Market Insights

Private equity investment activity in transportation and logistics faced significant headwinds in 2024, with rising interest rates and increased asset competition driving average EBITDA multiples to 10.5x, according to PitchBook Data.

The North American rail sector continues evolving under precision scheduled railroading (PSR) principles, creating challenges and opportunities for shippers. Recent industry data reveals that while service metrics have improved across Class I railroads, with average terminal dwell times decreasing by 18% year over year, many shippers still struggle with first—and last-mile reliability.

Recent industry data reveals significant shifts in marine transportation dynamics that directly impact shippers' supply chain strategies. The Journal of Commerce reports that while overall ocean freight rates have declined from their historic highs, ongoing port congestion and service reliability challenges continue to force shippers to maintain higher inventory levels and longer lead times than pre-pandemic norms.

The global supply chain landscape continues to evolve in response to recent geopolitical tensions, particularly the ongoing conflicts in Ukraine and the Middle East affecting maritime routes. In North America, the rail sector has shown remarkable resilience, with Class I railroads investing heavily in infrastructure modernization and implementing precision scheduled railroading (PSR) principles.

The biofuels sector is experiencing dramatic growth, with U.S. renewable diesel production capacity reaching 4.1 billion gallons annually by late 2023 and projected to exceed 7 billion gallons by 2025 (EIA). According to the American Biogas Council, the RNG sector demonstrated strong momentum with a 17% year-over-year increase in production facilities while preventing approximately 5.1 million metric tons of CO2 emissions annually.