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The difference between last year’s high spot rates and this year’s average has dropped — but this year’s seasonal decline was less.
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ATA’s latest report on all freight transported by trucking in August showed another decline, but at this point the organization believes it’s unlikely that the economy is slipping into a recession.
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After fleets bought new trucks and trailers at records rates in 2018, this year has seen a major slowdown and the 2019 HDT Fact Book tells the story of this downward trucking trend.
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Nobody wants a recession. That said, the time to prepare your business for the possibility of a recession is now.
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Economic activity drives the freight market, but paying attention only to indicators of the economy’s overall health doesn’t tell the whole story of what may be ahead for trucking.
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With another tariff on imported goods from China expected on Dec. 15, pre-tariff shipping to build inventories may be responsible for a recent uptick in freight.
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Early reports on Class 8 truck orders for the month of August show a modest increase compared to July, but as manufacturers open up slots for 2020, it seems that fleets are in no hurry to fill them.
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Bad weather, tariffs, a later than usual Easter holiday – all of it contributed to trucking company results that were worse than the overall economic trend would lead you to expect.
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In HDT’s fifth annual Fact Book the second section deals with all aspects of logistics, giving a statistical look at how fleets are addressing available freight over the course of a year.
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New trailer orders in the U.S. recovered somewhat from an anemic June, increasing 22% month over-month and showing the first sequential month-to-month increase in nine months, according to ACT Research.
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