The Source for Trucking News, Opinions and Trucking Jobs | Freight outlook looking real good

Freight outlook looking real good
Freight demand remained very strong in this year’s second quarter, as motor carriers, ports, and even railroads continue to report record demand and - in some cases - rising profits.

Even with the rising demand there are still trucking companies going under because of higher registration fee, insurance, fuel prices and new toll roads to name only a few of the obstacles to making a profit in this business.

This article mentions Yellow, Overnight and Old Dominion Truck lines more than a few times. They are all reporting and raising expectations of profits for the next quarter.

Even railroads are finding themselves swamped with freight and scrambling for a means to carry it. Union Pacific Corp. (UP), in particular, is taking additional measures to manage traffic growth on its rail network: pressing nearly 2,500 extra trainmen into service, putting nearly 700 conductors into engineer training and acquiring 500 locomotives, all in the last nine months.

I always thought it would be cool to drive a train!

…record business volumes in each of the first six months of the year have made it difficult to improve service performance.” said Dick Davidson, UP’s chairman & CEO “In fact, during the second quarter of 2004, [we] handled more carloads than in any other quarter in its history.” He also noted that UP believes freight demand is only going to increase as the year progresses.” Looking ahead, demand continues to increase, with the upcoming peak shipping season demand expected to be at record-breaking levels as well.

What’s good for trains is good for trucks. Trains are having trouble hauling everything, demand for trucks is increasing, I guess it’s not at the point to raise wages yet.