Editorial: TT 100 Confirms 2001's Difficult Days

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The TT 100 report contained in this issue makes official what most of us already knew: 2001 was a tough year to be in the trucking industry.

A national recession leading to falling freight levels, a glut of used equipment leading to a sharp drop in the value of used trucks, a chilling of economic activity brought on by concerns over terrorism that exacerbated insurance rate hikes, and rising fuel costs all combined to produce one sorry year.

Almost 4,000 trucking companies, including some familiar names, went out of business during 2001, while others disappeared as they were consolidated into rival firms. About half of all for-hire truckers reported lower revenue for the year compared with 2000, and some 67% said they had lower profits.

In addition to documenting the travails of 2001, this year’s TT 100 includes for the first time a ranking of the top 100 private fleets in order to give a better picture of that sector.

While private fleets specialize in moving freight for their parent corporations, more of them are also soliciting freight from other customers, putting them in direct competition with for-hire carriers.

Later this year, Transport Topics will also publish its first ranking of the 50 largest logistics companies in order to provide a more complete picture of the transportation industry in North America.

s for events since the start of 2002, while there has been some improvement in the economic picture, trucking is far from out of the woods. Insurance rates continue to rise, and a government-mandated change in air pollution rules mean truckers will have to buy a new generation of untested engines to move their freight. New security rules also are leading to increased costs for trucking.

And there’s a dark cloud around the silver lining. Rising freight levels apparently are already beginning to deplete the supply of drivers.

Company quarterly results have definitely taken a turn for the better. While most executives are still striking notes of caution, the results they’re detailing show increased freight levels and much improved profitability.

Thus, while job generation hasn’t been as robust as hoped, the nation’s economy definitely seems headed for better times.

We’re all hoping that the 2003 TT 100 will paint a rosier portrait than did this year’s version.

This editorial appeared in the July 22 print edition of Transport Topics. Subscribe today.

(Click here for related coverage of the TT 100 from Transport Topics.)

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