TRUCKING OPERATING COSTS REPORT HIGHEST JUMP SINCE 2008

As we continue to hear of looming equipment and driver shortages in the coming months, a recently released report by the non-profit American Transportation Research Institute shows that truck operating costs rose 9.3% to more than $1.70 per mile in 2011.  Reasons cited for the increased costs were fuel and oil, driver wages and new engine [EPA] costs.

Tightening capacity and increasing operating costs are catalysts for upward pressure on rates across the board for truckload, LTL and specialized carriers.  Experienced third-parties have navigated these difficult roads many times in the past couple of decades and proven to be force equalizers to help their clients control the rate of cost increases and ensuring available capacity. Smart shippers are fortifying relationships with 3PL’s in the event of further strained capacity.

The third party logistics industry continues to grow at more than 4 percentage points than the gross domestic product and Kingsgate Transportation has been helping our clients manage these turbulent times since 1986.

To download a copy of the ATRI report, sign-up for the report at www.atri-online.org