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Home » The U.S. Doesn’t Have Enough Truckers, and It’s Starting to Cause Prices of About Everything to Rise

The U.S. Doesn’t Have Enough Truckers, and It’s Starting to Cause Prices of About Everything to Rise

May 30, 2018
The Washington Post

A year ago, when customers would call Brenny, she could almost always get their goods loaded on a truck and moving within a day or two. Now she's warning customers it could take two weeks to find an available truck and driver.

Shipping costs have skyrocketed in the United States in 2018, one of the clearest signs yet of a strong economy that might be starting to overheat. Higher transportation costs are beginning to cause prices of anything that spends time on a truck to rise. Amazon, for example, just implemented a 20 percent hike for its Prime program that delivers goods to customers in two days, and General Mills, the maker of Cheerios and Betty Crocker, said prices of some of its cereals and snacks are going up because of an "unprecedented" rise in freight costs. Tyson Foods, a large meat seller, and John Deere, a farm and construction equipment, also recently announced they will increase prices, blaming higher shipping costs.

The trucking industry shows an extraordinary labor shortage in one corner of the economy can spill out and affect the economy more broadly.

"I've never seen it like this, ever," said Brenny, who has been in the trucking industry for 30 years. "It doesn't matter what the load even pays. There are just not drivers."

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KEYWORDS consumer packaged goods E-Commerce/Omni-Channel Express/Small Shipments Food and Beverage Global Supply Chain Management HR & Labor Management Logistics Logistics Outsourcing LTL/Truckload Services North America Retail SC Planning & Optimization SC Security & Risk Mgmt Supply Chain Visibility Technology Transportation & Distribution Transportation Management
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