Supply chains’ busiest period of the year gets off to a disappointing start, upending freighters’ hopes of a turnaround: While freight operators usually rake in massive revenues in the period from late summer to early fall as retailers rush to bolster inventories ahead of holiday-season shopping sprees, this year’s season has gotten off to a “whimper” as suppliers continue to work through excess inventories amassed during the pandemic period, the Wall Street Journal reports. Volumes of goods arriving at American ports have been trailing below 2022 averages all year and are projected to dip slightly in September and October, the WSJ wrote, citing National Retail Federation forecasts.

Major retailers like Walmart , Target , and Home Depot are in no hurry to stock up: Despite making headway working through overstocked inventories, retailers are hesitant to stockpile more goods without evidence of a rebound in consumer demand, WSJ wrote. Citing caution, discount retail giant Target is positioning for a “lean inventory position,” CFO Michael Fiddelke said, according to WSJ.

Changing consumer behavior is also a factor: Americans are choosing to spend more on services and experiences such as restaurants and travel and less on retail clothes, electronics, and other goods that move via supply chains. The change in spending patterns is another driver behind retailer’s impetus to hold back orders, WSJ wrote.

Where does this leave freighters? Carriers had pinned hopes on this year’s peak season marking a turnaround after 2022’s disappointing volumes, but the sluggish growth in imports this year is driving carriers to cancel routes and revise down their expectations for yearly bottom lines, WSJ explained. Maersk CEO Vincent Clerc indicated that retail and lifestyle shipments are down double-digits when compared to previous years, the journal reported citing statements made by the executive during an earnings conference call. “We do not see any sign of an expected volume rebound in the second part of the year,” Clerc reportedly said.

Logistics firms are progressively incorporating AI technologies into their operations, the Wall Street Journal reports. Many executives are interested in AI’s ability to reduce costs and boost efficiency, including freight brokerage RXO and trucking company XPO, who are looking at using generative AI to track shipments, book loads, and declare imports. Logistics companies also say that AI can enhance forecasting, procurement, inventory management, and shipping decisions. Experts also believe the technology can improve customer experience by providing customized and pertinent responses, unlike chatbots that are equipped with pre-set answers.

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