Summary
The U.S. trucking industry is facing several challenges, including increased bankruptcies, labor issues, and declining demand. Experts point to factors like tariffs and economic pressures as contributors to these problems.
Key Facts
- The trucking industry moves about 11 billion tons of freight each year in the U.S.
- Trucking companies are filing for bankruptcy, with over 30 filing for Chapter 11 since early 2023.
- There is debate over whether the issue is a shortage of drivers or high turnover rates.
- Demand for freight services has declined since late 2022, contributing to a "freight recession."
- Tariffs on heavy-duty trucks, effective in November, may increase production costs for U.S. manufacturers.
- Freight volumes have been decreasing since early 2022, partly due to high tariffs affecting consumer demand.
- Some experts argue the industry currently has excess capacity rather than a shortage of drivers.
