Trucking companies struggle as cash reserves deplete amid economic challenges

Posted on August 29, 2023   |  

Federal records highlighted an ongoing trend of over 110,000 net truck deactivations over nearly a year, raising alarms.

Federal Motor Carrier Safety Administration data unveiled a constant 44-week pattern of net truck deactivations, indicating a persistent decline.

Increasing interest rates are straining trucking businesses, resulting in heightened finance expenses, as noted by industry insiders.

Transportation technology service Motive (formerly KeepTruckin) reveals a significant drop in new carrier launches, a 29% decrease since the year's commencement, resembling figures from 2019.

Larger fleets, encompassing five or more vehicles, are now experiencing the impact of the industry's downturn, extending beyond the initial effects on smaller enterprises.