TORONTO, (May 11, 2005) — Shippers should not expect a roll back in trucking rates as long as there’s a shortage of driver manpower and carriers continue to grapple with rising costs like fuel, insurance, and equipment, says the CEO of the Canadian Trucking Alliance.

Speaking to an audience of shippers, 3PLs, buying consortiums and carriers at a special meeting of the Chartered Institute of Transportation and Logistics in Toronto, David Bradley said even a softening in economic activity will not alter the capacity crunch that’s driving up rates and surcharges. “The reality is that the shortage of truck drivers is only going to get worse for the foreseeable future, which will take up any slack that might occur in volumes,” he said.

“Market conditions do not suggest that there is any reason for carriers to reverse course in their pursuit of reasonable margins,” he continued.

He said it’s only natural shippers will challenge their carriers and that the resolve of many carriers is being tested at the present time. While carriers will make their own business decisions there doesn’t not seem to be any major shift in the market that would suggest the industry should give up the gains it made recently, said Bradley.