Online retailers scaling back on free customer returns to save on logistics cost
Good morning! It’s Find Your Inner Nerd Day 🤓
The author of this email is a huge Tolkien fan… does that count as celebrating?
But in other news… your favorite retailer that offers free returns - even by mail - may not be doing so for much longer. Shoppers have been taking advantage of this perk when shopping at online retailers, but it has cost those retailers billions in logistics expenses. Buying one of every color and returning all but your favorite does cost someone something…
Check out today’s featured article from Supply Chain Brain to read about the new retail trend of dialing back on 100% satisfaction-guaranteed” returns for customers and whether this will hurt or help the supply chain. ☕️
Featured Article:
E-Tailers No Longer Want to Pay for Your Returns | SupplyChainBrain
“Message to online shoppers who have enjoyed the perk of “100% satisfaction-guaranteed” returns: Your free ride is coming to an end.”
Regulations ⚖️
DOT Secretary Pete Buttigieg on infrastructure tour this week
U.S. Department of Transportation (USDOT) Secretary Pete Buttigieg will be visiting six states this week as part of the White House’s ‘Building A Better America’ infrastructure tour. The tour is a Biden Administration effort to promote the infrastructure plans for America included in the Inflation Reduction Act.
Florida, Oklahoma, Minnesota, Ohio, Nevada, and New Hampshire will host Buttigieg over his four-day tour. The USDOT plans to highlight critical investments in infrastructure projects for the future and drum up public interest.
Let’s Get Global 🌎
Pylik GIF via GIPHY
🇩🇪🚅 It may have to get worse before it gets better. Germany has big plans for its German rail transport system and to improve its capabilities for both freight and human passengers but expects the plan will create massive congestion for a period of time. Railroad union and association officials are warning that the rail system is already suffering from too many congestion problems and that furthering that issue, even in the name of progress, might be too much for it to bear.
🛻 Kiss your job, goodbye… If you’re working at Ford Motor. Ford Motor is axing approximately 3,000 jobs from its entire workforce with a majority of those canned coming from North America. The projections show that cuts will pertain to 2,000 salaried positions and 1,000 agency jobs in North America and Indian markets. Ford Chair Bill Ford and the company’s CEO Jim Farley unveiled this news in an email to their employees, surprising and dismaying many - we are sure.
🇨🇳☀️ It’s getting hot in here. The heat wave that has been tearing across the globe has settled upon China, causing massive havoc upon its supply chain. The Yangtze River, a major water corridor in the country, is showing its lowest levels on record - causing crucial hydro-power centers to slow down and threatening crop yields on its banks. Major manufacturing companies such as Toyota and Foxconn have been forced to suspend operations as the country begins rationing power in certain regions hit the hardest.
Sales 🧾
Walmart is walking the supply chain tightrope
Walmart’s chief financial officer (CFO) John David Rainey is estimating that the company’s inventory is still 15% better than what’s needed, but also has admitted that Walmart has thrown out billions worth of orders to suppliers in order to match the forecasted demand to those inventory levels. Walmart’s inventory currently sits at about $1.5 billion worth and is expected to take a couple more financial quarters to even out.
Apparel, electronics, and sporting goods seem to be the categories where inventory is most excessive. The company is focusing on its e-commerce supply chain and controlling those costs in order to avoid further backlogs in the future.
Shortages 🛒
Intel chip plants need construction workers, and fast
With all the talk about electric vehicles and enhancing supply chains, the demand for chipmaking has never been greater. Ohio is taking the cue and searching for 7,000 construction workers to build the planned $20 billion manufacturing plant for semiconductor chips in the state capital.
The site, a 1,000-acre plot of land, needed to be leveled and prepared for the two Intel factories that will soon sit on top of it. The factories will then employ 3,000 workers with an average annual salary of $135,000 by opening in 2025.
Leadership 🏆
Epika Fleet Services, Inc. Ranks No. 42 on the 2022 Inc. 5000 Annual List - Cision PR Newswire
“Today, Inc. Magazine revealed that Epika Fleet Services, Inc. is No. 42 in the Logistics and Transportation sector on its annual Inc. 5000 list, the most prestigious ranking of the fastest-growing private companies in America.”
Roland Bolduc Captures NTDC Crown for a Second Time | TT News
“For the second time in his career, Roland Bolduc is the grand champion at the National Truck Driving Championships.”
Re-shoring 🇺🇸
Monster struggles to shift aluminum can sourcing to US | Supply Chain Dive
“Monster continued to face high costs related to the import of aluminum cans last quarter as the beverage maker struggled to shift sourcing to the U.S. amid high consumer demand for its energy drinks.”
Loans & Leases 💰
Large Warehouse Leases Fueled US Industrial Market | Material Handling & Logistics
“A new report from CBRE finds that big warehouses are in style in a big way.”
