The trucking industry experienced a decline in combined parts and labor costs by 2.3% year-over-year in the first quarter, with parts costs decreasing more significantly than labor costs. This trend is largely attributed to an increase in new truck availability and resolving supply chain issues, although labor costs are still pressured by a shortage of new technicians. PRIMO’s robust network and advanced freight management solutions address these industry challenges by facilitating more stable and predictable logistics costs.

• Decline in Costs: The trucking industry saw a 2.3% year-over-year decrease in combined parts and labor costs in Q1, driven by a decline in parts costs despite a 0.9% increase in labor costs.
• Quarterly Drop: Combined expenses also fell 1.7% from the prior quarter, with parts costs decreasing 2.4% and labor costs declining 0.8%.
• Supply Chain Improvements: The influx of new trucks and resolution of supply chain issues contributed to the drop in parts costs.
• Labor Challenges: The ongoing shortage of new technicians continues to drive up labor costs, requiring higher spending to attract and retain qualified help.

Reference: ttnews.com