The trucking industry is a dynamic industry.
Regulations shift overnight. Rates fluctuate at the drop of a hat. Every time new technology comes onto the market, most fleets haven’t gotten the hang of the previous one. For you, who are a truck driver or fleet operator, keeping up on all the news is a job in and of itself!
Staying compliant, staying profitable, and staying ahead is a reality, and it is only continuing to grow. What is good news is that once you understand what is causing these changes, you are in a much better situation to adapt.
The following are six big trends that are transforming the trucking industry and how they impact you.
1. Autonomous Trucks Are Moving from Test Roads to Real Highways
If you’ve been listening to trucking industry news, you are already familiar with the fact that driverless truck technology has moved beyond the concept and is now in use.
Autonomous trucks are not going to be restricted to controlled test environments anymore. There are actual trucks on actual highways, across multiple states.
That’s catching on with the regulators. The state of Texas recently launched a public complaint system for driverless trucks to enable citizens to submit safety complaints and check if autonomous operators are licensed. This is an important step. It indicates that regulators are not seeing autonomous trucks as a potential of the future, but as a reality today.
For road users, this is an issue of employment and safety. This is a real concern for drivers regarding employment and safety on the road. For fleets, it brings up the topic of cost reductions and operational coverage.
Regardless, autonomous trucking is not a trend to observe from afar, but already there on the roadside.
2. CDL Regulations are Tightening Across the Board
The landscape for licensing is changing rapidly, and it’s no longer a luxury to keep up. There have been a number of significant changes in a short period of time that directly impact how drivers qualify, work, and stay compliant.
Texas is implementing a change to administer all CDL knowledge exams in English, following federal guidelines. Many applicants took the test in other languages before that change, so it would impact a lot of them. Meanwhile, Ohio began a compliance audit for approximately 5,000 non-domiciled CDL holders, which could lead to some downgrades.
In addition, FMCSA is working on exemption requests related to non-domiciled CDL pathways, such as DACA recipients and some visas. A few years ago, Hawaii was granted a temporary exemption, creating a new CDL for qualified citizens of the Freely Associated States, of course, with one-year restrictions.
3. Spot Market Rates are Climbing — But Volumes Tell a Different Story
Freight rates have been in the news, but there’s more to the story than the numbers. Recent weeks have seen spot rates, dry van rates and flatbed rates at record levels. On the surface, it appears to be a good sign for carriers.
But freight volumes are in decline. The rise in rates and the decline in volumes is a red flag that should be taken seriously. It indicates that it’s not really demand that’s driving up rates but tight capacity. If capacity releases, then rates may react rapidly.
Timing load decisions in relation to changes in these fluctuations is extremely important for owner-operators and small fleets. When interpreting rates, understanding how and why they are moving now is more advantageous than just reacting to the load board.
4. Onboard Safety Technology is Becoming an Industry Standard
Increased use of Advanced Driver Assistance Systems (ADAS) is seen in commercial fleets. Lane Departure Assist, Auto Emergency Braking, forward collision warning, and Stability Control are increasingly being installed in new trucks. Once high-tech gear is fast becoming commonplace.
There is a lot of regulatory attention. The American Transportation Research Institute (ATRI) has just begun a survey to directly solicit feedback from drivers and motor carriers on safety technology adoption, use, and effectiveness in the real world. Such a broad effort in data collection indicates that the formal requirements for ADAS could be next on the horizon.
Outward-facing dash cameras were also mandated in British Columbia with legislation that passed while the research was underway. That already has an impact on cross-border carriers. As additional jurisdictions adopt this trend, dash cameras and safety tech compliance will become a regular requirement and not optional.
5. Truck Parking Crisis is Finally Getting Federal Attention
One of the biggest issues in trucking for years has been finding safe & legal parking. There are fewer truck parking spaces than needed to comply with Hours of Service rules. The lack of space creates a problem for drivers: They have to push their limits or park illegally, or get tired just to find a parking spot.
That’s beginning to change at the federal level. The House transportation bill that was recently passed provided for dedicated funds for truck parking, as well as FMCSA funding and freight movement support. Missouri has already made strides, hiring a contractor to install 255 new truck parking spaces at four I-70 sites, expected to be completed by the end of 2028.
In addition, Love’s recently added more parking for trucks at stops in New Mexico and Indiana. These improvements provide extra fueling, showers, laundry, and scale to travelers along those corridors. The parking situation is far from being resolved, but it is finally starting to get the federal money and private investment it needs.
6. Diesel Prices are Dropping and Affecting Operational Planning
One of the largest factors in trucking profitability has been fuel prices, and diesel has been trending upward. The national average fell more than 17 cents to $3.50 per gallon, and each region of the U.S. experienced a drop. The Midwest had the biggest one-week decrease, and it is a significant decrease that impacts the operating costs of drivers and fleets operating those lanes.
Lower diesel prices have a direct impact on per-mile margins, particularly for owner-operators. The calculations of fuel surcharges change. There are strategies for loading the price, which adjust. Maintenance budgets in the fleet can relax a bit. However, the price of diesel is sensitive to the seasonal demand and supply changes.
It is thus preferable to enter into fuel agreements or modify surcharge arrangements when fuel prices are low. Knowing the price trends regionally on a weekly basis can give you an edge in managing your bottom line, not just when prices start to rise.
Final Thoughts
The trucking industry is undergoing a transformation from several fronts. Self-driving cars are set to hit real roadways. There are plans to tighten up the rules for CDL. The signals in the spot market are mixed. Safety tech is going to be required.
Funds for parking are finally being delivered. And, diesel prices are opening up short-term margin opportunities! All of these trends are worthy of their own consideration. They can create an effective habit for drivers and fleet operators to adopt today: getting information.
