Ferrari 458 Recovered by CBP

It is believed the U.S. Customs and Border Protection officers executed the raid after being tipped of by the Ferrari dealership who tracked their missing prancing stallion to the port using a GPS device installed in the car for this specific reason. These exclusive rides were being shipped to a country where there is an overwhelming demand in luxury and performance vehicles and buyers are willing to pay two to three times their cost in the states. Such lucrative opportunity has driven these individuals to collaborate efforts and falsify documents and even identities. Investigators assume that a sophisticated smuggling ring is in play to ship cars overseas, no arrests have yet been made on what surely sound like a plot to a familiar Hollywood thriller.

Source: U.S. Customs & Border Protection

2012 is total different situation, NADA economist predict 13.9 million new car sales in US. New and used car dealers have trouble keeping units in stock. In fact the problem is so severe that dealers are now struggling to get the new cars from ports of entry to their lots. Estimates are putting the difference between available capacity to transport and vehicles needing transport to near 1.7 million. With so many cars to ship, and not enough car haulers the shipping rates are going through the roof, often fueled by bidding wars for limited spaces. Dealers simply cannot sell cars that they can’t ship.

The car shipping companies that survived are rushing to buy up all the car haulers they can find to meet the demand. The increased price of auto transport is a big motivator to expand fleets but because car haulers use such specialized equipment it is hard to find. Manufacturers can’t  make trailers fast enough as everything gets bought up as quickly as it is made.  Another issue that is constantly plaguing the industry is a lack of qualified drivers willing to operate the car haulers.

No one knows for sure what car sales will look like a year from now, or where the demand for auto transport will be but today there is a very real shortage of companies that can move cars.

The owners of the truck apparently were in a nearby hotel and it wasn’t clear at the time what the cause of the fire was. The car hauler, which is a total loss, delivered a number of vehicles the previous night but did not have any cargo on board at the time of the fire.

Click to watch the KEYC-TV footage

Showroom

I couldn’t walk by without stopping to admire a Ford sedan with an immaculate flat green paint job only to then notice a shiny black widebody Ford Mustang GT. You can see cars from the early 1900’s and as recent as 2010’s. Some cars are heavily modified, and some are featured in their original state. Like 1993 Jaguar XJ220 in factory condition with less than 3000 miles on the odometer.

Their fully custom Scythe may be the most unique and extensively modified car, The Scythe is based on a Convertible 2008 Ford Mustang GT. The chassis of the Mustang had to receive extensive modification to make the Scythe what it is today. The body of the car was first carved out of clay to make fiberglass molds. Scythe is powered by a Ford Racing stroked 5.0 V8 engine that has been Twin-Supercharged to produce 1000+ horsepower.

The driver is given the ability to drive the car on the left or right hand side. To help with the stopping power, Galpin had to install enormously sized Wilwood brakes on the front and rear of the car.  All of the features in the car are controlled by a voice activated computer system, and unlike other concepts the car is fully functionable and has been driven on the street.

The showroom also has a lot of other vehicles that reflect the awesomeness of Galpins work, and their collection of highly rare and desirable automobiles.  Galpin also has the VW Bettle from the Herbie: Fully Loaded that starred Lindsay Lohan. A 1965 Ford Mustang that was used by Ronald Reagan during his first gubernatorial campaign. There are also a few very rare Mustangs from the 1960’s which include the GT500 KR Fastback, as well as a convertible. Any time you deal with such valuable vehicles, enclosed car shipping  is recommended and the method GAS uses to get their cars to automotive shows and auctions.

Behind the Scenes

Later in the day Steve Carpenter took us back to their shop on a little tour. I found out that Galpin uses sheet metal manufacture their widebodied cars. Manufacturing a steel kit is very impressive considering that most shops use fiberglass overlays that are attached with screws, rivets and different types of adhesives which are prone to cracking. Galpin’s widebodies are welded on to the car. We got a glimpse of yet another widebody Mustang in the works, one of a kind Ford Focus with a mixer board and guitar amps custom made for a band.

