5.64 per gallon.
Prices had receded into the low-$5 range through April before making a sharp run-up during the summer.
Because LTL carriers typically tie their fuel surcharge programs to the weekly DOE/EIA diesel index, changes in diesel prices can be passed through to shippers quickly. Industry fuel surcharges peaked around 48.5% to 50% in 2026, while FreightWise has continued leveraging its carrier relationships to keep client surcharges near 25.4%.
Capacity, Carrier Exits, & Equipment Investments
Capacity is tightening across the transportation market. January 2026 saw record carrier departures, contributing to more than 20,000 carrier exits over the trailing year.
Federal enforcement around illegal CDLs, non-compliant ELDs, and driver-visa restrictions is further reducing available capacity. As truckload capacity contracts, more weight is moving into LTL. ArcBest reported a 5% increase in weight per shipment from April to May 2026, illustrating the shift.
At the same time, carriers are investing heavily in their networks and equipment.
- Saia opened terminals in York, PA; Marysville, WA; Edinburgh, IN; Duluth, MN; and Columbia, MO between April and June, with plans for 12 additional last-mile sites by the end of 2026.
- Old Dominion increased its 2026 capital expenditure budget to $380 million, including $180 million for real estate and service centers, $155 million for new tractors and trailers, and $45 million for technology.
- Knight-Swift/AAA Cooper opened four new LTL terminals in May in Phoenix, AZ; Olympia, WA; Detroit, MI; and Toledo, OH, bringing its network to approximately 180 terminals and roughly 70% U.S. coverage.
- Estes Express acquired six additional terminals in January- Charleston, WV; Greenville, SC; Kansas City, KS; Lexington, KY; Scranton, PA; and Sioux Falls, SD- adding 556 doors as the company works toward more than 14,000 total doors by the end of 2026. Estes Logistics also acquired Key Trucking in February, adding approximately 25 power units, 100 trailers, and a gateway into Alaska freight.
- Averitt Express is expanding facilities in Jackson, MS; Columbia, SC; Oklahoma City; and Tulsa, OK, while its newly constructed Ocala, FL facility opened in February as part of a network investment program running through 2027.
- Prime Inc. also announced plans for a $160 million regional hub in Spalding County, GA, bringing 120 jobs and additional driver-training and maintenance capabilities to support Southeast growth.
Not every carrier is expanding. ArcBest/ABF is closing 10 smaller-market service centers in 2026, representing approximately 1% of its network doors and roughly $40 million in projected annualized savings. The company characterizes the move as consolidation rather than contraction, with operations shifting to other regional facilities.
Equipment Orders Surge Ahead of EPA 2027
Carriers are also accelerating truck purchases ahead of the EPA’s 2027 emissions regulations. Stronger freight rates, better equipment utilization, and tighter capacity have given fleets the confidence to invest in new equipment. Truck orders are up 36% year over year, with February reaching 47,100 units and year-to-date orders increasing 125% as carriers work to secure limited 2026 production slots.
LTL Carrier News Today
RL Carriers Changes LTL Shipment Definition
Effective Date: September 7, 2026
RL Carriers is changing the criteria used to define an LTL shipment. Effective September 7, 2026, LTL freight will be defined as shipments weighing less than 16,000 pounds and occupying no more than 16 linear feet.
The new guidelines replace the carrier’s current standard of less than 20,000 pounds and no more than 20 linear feet. This represents a reduction in both the maximum weight and linear footage allowed under the LTL classification.
For shippers, the change could impact how larger shipments are classified and may require additional consideration when selecting between LTL, volume, and truckload transportation options.
Amazon Enters LTL
Effective Date: June 10, 2026
The competitive landscape is expanding as Amazon formally enters the LTL market. Amazon’s LTL operation has fewer than 100 cross-docks, compared with approximately 300 across the industry’s top five carriers.
Amazon’s entry adds another major competitor to an already evolving freight market. Its growing transportation network could also put additional pressure on traditional LTL and truckload pricing.
Amazon Freight has also expanded its dry-van trailer fleet to approximately 80,000 units. Analysts expect this additional capacity could allow Amazon to compete aggressively on rates and further influence pricing across the broader freight market.
FedEx Freight Becomes Independent
Effective Date: June 1, 2026
FedEx Freight completed its spin-off from FedEx Corp. on June 1, 2026, becoming an independent public company. The newly independent carrier is targeting small and midsize businesses as well as food and beverage freight, adding another significant development to the competitive LTL landscape.