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Thursday, April 3, 2025

US Logistics Growth Slows Sharply in March

US Logistics Growth Slows Sharply in March

In March 2025, the Logistics Manager's Index in the US experienced a decline to 57.1, down from 62.8 in February, which had reached its peak since June 2022. This represents the third largest drop in the index's history, indicating the most modest growth in the logistics sector in seven months. The downturn was primarily driven by falling price metrics, including Inventory Costs, which dropped 6.7 points to 70.6, Warehousing Prices, down 16 points to 61.0, and Transportation Prices, decreasing by 9 points to 56.4. These figures suggest a scenario where supply chains surged in February and early March to bring in products but have decelerated in recent weeks as additional trade controls have been enacted. Additionally, more modest growth was observed in Inventory Levels, declining 3.6 points to 61.2, Warehousing, which rose 1.8 points to 52.3, and Transportation Capacity, which fell 1.6 points to 53.6. Further decreases were seen in Warehousing Utilization, down 5.8 points to 59.7, and Transportation Utilization, which dipped 3.8 points to 54.


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