Trucking tipping point

Plus: Economic uncertainty | FMCSA administrator named

The CEO of one of the largest trucking companies is sounding the alarm bell over the state of the industry, and Class 8 orders are trending in the wrong direction.

But good management and strong workplace culture could be the keys to weathering the storm. We're sharing a podcast that breaks it all down.

First though, here's a reel of the places truckers say they never want to drive in again. Any of them surprise you?

⬇️ $3.711

AVG. COST OF DIESEL PER GALLON IN U.S. AS OF 10/06, DOWN 0.043¢

Source: U.S. Energy Information Administration

ROADSIDE READS

"We’re at a tipping point." At a recent event in Texas, Werner CEO Derek Leathers laid out his top concerns, from rock-bottom freight rates to cargo theft. Here's the recap of what he said.

Investment advice. A fleet exec shares tips on why and how to invest in yourself, even if the up-front cost feels like a burden. Watch his advice in this short video.

What they're saying. Trading partner nations weigh in on Trump's announcement to place tariffs on truck imports.

Top 10. These are the most successful types of small businesses someone could start—and (spoiler) believe it or not, trucking is one of them 🚚 🚚

AGENDA

FMCSA gets new administrator for first time in 2 years

Derek Barrs is now officially the administrator of the Federal Motor Carrier Safety Administration, after he received Senate confirmation Friday. Trucking industry groups applauded Barrs' appointment, with the Truckload Carriers Association praising his "unique skill set and understanding of our industry," and the Owner-Operator Independent Drivers Association saying it looks "forward to working with him to advance the priorities of small-business truckers nationwide."

Why this matters: As head of the FMCSA, Barrs will play an instrumental role in shaping trucking's regulatory agenda. He already has the backing of major trucking lobbies, so the question is whether he'll follow through on addressing their priorities. (Overdrive)

The Supreme Court has agreed to hear a case that would determine whether freight brokers should be held liable in crashes or unsafe behavior that occurs in interstate commerce. The central issue: whether brokers can be considered equivalent to motor vehicles, and whether brokers should share the burden or responsibility in a lawsuit. Brokers like C.H. Robinson urged SCOTUS to reaffirm the lower court, which says federal law preempts state claims against brokers.

Why it matters: In previous court cases that question whether a broker is protected by safety exceptions, lower courts have ruled in different ways. How SCOTUS rules in this case will set a precedent for future lawsuits. It could determine if the broker hiring or matching the carrier to the shipper bears any responsibility in the event of a crash or other unsafe driving. (FreightWaves)

INDUSTRY VOICES

Economic uncertainty ripples from trucks to tires

"Uncertainty is kryptonite for businesses and financial markets," writes Kevin Rohlwing, the SVP of training for the Tire Industry Association.

Economic and trade uncertainty no doubt impacts freight movement and trucking companies directly, but there's also a knock-on effect to adjacent industries. Case in point: domestic manufacturers of truck tires are "also caught in the crosshairs," Rohlwing notes.

Why this matters: Businesses don't operate in a vacuum, and a slowdown in one industry is bound to impact another. If domestic tire manufacturers struggle, it could lead to imports of lower-cost, lower-quality tires along with fewer local service options. The end result: higher costs for fleets. (Fleet Owner)

FAST LANE

SLUGGISH TREND: Class 8 orders below 10-year Sept. average due to fleet hesitancy

LAW LOOPHOLE: Truckers driving within Texas state lines exempt from English rules

BORDER BACKLOG: System outage delayed US-Canada cross-border truckers

CLOSED DOORS: J.B. Hunt to shutter facility, impacting 74 workers

ON HOLD: White House halts $18B funding for NYC infrastructure

UNSAFE MOVE: Truck driver cited for towing semi with metal pipe

SEEN & HEARD

"Your ability to communicate and, more than anything, get
feedback from others is what separates a good manager from, quite frankly, a toxic manager." - Robert Pierson, Mesilla Valley Transportation

The old adage "people leave people, not companies" is not even really an old adage. It still holds true and could be the case at many trucking companies. On the Sense Per Mile podcast, Pierson discusses toxic workplace culture and how to ensure a manager isn't hurting your ability to retain staff. (Sense Per Mile)

ROAD REPORT

Shifting shipper dynamics are a boon for small carriers

Since the freight market turned in 2022 and a recession has lingered ever since, shippers have altered their logistics strategies. They've been looking outside of their core and contracted carriers to brokers, small fleets and owner-operators, playing both the contract and spot markets to find the best rates.

Why this matters: While freight rates remain low, this trend does present opportunities for small trucking companies to potentially win business. If shippers are branching out from their usual contracted carriers, they may find medium or small motor carriers that fit the bill. (Overdrive)