The remainder of 2010 will continue to be challenging for all transportation companies. Some experts explain there is excess capacity simply ‘parked’ which can be utilized with little notice. Other transportation experts believe there will be shortages of both trucking equipment and truck drivers. Wilson believes the transportation industry has leveled off to adequate market capacity levels, but expressed concerns how the industry will facilitate future economic growth as demand returns and freight pricing increases.
Owner Operators and Truck Companies who survive the industry will have an undoubtedly optimistic future. Experts believe Capacity will tighten and cheap freight rates will disappear as rates rise. Manufacturers and Distributors must maintain strong freight relationships in order to position themselves favorably as freight prices begin to climb with economic recovery.
Other experts argue that modest rate increases will be realized in 2010, but that largely freight pricing will remain reasonably flat going forward. There are many factors which are yet to be determined and issues facing our economy and transportation industry. One thing is for certain: If one asks around enough about the feeling of the industry, there is certainly an optimism for a long awaited economic recovery for Owner Operators, Truckload Carriers, LTL Carriers, Shippers, Manufacturers, and Distributors alike.
By Brad Hollister
Director of Business Development
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