Annual Truck Tonnage Declines 0.8% in June, ATA Reports

The American Trucking Associations' For-Hire Truck Tonnage Index reveals a 0.8% YoY decrease in truck tonnage for June 2023, the fourth consecutive annual drop. However, the index rose 2.1% compared to May, marking a sequential gain. ATA Chief Economist Bob Costello asserts that the freight market continues to face recession, driven by factors such as stagnant consumer spending, reduced home construction, and declining factory output. Nonetheless, the reducing magnitude of YoY declines might hint at a potential bottoming out in the freight market. Meanwhile, the Logistics Managers Index for June dropped to 45.6, indicating the sector's descent into recession. Other indicators like the DAT Truckload Volume Index suggest slower, but stabilizing industry dynamics.

Source: Transport Topics