Why I believe a freight recession is imminent
https://www.freightwaves.com/news/why-i-believe-a-freight-recession-is-imminentLast week, I published an article entitled “Just 3 years after 2019’s trucking bloodbath, another is on the way.”
For anyone who lived through the trucking debacle of 2019 – when carrier after carrier suddenly shut their doors – the thought of experiencing that again is truly frightening. After all, we lost some very large carriers during that period , including Celadon, Falcon and NEMF, just to name a few. In addition, we lost thousands of small and mid-sized trucking companies. In addition, major 3PLs conducted aggressive reductions in force.
The article stoked controversy. Some disagreed with my call and voiced it directly to FreightWaves or on social media.
First off, different opinions and disagreements are part of a healthy market. When I started FreightWaves in 2017, the goal was to create transparency in the freight market, much like you see in the financial markets. In order to accomplish transparency, there needs to be an open dialogue between those of us interested in the direction of the freight market.
A freight recession is likely. This could contribute to inflation on top of supply chain problems.
