Economic activity in the logistics industry accelerated in June, driven by expanding inventory levels, according to the June Logistics Managers’ Index (LMI) report, released Tuesday.
The June LMI rose more than a point to a reading of 60.7, which indicates strong growth across warehousing and transportation markets. The LMI score is based on a monthly survey of logistics managers nationwide and tracks transportation and warehousing activity. An LMI reading above 50 indicates expansion in the sector; a reading below 50 indicates contraction.
The June results marked the third time the index has risen above 60 since July 2022, when growth started to moderate from record-high levels during the height of the Covid-19 pandemic. The data underscore heightened logistics activity in June as importers took advantage of the pause on “liberation day” tariffs, which is set to expire next month.
“This is only the third reading above 60.0 in the past two and a half years,” the LMI researchers wrote in the June report. “The fact that all three of those readings have come in the last six months is indicative of the heightened—and somewhat unseasonal—level of activity that we have seen in the supply chain through the first half of 2025. While this has been positive in the short run, it does raise questions on whether the same level of demand will be present in the second half of the year when we would normally see it picking up.”
The LMI’s Inventory Levels index rose more than 8 points in June to 59.8. The buildup led to an increase in inventory costs during the month and a drop in warehousing capacity—which contracted for the first time since January 2023.
Transportation metrics remained relatively stable during the month.
“The swings we have seen with inventories have kept freight markets humming at a steady, if not spectacular, pace,” the researchers wrote.
The LMI is a monthly survey of logistics managers from across the country. It tracks industry growth overall and across eight areas: inventory levels and costs; warehousing capacity, utilization, and prices; and transportation capacity, utilization, and prices. The report is released monthly by researchers from Arizona State University, Colorado State University, Rochester Institute of Technology, Rutgers University, and the University of Nevada, Reno, in conjunction with the Council of Supply Chain Management Professionals (CSCMP).
