Old Dominion pulls forward 4.9% GRI as LTL carriers accelerate rate hikes

Old Dominion Freight Line has announced a 4.9% general rate increase (GRI) to various tariff codes, effective October 5. This marks a month earlier than last year's hike, which was also moved up by a month. LTL carriers typically implement GRIs annually for standard tariff codes. The percentage increase represents the expected average of adjustments to base rates across different lanes and weight classes.

These increases are aimed at offsetting cost inflation and funding capital expenditure projects. Old Dominion's vice president of pricing services, Greg Lawrence, stated that the GRI helps meet customer expectations while supporting commitments to them. The company invests in the strength, capacity, and efficiency of its service network and technology systems.

Other public carriers have also accelerated their rate hikes ahead of the traditional one-year schedule. ArcBest implemented a 5.9% hike for LTL services on June 22, and Saia installed a 7.1% increase on July 6. Both were approximately six weeks earlier than last year's increases. The industry is experiencing solid manufacturing demand, which is contributing to the timing of these rate hikes.