FTR’s May Trucking Conditions Index just barely changes M/M

FTR’s May Trucking Conditions Index just barely changes M/M

Weak rates and elevated financing costs are expected to offset tiny incremental improvement in freight demand and utilization.

FTR’s Trucking Conditions Index for May showed miniscule month-over-month improvement to a reading of -3.75 from -3.88 in April, indicating a mildly negative environment for carriers. Falling fuel prices, slightly less unfavorable rates and utilization offset weaker volume in May as market conditions remain weak but stable. According to its findings, FTR’s TCI forecast is negative through the middle of 2024. In general, weak rates and elevated financing costs are expected to offset tiny incremental improvement in freight demand and utilization.

“If there’s any good news for trucking companies, it’s that conditions are not really deteriorating. Freight volume is largely stable, and driver capacity appears to be falling steadily but slowly. However, this market climate could stick around well into 2024, resulting in weak freight rates and low margins,” Avery Vise, vice president of trucking at FTR, commented. “Solid financial management has never been more critical as trucking companies cannot count on a rising tide lifting all boats anytime soon.”

You May Also Like

Range Energy receives $23.5M in new financing for electric trailers

This recent funding follows the company’s $8M seed round from November 2022, bringing total funding to $31.5M.

Range-energy-trailer

Range Energy announced a $23.5 million new financing round led by Trousdale Ventures and with participation from UP.Partners, R7, and Yamaha Motor Ventures. Range says it will use the money to expand customer pilot programs for its electric-powered trailers, as well trailer production. Additionally, Range says it is also working to develop a new trailer data and telematics platform. 

MEMA responds to finalized EPA Phase 3 standards

MEMA and its members welcome the EPA’s final rule for Greenhouse Gas Emissions Standards for Heavy-Duty Vehicles.

Mema-the-vehicle-suppliers-association-epa-phase-3-emissions-heavy-duty
The search is on: Returning initiative to reward military veteran driver with Kenworth T680

The competition is searching for America’s top rookie military veteran driver, who transitioned into trucking after military service.

Kenworth-T680-donated-transition-trucking-military-veterans
Full Truck Alliance releases 2023 fiscal report

FTA says y/y net revenues and fulfilled orders were up considerably, while its net income more than quadrupled from 2022.

transprotation-market-generic
NACFE: natural gas sits in ‘messy middle’

The organization believes RNG to be a good fuel for fleets looking to decarbonize now, but expects some companies may hold out for BEVs.

NACFE-Natrual-Gas-Confidence-Report-Cover

Other Posts

S&P Global Mobility: U.S. commercial truck market beat expectations

According to new CV registrations in 2023, 45% of upfitted vehicles are being used as service/utility vehicles, or as dry freight vans.

Generic-commercial-vehicle-market-data-sp-global-mobility-upfitting
Last Peterbilt Model 389 raises $1.5M for charity, so far

Peterbilt and Rush Truck Centers split $1.5M between two charities, the last Model 389 is now part of a sweepstakes which will benefit a third.

Peterbilt-Rush-Truck-Centers-last-model-389-donation
Volvo, Westport joint venture to reduce long haul CO2 emissions

The companies anticipate that the joint venture will become operational in Q2 of 2024.

westport-logo-volvo-reducing-carbon-dioxide-co2-emissions
EPA finalizes Phase 3, slows stringency before MY 2032

The new emissions standards are expected to improve public health and air quality, while giving companies enough lead time to meet the goals.

EPA-emissions-trucking-generic