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Here comes the 2016 oversize trucking season!

Here comes the 2016 oversize trucking season!

Finally, it looks like the 2016 heavy haul and oversize trucking season is beginning to start. While freight volumes are still on the low side we can tell by the consistency of loads being posted that the season will start very shortly. This won’t come soon enough for many companies as the 2015 oversize trucking season was very short lived with freight volumes extremely low. Economic indicators for 2016 look fair as the wind power industry continues forward with its expansion (although not as big as in previous years). That’s not to say it’s time to go trailer shopping just yet but it does look like we should have a decent year. While the heavy haul trucking industry certainly needs a boost, the oversize trucking industry needs it terribly bad with so many other companies dependent upon oversize freight in order to operate. Companies like the entire pilot car industry as well as specialized equipment manufacturers that cater to and service the industry. Over the past few decades we’ve learned that the pilot car industry can be very flexible as well as resilient and can recover from freight shortages pretty quickly considering. Whereas the heavy haul industry suffers much longer from a short term financial blow as equipment costs add so much more money to a companies operating costs and overhead.

Freightliner tractor for equipment transporting.

So what do we think about 2016 and freight volumes?

In general we think 2016 will be a difficult year for this area of the specialized trucking industry. While we’re not predicting record breaking highs in freight volumes it is our general thought that 2016 will bring some much needed relief as existing construction projects are already on the table. Companies that wish to have this work will need to brush up existing advertising as well as create new avenues.

Here are a few noteworthy items about 2016 freight volumes:

  • Existing wind energy jobs in WY, KS, OK and East TX will continue. However, quite a few projects are now being built in other parts of the world as well as sea. This hurts us as far a wind energy equipment shipping goes.
  • This is an election year and consumer spending is down so far. Another issue is the candidates. Nobody is real certain where the candidates will be as far as decision making once someone is elected. You know just as well as us these candidates will say anything to get elected but once in office have a whole new story. It’s hard for companies that create huge projects to forecast what their capabilities are for new construction projects. So not a lot is expected to hit the table for this year. This hurts us as well.
  • The US has too many heavy equipment surplus items that need to be sold. That heavy equipment will come up in the auctions this year so shipping from the auctions to the ports will be good in 2016 with the over all freight volume getting some help from this area.
  • The US government has a huge inventory of old surplus airplanes and parts in the Arizona desert. Much of this equipment will be sold this year which will also help the over all freight volumes.

It’s going to be another tough year folks. The companies that will earn the most money in 2016 are the ones that are advertising savy.

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3 Comments
  1. It is really interesting that you can predict a busy year of heavy hauling for truck drivers based on the fact that a lot of heavy equipment will be up for caution. I wonder how many old airplanes will be purchased in 2016. I can’t imagine driving on the highway and seeing a truck hauling an airplane!

    • Kairi,

      This article is in “Pending” status” so i’m not real sure how you could even seen it as marked as “Pending” which is the same as “draft” – or at least it’s supposed to be. There’s huge paragraphs missing from this article but since the can of worms is open 1.) remember “pending” in this system is no good and 2.) do my best to address your comment. In 2016 our industry will see many changes. Where to begin……. First of all it’s an election year and consumer spending is down, down, down. I don’t need to tell you what this is doing to our economy. We’ve got some other large issues on the table as well. Wind energy. Given the current economic state of the US the powers that be have decided to move forward with completion of the current projects (Wyoming included) but have decided to scale back any further projects with the exception of wind/sea energy. This will deliver a hard blow considering production rates over the last 5 years. Another issue we have is with this particular election nobody seems to know what kind of economics these presidential electees might bring to the table to try and stimulate our economy. It certainly seems they will say anything to win.

      So, to conclud. Yes, thank God we have an extra surplus of heavy equipment that will need to be sold this year. Much of it will be bound for India and Northern Africa. As I stated in a snippet you must have previewed we The US has a huge amount of old surplus airplanes and parts in Arizona they have been talking about selling as well. While this will by no means compensate for the volume needed to keep our industry alive, it will certainly help. The companies that will be the bread winners in 2016 will be the ones (like yours) that dig for obscure data and seek out new opportunities. Making sure their drivers have TWIC cards and they are already set up to handle new opportunities that may come their way.

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