Trends Transforming the Trucking Industry Outlook In 2023

In the past year, the trucking industry has undergone tremendous changes in how it operates and the types of trucks making their way to marketplaces. The industry in the United States has had its share of ups and downs over the course of the year, all of which have impacted the overall production and development within this space.

That's why most trucking companies find it more convenient and practical to be part of a Consortium/Third-Party Administrators (C/TPAs) like Labworks USA to manage all, or part, of an employer's DOT drug and alcohol testing program and other DOT or FMCSA compliance needs. THIS SAVE THEM A LOT OF TIME AND RESOURCES that they can redirect on any unprecedented additional expenses. We perform tasks as agreed to by the employer to assist in implementing the drug and alcohol testing program and to help keep the employer compliant with the DOT/FMCSA Drug and Alcohol Testing rules and regulations. We as a DOT Consortium can help you.

The industry has been impacted by many things and work has changed as a result.

As we approach 2023, it is time to take a look at some of the trends that are likely to emerge in the coming year and see how they would impact the industry.

The world is experiencing rapid industrial development due to the amazing application of technology that is now being experienced. This is resulting in incredible changes and progress in many industries worldwide.

Here are 9 trends that are likely to surface in the coming year within this industry:

1. Carrier Bankruptcy

It is unlikely that the trend will change in the coming year unless there is a significant increase in the retail industry and a significant increase in the flow of freight. The shortage of movement of goods has resulted in a drop in profitability for many retail companies that rely on trucking companies to transport their merchandise.

Currently, at least three thousand truckers are unemployed due to the closing down of these companies. This has led to a growing number of unemployed people. In recent months, many trucking companies have been forced to close their doors due to the harsh market conditions prevalent in this industry.

2. Improvement Of Technology

The shortage of movement of goods has resulted in a drop in profitability for many retail companies that rely on trucking companies to transport their merchandise.

This has resulted in increased efficiency, safety, and productivity across the board. It is unlikely that the trend will change in the coming year unless there is a significant increase in the retail industry and a significant increase in the flow of freight.

The ever-evolving landscape of technology has had a profound and positive impact on many industries, the trucking industry included. What was once a largely manual and analog process has been modernized and streamlined thanks to advances in technology, from the corporate offices of trucking companies to the trucks themselves.

As trucks are increasingly being equipped with better technology, more of them are beginning to incorporate 'smart' technology to improve the vehicle's functionality. This is a marked improvement from the past and bodes well for the future of trucking. The corporate world is beginning to take advantage of several software programs to help make their operations more efficient and streamlined. With the help of these innovative tools, businesses are able to optimize their productivity and gain a competitive edge.

The notion of 'tracking order' is something that has led many trucking companies to establish technology that helps them keep tabs on the goods being transported, as well as because they need to communicate this information to the customers purchasing the goods.

3. Higher Number of Mergers

Despite the harsh market conditions, many companies are choosing to merge with other companies rather than go under. This alternative route is helping keep the industry alive.

As the trucking market continues to decline, many trucking companies will be forced to merge with other companies in order to survive. There are two main types of mergers that trucking companies are likely to pursue:

One option for mitigating the effects of a challenging market is to merge with another trucking company. This can provide the combined entity with greater resources to weather the storm and even expand into new territory.

Trucking companies can expand their services by merging with a company in a different sector. This would then allow them to maintain their current position until the market becomes more favorable.

4. Shift In Production Locations

In recent years, the production locations for some of the world's most renowned trucking companies have remained steadfast, and the industry has only continued to grow.

However, an increasing number of companies are looking to expand their production operations to newer locations, in order to meet the ever-growing demand for trucks.

The sweeping trend of relocating operations to new locations is rampant across the transportation and freight industry - not just within the trucking sector.

5. A Market Flip

Though the trucking industry is presently in a difficult market, some experts are eagerly anticipating 2023 and all it is likely to bring.

