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The previous blog looked at the potential Trump Effect (http://www.dantranscon.com/index.php/blog?view=entry&id=258 ) on Freight Transportation in 2017. This blog will focus on some of the other variables that are likely to shape the freight world in the coming year.

Upswing in Economic Growth

While 2016 was a soft year economically and in terms of freight and freight rate pricing, shippers, carriers, and economists are somewhat more optimistic about the New Year. Interest rates are likely to remain low (although there will likely be some increases in 2017). Household balance sheets are expected to remain in good shape. Employment levels in the U.S. are projected to remain strong. Investment in energy development is likely to increase. Inventory levels are predicted to decrease, driving an increase in manufacturing. Donald Trump has committed to increase the number of jobs in the United States in the coming year. The improving U.S. economy will likely help boost the Canadian economy as well.

Increase in Cost of Diesel Fuel

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