New ATRI Report: High Costs and Weak Demand Squeeze Trucking Profitability

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A new report from the American Transportation Research Institute (ATRI) highlights the tough financial reality facing the U.S. trucking industry as it continues to grapple with a freight recession and rising non-fuel costs.

Released July 1, ATRI’s “An Analysis of the Operational Costs of Trucking” found that average per-mile operating costs fell slightly — by 0.4% to $2.260 per mile in 2024 — driven mainly by a seven-cent drop in fuel costs. But when fuel is removed from the equation, the real story emerges: non-fuel costs rose 3.6% to $1.779 per mile, the highest ever recorded by ATRI.

Key cost categories hit record levels last year. Truck and trailer payments jumped 8.3%, reaching $0.390 per mile, while driver wages and benefits also increased, up 2.4% and 4.8% respectively. Insurance, tires, tolls, and other overhead costs similarly saw historic highs.

According to ATRI, despite lower fuel expenses, carrier profitability fell sharply in 2024. Average operating margins dipped below 2% in all sectors except less-than-truckload (LTL), while the truckload sector recorded an average operating margin of -2.3%.

The report points to several clear signs of market stress: truck capacity fell 2.2% as fleets sold off equipment, empty miles climbed to an average 16.7%, and drivers per truck dropped to 0.93 as companies sidelined rigs. Many fleets also cut non-driver staff by 6.8% to contain costs.

Despite the pressures, the report notes that fleets are keeping older trucks running longer and seeing improvements in average dwell time per stop and mileage between breakdowns — a sign of tighter cost control and operational discipline.

“The trucking industry is facing the most challenging freight market in years, with loads down and costs increasing,” said Greg Hodgen, President and CEO of Groendyke Transport, Inc. “ATRI’s data and customized benchmarking are more critical than ever as we navigate rising costs and shrinking margins.”

You can follow this link to access the full ATRI report.

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