May Truck Tonnage Falls 11%; Month-to-Month Level Rises
Truck tonnage decreased 11% in May compared with a year ago, but increased from April, American Trucking Associations said late Friday.
The decline in the for-hire seasonally adjusted truck tonnage index left tonnage at a reading of 102.3. Even though the decrease was smaller than April’s 13.2% year-over-year decline, May’s decrease is still “historically large,” ATA said.
The index rose 3.2% from April, the first month-to-month increase since February, ATA said.
Without accounting for seasonal adjustment, the index gained 0.4% from April, but the improvement was not enough to offset the 6.7% cumulative reduction from March and April.
ATA Chief Economist Bob Costello said that though the monthly increase was encouraging, tonnage will not likely see a surge anytime soon.
“I am hopeful that the worst is behind us, but I just don’t see anything on the economic horizon that suggests freight transportation is ready to explode,” Costello said in a statement.
“The consumer is still facing too many headwinds, including employment losses, tight credit, rising fuel prices, and falling home values, to name a few, that will make it very difficult for household spending to jump in the near term,” he added.
ATA calculates the tonnage each month based on reports by its member trucking companies.
