In early November, and after much editing and deliberation, Congress passed the Bipartisan Infrastructure Deal, also known as the Infrastructure Investment and Jobs Act. While there are critics of the bill, one undeniable truth is that it will have a massive impact on the infrastructural makeup of the U.S. in the coming years.
Once the changes proposed in the bill are implemented over the next few years, the logistics industry stands to benefit in some key ways. The industry has undergone some challenges in the last two years due to fuel prices, congestion, and other factors, so change is welcomed. At GW Transportation, we are always looking for ways to serve our clients more effectively and make the ground freight industry more streamlined. Here are three key ways that this infrastructure investment could positively impact logistics and ground freight in the near future.
Improve the Safety of Roads and Bridges
Roughly 10% of the $1.2 billion allocated to the bill will be put towards improving the roadways and bridges across the country, as well as programs aimed at improving safety conditions for pedestrians and bikers.
According to a White House brief, this bill represents the “largest investment in repairing and reconstructing our nation’s bridges since the construction of the interstate highway system.” The bill also reauthorizes the surface transportation program (Fixing America’s Surface Transportation Act) for the coming five years.
These developments, along with programs designed to reduce crashes and fatalities, could stand to benefit the logistics industry by making the roads a generally safer place to drive.
Reduce Highway Congestion
One of the biggest emphases of the infrastructure investment is improving access to and quality of public transportation for Americans. By replacing out-of-date transit vehicles, addressing the public transit landscape in every state in the union, and providing the largest investment in public transportation improvement in history, the bill aims to increase access to these utilities to millions of Americans.
If these earmarks play out as they are designed, it could result in many commuters and travelers opting for public transportation instead of driving personal vehicles. If this happens, we could see reduced congestion on the highways, lower emissions, and a decrease in demand for fuel, hopefully driving down prices.
Address Port and Airport Backups
The logistics industry is largely interconnected. Trucking makes up the bulk of the transportation industry in the U.S., but these trucks are often transporting materials to and from airports and ports. In the past two years, these places have become increasingly backed up as a result of supply chain issues and burgeoning demand.
The infrastructure investment bill provides $17 billion in funds dedicated to port infrastructure and waterways, as well as $25 billion for airport improvement. These funds will hopefully help “address repair and maintenance backlogs [and] reduce congestion and emissions near ports and airports.”
When major hubs of shipping activity run more smoothly, the entire logistics industry benefits.
GW Transportation: Your Freight Partner
There has never been a stronger need for a logistics provider that can deliver specialized loads quickly, smoothly, and on time. That’s where GW comes in.
We strive to be the most personable and responsive logistics provider in the transportation industry – and we do not take that claim lightly. We source worry-free transportation solutions for our clients and carriers every day, and our dedicated staff specializes in solving unique transportation problems around the clock.
When it comes to your shipment, trust the professionals at GW Transportation. We make sure to establish clear communication for peace of mind throughout the shipping process – even in a changing market. To learn more about our service offering and to get in touch, visit our website or give us a call at 877-260-1595 today.