Time was nearing their 5pm closing time and had to say goodbye and continue on my journey.

Express Codes

A payer (shipper or a broker) that has an account with Comdata, issues Comcheks to drivers for services rendered or as a fuel advance and they do so in a form of an express code for a predetermined amount. The express codes vary in length, usually from 14 to 18 digits in length, but will always be just numbers not letters.

Once the payee (trucking company) receives their express codes they have several options to redeem their money. Comcheks can be cashed at truck stops or any bank as long as Comchek blank is present.

Comchek Blank

When deposit directly into the bank, the payee must call the toll free phone number provided by Comdata to get authorization for that Express Code.  The payee cannot cash the Comchek until he has called Comdata to get an authorization number, not doing so will cause the check to bounce and cause you to incur insufficient funds fees by your bank. Once Comchek blank is filled out it can be used a regular check and even cashed with no fees. Talk to your bank for additional assistance processing Comcheks.

Comcheks can be cashed at truck stops when buying fuel, however some locations will charge a processing fee if you are not buying any fuel there. Look into GoComchek for locations that accept Comcheks.

Comdata Cards

Trucking companies can also look into making their own accounts with Comdata to issue Comcheks for their drivers. It provides a convenience and flexibility to monitor driver spending. With the Comdata account a trucking company has the option to issue cards to their drivers that work similarly to an ATM.

Fees

When compared to credit cards, transaction fees for comcheks are much lower. Depending on the account and volume fees may be as low as $4 per $1000. Comdata charges a flat fee from Comcheks and prices per $1000, meaning it costs the same issue a $20 Comchek as it would for $1000. It is not uncommon for some brokers to mark up the cost of Comcheks, most common being $10/$1000 but in some cases as high as $40 for a single Comchek.

Pro’s and Con’s of Comcheks:

• Comcheks allow truck drivers freedom from carrying large amounts of cash on hand.
• Comcheks enable to get payment faster and improve cash flow while on the road.
• Comcheks usually have a processing fee. Fees increase with higher payment amounts.
• Drivers can get a Comdata account and can deposit their payments into that account as well.

What are your thoughts on Comcheks?

RCG Logistics moved 3,787 cars in 2011 for over $2.5 Million in revenue. The average shipping price for a vehicle was $684. We shipped cars coast-to-coast, locally, regionally and all over United States, for car dealers, businesses and individuals.

Challenges

The number vehicles being shipped in 2011 often overwhelmed the available capacity. In some regions there was simply not enough car carriers to move all of the vehicles. This often led to increased lead times as well as higher prices. The price of diesel, as high $4.46/gallon last summer, also contributed to higher shipping costs. Insurance is another issue that gets very little attention as more new companies enter the business for lucrative profits.  However, as more new and luxury cars are being shipped few carriers carry enough cargo insurance and there is a limited number of skilled drivers, . Besides additional risk from under-insured carriers and inexperienced drivers, incidental damages to vehicles are a rising concern as well.

Accomplishments

In 2011 we introduced instant car shipping quotes, we also made it easier for customers to track their orders online. Significant improvements to the interface of our website made it easier to get car shipping rates as well as information to make informed decision when it comes to shipping vehicles. We have implemented stricter policies for carrier selection, focusing on established car haulers with good feedback.

Goals

We constantly strive to provide value and high quality of service to our costumers. For 2012 we want to decrease the lead time it takes to assign drivers, make more information available on our website, reach more car dealers and individual customers, as well further improve our relationship with our partner carriers.

Many of the vehicles on display were shipped in enclosed trailers because they are so low on the ground. Another advantage to enclosed car shipping is the added insurance coverage to protect the high value vehicles, which normally would not be possible on an open car trailer. Our favorite car on display was definitely the green RWB Porsche; which car did you like the most ?

For the week of November 7, 2001 vehicle shipments are down slightly by 2% from previous week with a total volume of just over 17,000 vehicles. Even though this number is slightly lower than the previous week the volume has increased by 10% from a month ago.

