January 13 2020
Trade/Transportation

Capital Region’s Prime Location Drives $4.1B in Domestic Truck Freight Shipments

More than $4 billion in goods are domestically transported from the Capital Region annually by truck. While the majority (88.6 percent) of that freight (by value) is shipped by truck throughout Northeast, 5.9 percent goes to states in the South, 3.8 percent to the Midwest and 1.7 percent to the West, according to a Center for Economic Growth analysis.1

U.S. Regions and States

In 2017, $4.1 billion in domestic freight commodities originating in the Capital Region2 were transported by truck. Together, those commodities weighed nearly 59 million tons. Of that dollar amount, $3.7 billion was shipped by truck throughout the Northeast, including $2.4 billion that remained in New York. At $374 million, Massachusetts was the leading recipient of interstate truck freight from the region, followed by Vermont at $273 million and New Hampshire at $174 million.

The South received the next greatest amount of interstate truck freight from the region, totaling $246 million, followed by the Midwest at $156 million and West at $71 million. Outside of the Northeast, the states receiving the most interstate truck freight from the region were Texas at $44 million, Ohio at $35 million and Virginia at $31.5 million.

Domestically, freight was shipped by truck to as far as Alaska, which received $560,000 in miscellaneous manufactured products, $380.000 in textiles, $14,000 in furniture and $90,000 in electronics, among other commodities.

Commodities

Excluding mixed freight, gasoline and fuel oils, the region’s top domestic truck freight commodities by value included textiles, foodstuffs, plastic/rubber, paper and newsprint. The top truck freight commodities by tonnage were gravel, nonmetal mineral products, waste/scrap, foodstuffs and natural sands.

Jobs

Transportation and Warehousing is one of the Capital Region’s fastest-growing sectors for employment. Within this sector over the past five years, the truck transportation industry has grown by 12.6 percent to 3,287, and the warehousing and storage industry has grown by 9.7 percent to 2,962, according to New York State Department of Labor data. In 2018 the region had 5,416 heavy and tractor trailer truck drivers, up 14 percent from five years earlier, according to EMSI data.

Strategic Location

This job growth is happening as more logistics and distribution firms recognize the Capital Region’s strategic location. On top of being the nexus of Interstates 87 and 90, the region offers the following:

  • Ten the 30 largest metropolitan areas in the U.S. and Canada are located within 715 miles, which is the maximum a commercial driver can travel during an 11-hour stretch going 65 miles per hour.
  • Our rail infrastructure – and its connections to the Port of Albany and Port of Coeymans – further strengthens Albany’s standing as a Northeast gateway.
  • Albany is the nexus of CSX, Norfolk Southern and Canadian Pacific rail lines.
  • These lines, like Interstates 87 and 90, provide for the efficient distribution of goods north, south, east and west of Albany.
  • On top of that, the region’s rail infrastructure also includes two automobile distribution centers and a TRANSFLO Terminal Service Bulk Transfer Terminal.

CEG Activities

The Gateway strategy of Capital 20.20, the Capital Region’s five-year economic development plan, calls for a Fulfillment Hub Expansion initiative that aims to “enhance our existing robust warehousing and distribution center ecosystem.” As Capital 20.20’s implementation agent, CEG is doing the following to advance the Fulfillment Hub Expansion initiative under Capital 20.20’s Gateway strategy:

Representing the Capital Region at several transportation and site selector conferences.

Highlighting opportunities at key regional sites, such as Port of Albany expansion, Northeastern Industrial Park in Guilderland and other sites along the 87/90 corridor.

Responding to requests for proposals (RFPs) from firms looking for sites for prospective fulfillment centers.

 

Notes

1 Data from U.S. Department of Transportation Freight Analysis Framework.

2 Albany-Schenectady Combined Statistical Area (CSA). Does not include Greene County.

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