Trucking Industry Profile

The US general freight trucking industry includes about 65,000 establishments (single-location companies and units of multi-location companies) with combined annual revenue of $140 billion. Major companies include Con-way, JB Hunt, Schneider National, Swift Transportation, and YRC Worldwide. The industry is fragmented: the 50 largest companies account for 40 percent of revenue.

The industry is comprised of carriers that transport commodities for shippers using a commercial motor vehicle (CMV). General freight companies, including for-hire carriers and independent owner-operators, transport a wide variety of commodities using containers or van trailers. The industry does not include companies primarily engaged in flatbed, tanker, or refrigerated trailer transport. Express delivery services and moving and storage companies are covered in separate profiles.

COMPETITIVE LANDSCAPE

Demand is driven by consumer spending and manufacturing output. The profitability of individual companies depends on efficient operations. Large companies have advantages in account relationships, bulk fuel purchasing, fleet size, and access to drivers. Small operations can compete effectively by providing quick turnaround, serving a local market, or transporting unusually sized goods. The industry is labor-intensive: average annual revenue per employee is $145,000.

Trucking competes with other forms of cargo transportation, including rail, air, and water. However, the shift toward intermodal transportation means that these modes of delivery are often more complementary than competitive.

PRODUCTS, OPERATIONS & TECHNOLOGY

General trucking services include long-distance (85 percent of industry revenue) and local (15 percent) trucking. These classifications can be subdivided into truckload ...