Economic headwinds usher in challenging climate for fleets
This post is part of a series sponsored by IAT Insurance Group.
Historically high inflation, a looming recession and serious supply chain struggles continue to plague fleet owners and owner-operators who are the backbone of our economy, moving 72% of the nation’s freight.
Consumer spending is showing signs of slowing and an economic downturn or full-scale recession would significantly impact freight demand and margins.[1] Although that lower demand could help alleviate some of the pressure of the fleet driver shortage, smaller fleets are likely to feel more pain.
While larger fleets, with shipper contracts, will typically weather the economic storm, some will be forced to park trucks and reduce staff. With an estimated driver shortage of 80,000,[2] some fleets will have an opportunity to expand as there will be less competition for quality drivers.
While significant, these strong economic headwinds represent only of a few of the challenges