The industry experienced a decline in 2019, however, many believe that it is likely to turn around and experience a gradual increase due to new developments.

A market flip is expected to emerge in 2023. This can help the entire industry by aiding companies that are struggling and may go under if current market conditions do not improve.

6. Changes in Pricing

The low prices that truckers currently operate at are considered to be incredibly low, so much so that truckers earn far less than the average American. During 2019, the prices that truckers worked with experienced a significant decline because of the shortage of jobs.

As the market began to decline, trucking companies started to charge less for fear of not being able to get work at all. In 2023, trucking companies’ pricing will likely change, either for the better or worse. If the market continues to decline, trucking companies will have to lower their prices even further in order to stay afloat.

As the industry grows, so too will the prices of trucking services. Companies will have to adjust their prices in order to keep up with the demand and keep their business afloat. There is no doubt that these changes will be significant and will have a major impact on the trucking industry.

Here's a list of DOT Consortium services we offer at Labworks USA with respective rates that can be your reference to have better expense projections.

The e-commerce industry has seen unprecedented growth in recent years, to the point where people now prefer to shop online than in-store. This shift in consumer behavior is sure to have a lasting impact on the retail landscape.

The online world has a vast variety of fashion options to choose from and the industry has bloomed because of it. It is now one of the most successful industries today.

However, it is important to note that the e-commerce industry would be crippled without the trucking industry.

This industry relies on the skill and dedication of truckers to transport goods from one place to another. The trucking industry is essential to the success of e-commerce and will continue to improve as the industry grows.

As the e-commerce industry is booming and expected to continue growing in 2023, the trucking industry is likely to experience some positive growth as well. This is something to be hopeful for, as it would mean more jobs and opportunities for those in the trucking industry.

8. Rising Fuel Costs

Over the years, fuel costs have only risen because of the limited nature of this resource, which always impacts the trucking industry. Fuel has always been one of the bigger factors when accounting for trucking companies’ expenses.

The rising fuel costs have always been a concern for companies operating within this industry. However, the solutions present for this are far more than what the industry had in the past.

Today, trucking companies can opt to go in for alternative fuel trucks or even electric trucks to cut the daily costs they would have to spend on fuel.

However, this does not mean that an investment does not need to be made for these new vehicles. Trucking companies need to be aware of the expenses incurred when making these new additions.

9. Urbanization

One of the most beneficial developments that the industry is likely to experience in the coming year is the growth of urbanization. Over the past few years, most of the country has experienced wide-scale development, with most rural areas being converted into bustling urban landscapes. This growth is sure to bring new opportunities and challenges for businesses and individuals alike, and we can only wait in anticipation to see what the coming year has in store.

The trucking industry can now expand its horizons and offer its services to a much wider customer base, thanks to the fact that it is now easier for trucks to traverse through parts of the country that were previously inaccessible. This represents a significant business opportunity for the trucking industry and one that is sure to be seized in the coming months and years.

The trucking industry can now expand its horizons and offer its services to a much wider customer base, thanks to the fact that it is now easier for trucks to traverse through parts of the country that were previously inaccessible. This represents a significant business opportunity for the trucking industry and one that is sure to be seized in the coming months and years.

In Conclusion

All of these developments will likely alter how the trucking industry will function in 2023. As a truck driver, you should be updated with these trends so that you could plan more for your trucking in the year to come.

Need Help?

At Labworks USA, we are more than just a Consortium. We go beyond our usual service to make sure you are all set winding down the road without worrying about your DOT and FMCSA compliance. Reach out to us today.

If you are looking for more information about drug and alcohol testing as a truck driver, visit LabWorks USA. Our DOT Consortium's friendly team will be more than happy to discuss any concerns you may have and work with you to ensure you are always fully compliant especially with random DOT drug and alcohol testing pre-employment testing. Moreover, if you need help with FMCSA Clearinghouse registration, we can further support you.