Fuel prices hit trucking

| Print |  Email
Tuesday, July 01, 2008

STATEWIDE In the words of Oregon Trucking Association president Bob Russell, state truckers are “painfully” grappling with soaring diesel prices.

In the first week of June, the average price for diesel on the West Coast was $4.87 per gallon, nearly $2 more than a year ago. California is the priciest, at just over $5 per gallon, according to the Energy Information Administration.

The price increases hit small and independent big-rig truck operators especially hard because their profit margins are already slim. It takes $1,500 on average to fill up a truck now, Russell says, costing operators hundreds more dollars each time at the pump.

Current troubles in the overall economy equate to a “double whammy” for truckers, too, Russell says. There’s less demand for product shipping, which means less business for truckers.

Among his 784 members, Russell says truckers who haul logging and forest products are being hit the hardest. That business has dropped 50% from the same time last year.  With others, business has declined by up to 25%.

Russell says only a handful of his members so far have been forced out of business because of fuel prices. But nationwide in the first quarter of this year, the American Trucking Association reports that more than 900 operators have shut down, up from 385 last year.

At Portland-based Fleet Truck Sales, sales are down from this time last year, says Rick Vasquez, a sales representative for the company. He sees some silver lining, though, because as more operators go under, there’s more freight to be hauled for remaining operators.  

“Freight’s still gotta move, and the cost is going to be passed on,” Vasquez says.



To comment, email This e-mail address is being protected from spambots. You need JavaScript enabled to view it .

 

More Articles

The best crisis is the one you avoid

Contributed Blogs
Wednesday, April 15, 2015
crisisthumbBY GARY CONKLING | GUEST BLOGGER

Avoiding a crisis is a great way to burnish your reputation, increase brand loyalty and become a market leader.


Read more...

It's a Man's Man's Man's World

May 2015
Friday, April 24, 2015
BY AMY MILSHTEIN

Male tech workers speak out on the industry's gender troubles.


Read more...

Much ado about data-driven organizations, for good reason

Contributed Blogs
Monday, April 13, 2015
bigdatathumbBY GRANT KIRBY | OP-ED CONTRIBUTOR

The mega-shift from technology-driven to data-driven organizations raises questions about Oregon’s workforce preparedness.


Read more...

Hall of Flame

June 2015
Friday, May 22, 2015
BY JACOB PALMER

A Power Lunch at Oswego Grill.


Read more...

Undersea Power

June 2015
Friday, May 22, 2015
BY JACOB PALMER

Mike Morrow and Mike Delos-Reyes first came up with the idea of an ocean power device 23 years ago, when they were students at Oregon State University. They realized a long-held vision last summer, when their startup, M3 Wave, successfully launched the first ocean power device that works underwater.


Read more...

Make the Case

May 2015
Monday, April 27, 2015

10 briefcases that mean business.


Read more...

The Good Hacker

May 2015
Friday, April 24, 2015
BY CHRIS HIGGINS

As digital security breaches skyrocket, a cybersleuth everyman takes center stage.


Read more...
Oregon Business magazinetitle-sponsored-links-02
SPONSORED LINKS