Although more carriers report plans to expand and acquire equipment in the coming months, they will do so cautiously and only if certain conditions improve, according to a recent quarterly survey
by Transport Capital Partners.

"Carriers are sensing an improving environment, with fewer interested in selling," said Richard Mikes, a managing partner at TCP, which consults with transportation companies on mergers and acquisitions and other areas. "At the same time, there appears to be a slight shift to considering equipment acquisitions for replacement but adding only if certain criteria are met."

According to the survey, 38 percent of carriers expressed interest in buying other carriers in the next 18 months, while over 70 percent expect credit availability to stay the same or increase over the next two years. TCP reports that 19.6 percent believe credit availability will decrease over the next two years, while 27.3 percent expect it to improve.

The survey also found that fewer carriers are interested in selling in the next six months. "Many carriers are asking themselves, 'Why sell now, when a better time may be in a year when credit and volume conditions and pricing are improving?'" said Lana Batts, a managing partner at TCP.

The number of carriers planning to acquire under 10 percent of their fleet dropped to 63 percent from 68 percent in the previous quarter. Meanwhile, 26.3 percent said they are acquiring 10 to 25 percent of their fleet, up from 23 percent in the prior quarter. However, almost a third of those surveyed said they will add capacity only when the current fleet is fully utilized and rates increase sufficiently.

"The current month's uptick in Class 8 sales is a confirmation of respondents general optimism for the future," Mikes said. "However, responses to a question about adding capacity shows some caution is in the air, primarily until rates and volume improve."

Sixteen percent responded that they had no plans to add capacity in the foreseeable future, while another 25 percent will not add capacity until the economy improves. Almost 33 perdent said they will only add capacity when all their fleet is utilized and rates increase.

"Clearly carriers believe they will make more money by raising rates than by adding capacity," Batts said.