Tech.co’s latest survey revealed a decline in freight demand during the sector’s peak shipping season (August–October), signaling early signs of a potential “carrier purge.”
“Our latest research should set alarm bells ringing for the logistics industry, as one of its traditional busiest periods, the holiday season, looks under threat. High level demand is in steep decline, and shows no sign of abating. While we did see a momentary large uptick in activity earlier in the year, this was due to companies frontloading to get ahead of incoming tariffs. It's no surprise that 20% of respondents we spoke to in the industry told us that 'managing financial pressure' was their top priority,” says Tech.co’s editor Jack Turner.
Key takeaways:
· Typically, the holidays bring a natural rise in demand, but this year the number of logistics professionals reporting a high level of demand fell from 31% in August to 26% in October. This marks the lowest point that high level demand has reached, down from 41% in April.
· Meanwhile, the percentage of industry professionals who reported low level demand rose to 17% in the last six months.
· The trucking industry continues to face harsh market conditions and ongoing regulatory policies, which impact the level of demand, as the industry goes into its longest ever downturn of 3 years.
· The data shows a decline in business activity during the sector’s busiest season, suggesting that established seasonal patterns in freight demand may be shifting.
