NASHVILLE, Ind. — The Trucking Condition Index, as measured by industry analyst FTR Associates, reached its healthiest level of the current recovery in December.
The index rose to 7.1 in December, reflecting tightening capacity. FTR Associates says its index is expected to continue to improve, possibly reaching a new record in 2012.
The index is a compilation of factors that affect trucking companies. Projections point towards increased vehicle utilization and solid pricing power for carriers over the next few years, FTR announced.
The organization also said it expects the delays in implementation of HoS and CSA regulations to push out the peak shortage timing to early 2012.
“We have been forecasting steady improvements for the trucking sector,” said FTR Associates president, Eric Starks. “Conservative fleet attitudes towards adding drivers and equipment combined with the continuing growth of freight means that trucking companies should see their equipment utilization nearing 100% later this year. As a result, carriers will have greater latitude to both raise rates and to be more selective with regard to freight. Despite the impact from regulatory drag being moved further out, improving economic conditions will help make 2011 a good year for trucking companies.”
Truck News is Canada's leading trucking newspaper - news and information for trucking companies, owner/operators, truck drivers and logistics professionals working in the Canadian trucking industry. All posts by Truck News