Sustained freight recession with soft pricing pressure
Definition
The trucking industry has been in a sustained freight recession since the COVID-19 pandemic, characterized by reduced demand for goods, fewer loads being shipped, and soft pricing in the shipping sector. Logistics executives report lower freight orders and declining freight rates with no growth expected. This directly reduces revenue for small carriers and owner-operators who compete on volume. The reduced revenue is compounded by rising operational costs, creating a squeeze on profit margins. Small operators lack the scale to absorb pricing pressure that large carriers can manage through diversification.
Key Findings
- Financial Impact: $80,000-$250,000
- Frequency: ongoing
Why This Matters
Load optimization software, freight broker alternatives (peer-to-peer load boards), specialization in high-margin lanes, digital freight marketplaces with dynamic pricing
Affected Stakeholders
Fleet Manager, Owner/Operator
Deep Analysis (Premium)
Financial Impact
Data available with full access.
Current Workarounds
Data available with full access.
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Methodology & Sources
Data collected via OSINT from regulatory filings, industry audits, and verified case studies.
Related Business Risks
Non-fuel operating costs at historic highs
Insurance costs increased 36% over eight years
Volatile and rising fuel costs impacting operations
Massive cargo theft epidemic with organized criminal networks
Organized undercutting by foreign carriers with non-compliant practices
Freight broker rate compression below cost of legal operation
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