Biggest Gainers

Highest volume increases came from the Southwestern states; California saw an increase in shipments going to the Northeast as well as Northwest to Washington and Oregon. This especially good news for carriers that run WA to CA, as it has been very difficult to find return freight back to WA. The Northeast is still the largest market by volume, the

Remained Steady

The volume for Southern states remained about the same after a dramatic increase last week. Carriers running TX to IL/MI should see a gradual increase in rates as volumes increase while NY/NJ rates are still low. The volumes from Midwest are still relatively high, carriers should have no trouble finding loads to either CA or NJ but it looks like the rates will be leveling off the in the next few weeks.

Biggest Declines

After a brief unexplained spike last week, carriers still have difficulty finding freight from Florida, especially with outbound freight being down by 15%. Florida to Texas will be especially difficult lane to find freight.

Market Data

Table below indicated changes in load quantities compared to the previous week. Decreases greater than 15% are highlighted in red while increases greater than 15% are highlighted blue.

The week of October 31, 2011 took a giant leap upwards in car shipping volume from the previous week. The upward momentum, 3rd weekly increase in volume, shows no signs of slowing down. Rates for auto transporters up are up as shippers are struggle to find trucks to cover their freight.

Biggest Gainers

By far the largest and the most surprising increase came out Florida. The vehicle volume increased dramatically, by over 5%, just from last week. To carriers it means that a lot more freight is available. Florida to New England (SW) saw an increase of 15%, giving a healthy boost to shipping rates. At this pace shippers will have no choice but to pay more out of Florida to have their vehicles moved.

Another region that saw an increase in shipping volume is Southwest, mainly California and Arizona. For some drivers this couldn’t come soon enough. Shipping prices out of California has been at annual lows as carriers struggled to find loads out of California. This week saw an increase in shipping volume to Florida and the Midwest.

Remained Steady

Shipping from the Midwestern states like Illinois and Minnesota has remained steady with a small increase from last week. Car haulers will find the highest paying loads going to the Southwestern states like Arizona and California.

Biggest Declines

While this week has seen an overall increase in the number of cars being shipped, couple regions showed weak demand for transportation. California to Texas saw a decrease of 5% and it still is difficult for carriers to find loads to go North. Rates to go Washington and Oregon out of California are at a yearly low, of course that means that rates out of WA or OR are unusually high as more carriers try to avoid the SW.

Market Data

Table below indicated changes in load quantities compared to the previous week. Decreases greater than 15% are highlighted in red while increases greater than 15% are highlighted blue.

The week of October 24th, 2011 showed a small upward trend in car shipping volume from the prior week. The number of vehicles being shipped is somewhat unusual for this time of year and is primary factor for increased shipping costs. The Northeastern region of the US remained the biggest outbound shipper with 30% of all freight shipping from states like New Jersey, New York and Massachusetts. At the same time Southeast US has biggest inbound volume of about 30% of all cars being delivered to states like Florida and Georgia.

Biggest Gainers

The largest increasing in shipping volume came from the Southern region. States like Texas and Arkansas saw an increase of shipments by about 10%. Shipping from TX to the Northeast saw a particularly large boost of 18%, this means that rates may finally begin to rise out of TX.

Remained Steady

Snowbirds moving their vehicles south continue to overwhelm certain lanes, particularly those from the NE to SE. Event though there has not been a dramatic increase in volume in comparison to last week, auto transport companies will have no trouble finding freight. Shippers need to be prepared to pay more to have their cars moved in a timely manner.

Biggest Declines

Auto transport companies looking to send their truck to the Northwest will continue to have a hard time finding freight as numbers are down for 2 consecutive weeks. It is becoming more difficult to find cars to transport from southern states like California and Florida to Washington and Oregon. The however means unusualy low rates for companies and individuals looking to ship north.

Market Data

Table below indicated changes in load quantities compared to the previous week. Decreases greater than 15% are highlighted in red while increases greater than 15% are highlighted blue.