In 2023, the trucking industry faced a record high operational cost of $2.270 per mile, driven by increases in costs excluding fuel, despite a decrease in fuel expenses. Marginal costs per hour slightly rose, with significant growth in truck and trailer payments, driver wages, and insurance premiums, amidst a soft freight market and higher deadhead mileage contributing to reduced profitability. PRIMO’s robust network and pricing intelligence directly address these rising operational costs by optimizing load-matching and reducing deadhead mileage, ensuring more efficient and cost-effective freight management for their clients.

• Record High Costs: The total marginal cost of operating a truck in 2023 rose to a record $2.270 per mile, despite a decrease in fuel costs¹.
• Cost Increases: Costs excluding fuel went up by 6.6%, with significant increases in truck and trailer payments, driver wages, and repair and maintenance costs².
• Insurance Premiums: Truck insurance premiums saw a notable increase of 12.5% per mile³.
• Operational Challenges: The soft freight market led to increased deadhead mileage and higher driver turnover rates, straining profitability across the industry.

Reference: ttnews.com