Plus, a tornado devastated a FedEx facility in Michigan, Costco received Tesla Semis, and US-Mexico trade reached $200 billion in Q1.
Integration of #1-rated owner-operator load board and #1-rated TMS software expands services for brokers and carriers.
Tornadoes have swept through states like Michigan, damaging facilities like a FedEx depot in Portage. Plus, a major storm continues to unleash rain, snow, and wind across Montana.
Data from CarrierOK shows a steep net loss of carriers from 2022-23, a trend not seen in the past 25 years.
Data analyzed by CarrierOK says that nearly 88,000 trucking companies have closed their doors in 2023, alongside 8,000 freight brokerages.
To compile the data, the company looked at MC# revocations, reinstatements, and grants over the past twenty-five years. Arriving at an accurate figure for trucking firm closures is difficult, and this figure raises alarms.
A Steep Decline: The chart from CarrierOK shows a significant net loss of carriers from 2022-23, a trend not seen in the past 25 years.
In 2019, nearly 800 trucking companies ceased operations, more than double the rate of closures in 2018. This was during the start of the pandemic when stay-at-home measures led to a drastic drop in freight movement.
The average size of the trucking companies that failed in 2019 was also notably larger than those in 2018, with the closed companies in the first three quarters of 2019 having an average of 30 trucks, pulling nearly 24,000 trucks off the roads.
The drop worsened moving into the beginning of 2020, with over 3,000 companies ceasing operations that year, according to available data.
Following the surge in e-commerce and freight recovery throughout 2021-22, we entered a freight recession this year, bringing major layoffs, bankruptcies, and significant closures.
As the dust settles, the market is recalibrating, potentially paving the way for a more streamlined and resilient future.
Source: CarrierOK/LinkedIn
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