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Trucking industry in bad shape
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Howdy, having worked in trucking through 2 recessions, there are numerous reasons "7000" companies have closed. Unfortunately the RR's had little to nothing to do with it. The primary eason is costs. Fuel has gone from under $1 a gallon to nearly $2/gallon several times over the last decade. <br />Fuel is about 25% of the cost of running a trucking company. If a typical operating ratio is over 90, it doesn't take much of a spike to drive it to 110. <br />Insurance is the 2nd factor. 9/11 raised rising prices dramaticly, just as it did to the RR excursion business. Some companies with good records can't afford insurance. <br />Technology, primarily EDI and Qualcomm/highway master is rapidly making the less than 50 truck fleet very non competitive. <br />Don't get me wrong, the railroads are doing very well, but we will never see them have the freight share they did in 1950 again. We do not haul coal, iron ore, grain, etc in the volume we did 50 years ago and never will again. One 53' trailer probably holds a million DVD's or CD's or thousands of copies of Mircosoft Train Simulator. We simply do not produce the stuff that railroads do well hauling in the quanities they used to. <br />Frank
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