REPORT: Modest Improvement Coming for U.S. Trucking Market

Bloomington, IN – According to a new report, conditions in the U.S. trucking market weakened again in November, but analysts expect improvement this year.

The latest Trucking Conditions Index (TCI) report by industry analyst FTR Transportation Intelligence was not good news for trucking businesses as it declined to a reading of -1.58.

The TCI, which tracks changes in freight volumes, freight rates, fleet capacity, fuel price, and financing within the U.S. trucking market, dipped in November from its October reading of -1.04.

 

FTR analysts cited weaker spot rates as being primarily responsible for the continued softening in the trucking market.

Despite the decline, FTR expects market conditions to remain steady and in neutral territory until later in 2020, when conditions are expected to improve modestly.

Avery Vise, FTR’s vice president of trucking, says though conditions are “certainly not as good as trucking companies would like,” they are “not as bad as people may hear.”

Though 2019 was a devastating year with regard to trucking company failures, which topped Transportation Nation Network’s (TNN) list of biggest stories last year, Vise says it had more to do with skyrocketing insurance costs.


CLICK BELOW FOR TNN’S TOP 10 STORIES OF 2019


“We continue to see many business failures, but the principal driver appears to be trucking insurance costs, not market fundamentals,” he analyzes.

 

While he acknowledges capacity utilization is “low but stable” and weakness in manufacturing has “dampened freight demand,” he credits solid consumer spending and improving construction activity for “holding up a floor on volumes.”

Stay logged onto TransportationNation.com throughout 2020 for the latest in trucking business news.

 


RECENT BUSINESS NEWS

Trucking Groups Cheer North American Trade Deal as “Victory for American Truckers”

California’s Independent Truckers Score Win Against Controversial A.B. 5 Law

Owners to Shut Down Colorado Trucking Company After Almost 40 Years in Business

Trucking Company Ordered to Pay ‘Misclassified’ Drivers Almost $175K in Back Wages

 


FOLLOW TNN ON FACEBOOK & TWITTER


If you enjoyed this article, please help us grow by sharing it. Thank you!

SHARE YOUR COMMENTS



Pin It on Pinterest

Share This