The latest U.S. Bank Freight Payment Index reveals that the U.S. truck freight market contracted in the third quarter of 2025, with national shipment volumes declining by 2.9% compared to the previous quarter and down 10.7% year over year. Despite the drop in shipments, shipper spending rose by 2.0% quarter over quarter, though it remains 1.7% lower than the same period last year. Analysts attribute the increased spending to tightening industry capacity and higher freight rates, even as volumes remain soft. Regional data show notable differences: the West experienced a 4.4% increase in shipments and a 9.0% rise in spending, buoyed by strong port activity, while the Southwest saw the steepest decline in shipments at 15.7%, linked to slower home construction and fewer inbound trucks from Mexico. The Midwest and Southeast also posted declines in freight activity, reflecting broader economic pressures on manufacturing, construction, and consumer spending.