- Diesel prices have increased by $0.71/gal since July 4.
- Small carriers in the spot market have been hit hardest by the price surge.
- The number of interstate carriers exiting the industry has increased in August.
Interstate Carriers Facing Challenges
According to a recent report by DAT Freight & Analytics, the surge in diesel prices since July 4 has had a devastating impact on small carriers operating in the spot market. These carriers, who already face numerous challenges in the industry, are now bearing the brunt of the increased costs. With diesel prices rising by $0.71/gal, these carriers are struggling to stay profitable and are being forced to make difficult decisions.
Exodus of Interstate Carriers
The report also highlights a concerning trend of interstate carriers exiting the industry in August. As the challenges of the trucking industry continue to mount, many carriers are finding it increasingly unsustainable to stay in business. The combination of rising diesel prices, increased competition, and regulatory burdens is pushing these carriers to their breaking point. This exodus of carriers further exacerbates the problems faced by small carriers in the spot market.
A Grim Outlook for Small Carriers
The current situation paints a grim outlook for small carriers operating in the spot market. With diesel prices on the rise, these carriers are facing intense financial pressure and may struggle to survive. The increasing number of carriers exiting the industry only adds to the uncertainty and instability. It is clear that significant changes and support are needed to provide relief to these struggling carriers.
Hot Take: The Trucking Industry Needs Relief
As the diesel prices continue to surge and small carriers in the spot market suffer, it becomes evident that the trucking industry needs immediate relief. The challenges faced by these carriers highlight the urgency for policy changes and support to ensure their survival. It is crucial for the government and industry stakeholders to address this crisis and find solutions that will protect the livelihoods of these carriers and maintain a strong and thriving trucking industry.
This blog post has been generated using the information provided in the article:”Dry Van Report: Interstate carrier exits accelerate in August” by “Dean Croke”.
Check it out at: https://www.dat.com/blog/dry-van-report-interstate-carrier-exits-accelerate-in-august.