How are the current gas prices affecting the industry?
“The impact is two-fold. First and foremost, it costs more to operate. Fuel used to be 20% of the operating cost of a truck, now it’s about 60%. In most cases the price of transporting the goods has barely increased enough to cover this additional fuel cost. Even businesses that are able to increase pricing to keep up are still losing profit margin, decreasing the value of their businesses. Secondly, consumer confidence is low (upcoming election, housing crunch, high gas prices) causing fewer goods to be purchased by consumers. Fewer goods sold directly translates into fewer loads for the transportation industry. Fewer loads either drives transportation prices down or puts smaller companies out of business.” What would happen if truckers were to strike? Is that a possibility? “A brief one-day strike has already occurred. The impact of which was probably not all that evident. A real strike would have to last more than a day to have a real impact, but the likelihood of that is low. The i
