‘Calm Before the Storm’ For Trucking Conditions

Industry REPORTs

Update 2016 – Truck driver Supply and Demand Gap CPCS Final Report. Click Here...

CTA Blue Ribbon Task Force on the Driver Shortage Report. Click Here...

More Reports


More Media


Posted on August 18th 2015 4:10 PM

Current US trucking market conditions could be the calm before next year’s storm, which could bring a major shift in capacity availability – as much as 10% either way — as a result of economic and regulatory forces, says Noel Perry, senior transportation economist at FTR.

As reported by Truck News, Perry insists the trucking industry is currently experiencing a calm before next year’s storm, which he says could  see capacity either drastically decreased by productivity-choking regulations or increased due to an incoming recession.

Trucking could face an “unprecedented range of outcomes” over the next few years, he explains:

“A swing of just 5% is enough to dramatically impact pricing in the marketplace. A swing of 10% – that would be a disruptive event, for both transport executives and supply chain professionals. There will be companies with their heads stuck in the sand; you don’t want to be one of those companies.”

FTR acknowledges the chances of a recession are increasing, due to bad economic news elsewhere in the world and a recovery that is “clearly getting old,” Truck News reports.

However, the arrival of new safety regulations could push capacity utilization to 100%, giving carriers some welcomed pricing power and putting supply chain professionals in the hot seat.

Comments are closed.