Trucking Activity Index Slumps

It was a poor showing for the trucking industry the first half of 2009 as the tonnage index faltered with back-to-back monthly decreases in February and March.  The numbers reported by the American Trucking Association (ATA) said the year started on the upside but by March had quickly hit the biggest slump since things bottomed out in December 2008.  Although overall tonnage is up from February, that news is deceiving as traditionally March has marked 15 to 20 percent gains. Comparing tonnage from last year’s numbers, March shrunk by 12.2 percent in tonnage.

To more easily compare numbers from month to month the ATA seasonally adjusts their index and numbers for the March For-Hire Truck Tonnage were down 4.5 percent which virtually erased any gains made at the first of the year. Following a disappointing holiday season in November and December the trucking industry is facing a decrease in tonnage it hasn’t dealt with for over five years.          

Since the trucking industry is considered an important indicator of the economy as a whole, everyone from diesel fuel distributors to manufacturers to retailers are feeling the pinch.  To add insult to injury most industry watchdogs are saying the worst is still to come.  ATA’s chief economist and a handful of others have issued statements since the March numbers were reported and the consensus is that recovery is a going to be a long haul, and the end of the road isn’t in sight yet.  Their only advice for now is to keep on trucking.