Rebounding Economy, Tax Rules Spur Sales

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esurgent U.S. and global economies, favorable depreciation rules and a need to replace aging equipment are driving a boom in trailer sales, according to manufacturers and transportation industry analysts.

Still unclear, however, is the extent to which new driver hours-of-service rules will generate extra demand for trailers by increasing the use of drop-and-hook operations by shippers and freight carriers.

The driver work rules, which took effect Jan. 4, effectively reduce on-duty time for drivers and increase the time a driver must take off between shifts, causing a drop in productivity for some truck drivers.

Also clouding the picture is the fact that the price of a new trailer has jumped by several thousand dollars as manufacturers try to pass along sharply rising costs for steel and other materials.

For the full story, see the March 22 edition of Transport Topics. Subscribe today.