US trucking demand drops sharply in Q1! Cost per kilometer drops to $2.23!

According to data from FreightWaves, a transportation data company, fuel prices have risen due to the war between Russia and Ukraine. Since the beginning of March, demand for truck transportation in the United States has fallen sharply.

According to Dean Croke, an analyst at freight and analysis company DAT, in the first quarter of this year, the cost of truck transportation per kilometer in the United States fell from $2.78 to $2.23, a decrease of 55 cents. The decline in the same period last year was about 22 cents. Although fuel prices have risen, transportation prices have fallen instead.

Dean Croke said: "This situation is very worrying. If fuel prices continue to rise and transportation prices continue to fall, but truck transportation demand does not pick up, it will deal a major blow to U.S. truck transportation."

Further driving down U.S. transportation demand, soaring fuel prices have caused retailers to wait for orders to pick up and for goods to fill trucks before shipping. Retailers and other shippers are beginning to focus on efficiency rather than speed.

According to Deutsche Bank's forecast, U.S. trucking demand will continue to be weak in the second and third quarters, and is expected to rebound sharply in the fourth quarter driven by the holiday season. However, due to fuel and other issues, U.S. trucking will also fall into recession in 2023.

It is reported that the transportation demand of trucks in the United States fell by 0.3% in March. Currently, the US truck transportation market handles about 1 million pieces of cargo every day, ranging from food to furniture.

Editor ✎ Nicole/

Disclaimer: This article is copyrighted and may not be reproduced without permission.