Trucking industry trends are often difficult to determine. So many possibly bad occurrences often have a positive side, while what may look like a positive trend could have bad results.
For example, the strong US dollar has brought many benefits across the board, including for the trucking industry. The downside of a strong dollar however, is a decrease in exports, which has a negative effect on commercial trucking.
Is It All Bad News?
There are many negative trends that are currently hurting the trucking industry, including:
- Low diesel prices- energy sector issues
- Strong dollar-decrease in exports
- Dismal first quarter earnings – show recovery slow for trucking
- Driver shortages- makes it hard to cover deliveries and routes
- Government Regulations – making it even harder to retain drivers
So is it all bad news for the trucking industry? Is commercial trucking about to deal with another Great Recession?
If the economy continues its snail pace recovery, then the trucking industry may see some positive growth. If the US enters a recession, however, then the resulting decrease in freight volumes could mean commercial trucking companies will continue to struggle.
So what is the future for commercial trucking? At this point the crystal ball is hazy. But monitoring trends such as inventory levels and rail car loading data can help you determine if trucking is on the road to recovery.
With an uncertain future, making sure your company has the right insurance coverage will make sure your fleet is protected from the unknown. Contact the experts at Alexander & Alexander for more information.