Industry Forecasting 📊
Tomorrow first: Is the future of logistics here? | Gulf Business
“Experts from across the region’s logistics and freight sector give us the lowdown on advanced technologies, digitisation, e-commerce and other key trends transforming the sector.”
Aviation ✈️
Flight Simulators Can Bring Sport Aviation to Your Desktop | Flying Mag
“Software, such as X-Plane, allows you to try an LSA on for size.”
Buttigieg announces DOT dashboard for delayed, canceled flights | The Hill
“Transportation Secretary Pete Buttigieg said in a letter to CEOs in the airline industry on Thursday the Department of Transportation (DOT) will be launching a dashboard to help customers determine what they are owed if a flight is delayed or canceled.”
Fuel Tech ♻️
Could Hybrid Tech Help Future Diesels? | Trucking Info
“Diesel fuel isn’t going anywhere.”
Closer look: Navistar’s new powertrain advances emission control | Fleet Owner
“Navistar’s new International S13 Integrated Powertrain, designed in close collaboration with the Traton Group for the North American market, is the last internal combustion engine powertrain the company will develop from a blank slate, and Navistar President and CEO Mathias Carlbaum says they ‘kept the best for last.’”
Trucker’s Lounge 🧢
Driver wins £17 million, loses half to con artist | Back The Truck Up
“Mark Lipsham had his life changed forever back in 2017 when he won big (£17 million; equivalent to slightly more than $20 million) in the Powerball lottery in Auckland, New Zealand.”
Artificial Intelligence 🤖
People are now testing Tesla's 'full self-driving' on real kids | CNN Business
“Carmine Cupani wanted to set the record straight.”
Electric Vehicles 🔋
The Electric Car Snow Job | Real Clear Policy
“The United States is being taken for a very expensive ride by an unholy alliance between climate ideologues and business opportunists, who have exerted undue influence over public opinion and government institutions in the name of climate change.”
Sales 🧾
Covenant Logistics sells California terminal for $44M | Transport Dive
“Covenant Logistics will sell a California terminal for $44 million in cash after an earlier buyer walked away from a similar deal earlier this summer, the company reported in an Aug. 17 securities filing.”
Peak Season 🎄
Expert roundtable: How shippers should prepare for the 2022 peak season | Supply Chain Dive
“Five industry insiders weigh in on whether carriers will be able to deliver during the holidays, and what shippers can do to ensure success.”
Peak freight season is underway and there’s no end in sight for congestion | CNBC
“U.S. Supply chains around the world continue to be vulnerable to interruptions or disruptions and it’s expected to take long into next year until there is a stabilization in freight rates.”
Business Strategy 💡
Real-time IT: Gaining ground in supply chain and logistics | All Things Supply Chain
“Complex processes demand ever faster response times and decisions across the entire supply chain.”
Trade & Border Issues 🗺
Strike at Port of Felixstowe Set to Upend Supply Chains | AJOT
“Site of the last attempted invasion of England, the coastal town of Felixstowe is about to absorb another shock from the sea.”
Global air, road and rail logistics news roundup | Supply Chain Digital
“One of Africa’s fastest growing companies – e-logistics outfit, Lori Systems – has announced it has received “significant” investment from Google.”
Critical period for logistics in Europe as dock strikes pile on the pressure | The Loadstar
“Looking ahead to what could be a critical period for the logistics industry in Europe the dark clouds gathering over Germany and the UK in terms of labour relations in key ports will add to the already challenging market conditions experienced over the last two years.”
Germany to Prioritize Coal Trains Over Passenger Services | AJOT
“Germany plans to give coal trains priority over passenger services on its rail network as it struggles with an energy crunch that’s threatening the economy, the Welt am Sonntag newspaper reported, citing a draft proposal.”
Network Association 🤝
Heartland Express to Acquire CFI Truckload Business for $525 Million | TT News
“Heartland Express Inc. on Aug. 22 announced plans to acquire Contract Freighters’ (CFI) nondedicated truckload business as well as Mexican entities under CFI Logistica in a $525 million deal.”
Covid-19 😷
How China’s strict Covid policies led to supply chain bottlenecks | CNBC
“At the onset of the Covid-19 pandemic, China’s strict ‘zero-Covid’ policies managed to keep Covid-19 at bay.”
Inflation 💸
72% of economists expect a US recession by the middle of next year | CNN Business
“The Federal Reserve is unlikely to tame inflation without pushing the American economy into a recession, according to a survey of economists released Monday.”
U.S. Economy 🇺🇸
Fewer Americans are switching to new jobs, NY Fed survey shows | Fox Business
“Workers are less satisfied with their wages as inflation erodes buying power.”
The Workday Dash is an aggregation of articles regarding the transportation logistics, trucking, and supply chain industries for July 31, 2025, from iLevel Logistics Inc.