C.R. England’s Cost Stability in Today’s Volatile Market

Freight markets rarely move in a straight line. Capacity tightens. Fuel costs rise. Demand shifts. Seasonal surges put pressure on available equipment. Geopolitical and economic disruptions can change transportation costs faster than a shipper can adjust a budget.

In 2026, that volatility has become especially visible. Recent market data shows spot rates moving sharply while contract rates have also increased, creating new challenges for transportation procurement teams.

For shippers, the goal should not simply be to find the lowest transportation rate today. The better goal is to build a transportation strategy that manages cost exposure over time.

At C.R. England, we help customers approach that challenge through a combination of contract strategy, Dedicated transportation, and Intermodal solutions. By balancing these options, shippers can create greater predictability without giving up the flexibility they need to respond to changing markets.

Contract Strategy vs. Spot Exposure

The spot market gives shippers flexibility. When shipment volumes change, new lanes emerge, or unexpected demand appears, spot capacity can help fill the gap.

But relying too heavily on spot transportation also exposes a shipper to the market’s most immediate price movements.

Spot rates respond quickly to changes in supply and demand. Contract rates generally provide more predictability because the shipper and carrier establish pricing and capacity expectations ahead of time. FreightWaves describes spot trucking as significantly more volatile than contract transportation because spot loads price according to current lane-level supply and demand.

Recent market conditions demonstrate why that distinction matters. In May 2026, dry-van spot rates increased more than 31% year over year, while contract rates increased 9%, according to the U.S. Bank Freight Payment Index produced with DAT Freight & Analytics. 

That does not mean shippers should eliminate spot freight. Instead, they should use the spot market intentionally.

A strong transportation procurement strategy can:

• Contract predictable, recurring freight.
• Reserve dependable capacity for critical lanes.
• Use spot transportation for genuine variability and surge requirements.
• Review lane performance and market conditions regularly.
• Avoid allowing temporary market conditions to dictate the entire transportation budget.

This approach creates a balance between cost predictability and operational flexibility.

C.R. England can help customers evaluate that balance across OTR Truckload, Dedicated, and Intermodal transportation. Our multi-modal model gives shippers more options than a single-mode strategy.

Dedicated Transportation as a Hedge Against Volatility

Think of Dedicated transportation as a strategic hedge — not a financial hedge, but an operational one.

When a shipper assigns consistent freight to a Dedicated fleet, the shipper gains committed capacity designed around its network. That structure can reduce dependence on whatever capacity happens to be available on the spot market when a load needs to move.

For core lanes with predictable volume, that distinction can make a significant difference.

C.R. England designs Dedicated solutions around customer-specific freight flows, facilities, equipment, schedules, and service requirements. Our Dedicated division has more than 3,000 trucks and supports everything from regional shuttle operations to multi-stop, round-trip, and long-haul transportation. 

A Dedicated strategy can help customers:

• Protect core capacity: Secure transportation for the lanes that matter most.
• Improve cost predictability: Reduce exposure to sudden changes in transactional capacity pricing.
• Create operational consistency: Give drivers and transportation teams greater familiarity with recurring routes and facilities.
• Manage seasonal demand: Build a scalable transportation solution that can adapt as volumes change.
• Reduce operational friction: Create closer alignment between the shipper and carrier.

C.R. England has specifically identified multi-year Dedicated relationships as a way to secure predictable capacity, strengthen performance expectations, and improve cost stability while still accommodating seasonality and changing demand. 

The key is not to dedicate every shipment. Instead, shippers should identify the core portion of their network where capacity certainty creates the greatest value.

That makes Dedicated transportation a practical component of a broader risk-management strategy.

Intermodal Creates a Smoothing Effect

Shippers can also reduce transportation volatility by diversifying modes.

Intermodal combines rail with truck transportation, allowing shippers to move the long-haul portion of qualifying freight by rail while using trucks for pickup and delivery. C.R. England uses its relationships with major railroads to provide Intermodal transportation between rail ramps and final destinations. 

This matters because trucking and rail do not respond to market conditions in exactly the same way.

Freight rail also has a substantial fuel-efficiency advantage. The Association of American Railroads reports that freight rail moves a ton of freight nearly 500 miles per gallon of fuel, making rail approximately three to four times more fuel efficient than trucks. AAR research also finds that rail cost changes tend to be smaller and slower than trucking cost shocks. 

For the right freight, that difference can create a smoothing effect on transportation costs.

When truckload markets experience pressure from capacity constraints, fuel prices, or demand spikes, a shipper that has already established an Intermodal option may have another transportation lever to pull.

C.R. England evaluates qualifying lanes for conversion from OTR to Intermodal, particularly longer-haul freight, while maintaining truck flexibility for first- and last-mile service.

Intermodal does not replace trucking. It complements it.

Build a Portfolio, Not a Single Transportation Bet

The most resilient transportation networks often look less like a single procurement decision and more like a portfolio.

A shipper might use:

Contracted OTR for predictable freight and broad network coverage.

Dedicated for high-volume core lanes where consistent capacity and service matter most.

Intermodal for qualifying long-haul freight where rail can improve cost efficiency and reduce exposure to trucking-market fluctuations.

Spot capacity for unpredictable volumes, temporary surges, and exceptions.

This diversified approach gives transportation teams multiple ways to respond when market conditions change.

It also shifts the conversation from “What is today’s rate?” to “How do we manage our total transportation cost and service risk?”

Why This Matters for Your Business

Transportation costs affect more than the freight budget. They influence inventory decisions, customer service, production schedules, distribution strategy, and ultimately the cost of getting products into customers’ hands.

A strategy that looks inexpensive during a soft freight market can become expensive when capacity tightens. Conversely, a strategy that focuses only on locking in the lowest possible rate can sacrifice flexibility when volumes change.

C.R. England takes a different approach: match the transportation solution to the freight.

With more than 100 years of transportation experience and capabilities across Dedicated, OTR Truckload, and Intermodal, C.R. England can help shippers build a transportation network that balances reliability, flexibility, and cost control.

The market will continue to change. Your transportation strategy should be built to change with it.

Make Cost Stability Part of the Strategy

Volatile freight markets do not have to translate directly into volatile transportation budgets.

By combining thoughtful contract strategy with Dedicated capacity, strategic Intermodal conversion, and targeted use of the spot market, shippers can create a more balanced transportation portfolio.

C.R. England helps customers move beyond reacting to freight-market volatility and toward proactively managing it. Connect with our team to discuss how C.R. England can support your freight needs. Request a quote from C.R. England today!