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More demand, less supply, thanks to COVID-19

More demand, less supply, thanks to COVID-19



The pandemic generated chaos in the world, especially in the freight environment. US has experienced a serious driver shortage while was introduced a high demand for food and beverages from consumers, because of a behavioral change regarding e-commerce. Consequently, the freight rates have been raising, causing a lot of problems to the sector.

Supply chain and demand are unbalanced. Customers are bored, since they cannot continue with their normal life, going out to concerts or dinner. Then, they are buying more online. Fleets are investing in new vehicles but hiring drivers has been difficult comparing to last year for different reasons such as: Federal’s unemployment benefits, drivers failing or refusing drug tests (federal Drug and Alcohol Clearinghouse), drivers deciding to have their own business, and more. This higher consumer demand has been good for the sales of medium duty trucks, specially the refrigerated ones.

It is still too soon to say goodbye to this unfortunate moment, but it seems that transportation industry and specially their heroes, the drivers, will still be very indispensable for the transportation sector during 2021. Especially on the distribution of the approved vaccines across the country that will require refrigerated trailers. If people maintain their vigilance, during holidays, regarding the measures to avoid spreading COVID-19, they will prevent the impact of a new shutdown.







El Trailero News

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Edic.: 161
Autor: El Trailero Magazine
Date: 12/2020


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