According to US information company FTR, the US trucking industry can expect a notable upswing by mid-2013, mainly due to regulatory changes and steady freight growth.
In December, the company's Trucking Conditions Index (TCI) indicated a good environment for the industry, with a reading of 8.38. According to FTR, any reading above zero indicates a positive environment for truckers. Readings above 10 signal that volumes, prices, and margins are likely to be in a solidly favorable range for trucking companies.
Jonathan Starks, Director of Transportation Analysis for FTR, commented: “Despite recent commentary from some in the industry, we believe that the fundamentals for growth remain intact and continue to expect a significant event occurring in July when the Hours-of-Service changes are set to be implemented.
“The amount of capacity that will be affected by the rules is enough for us to expect an impact on rates; however, outside of spot rates, we are unlikely to see it show up in the data until the end of 2013. If the economic recovery continues during 2014 we could see a very strong year for rate increases throughout the industry.”