Latest Industry News Briefs Courtesy of PMTA
Record Year For Volvo Trucks In 2022 – All-Time High Volumes And Market Share Increase In 41 Countries
2022 was a record year for Volvo Trucks. The company delivered an all-time high number of its trucks to customers and also increased its market share in 41 countries.
Volvo Trucks in 2022 executed its best performance in the company’s history. The global truck manufacturer delivered 145,195 trucks in 2022, an increase of 19% from 2021, when 122,525 trucks were delivered. Volvo Trucks also increased its market share in the heavy truck segment (≥ 16 tonnes) in 41 markets globally. The record deliveries and market share increase should be seen in the light of supply chain shortages that prevailed throughout the year.
”We have had a fantastic year, considering the uncertain and difficult times we live in. Despite supply chain shortages and disturbances in production, we managed to increase our volumes significantly and get the trucks out to our customers, so that they can grow and improve their business. This is thanks to our close collaboration with our suppliers as well as the hard work done in our own organization and at our dealers,” says Roger Alm, President Volvo Trucks.
In Europe, Volvo Trucks has a market share of 18.2%, which is the highest ever. Volvo Trucks is the market leader in several European countries. The company also increased its market shares in North America and Australia, to 10.8% and 17.0% respectively. In Brazil, Volvo Trucks increased its market share to 24.6% and thereby became the market leader for the first time ever.
”We have successfully launched new products and services during the year, and we have sold vehicles to many new customers, too. The feedback we get from customers is that they really appreciate and value our high quality and fuel-efficient trucks, and also the professional and rapid support they get from our extensive dealer and workshop network. All of these factors contribute to their own profitability,” says Roger Alm.
Leading the way in electrifying transport
Volvo Trucks started series production of heavy-duty electric trucks in 2022, as the first global truck manufacturer to do so. Deliveries of electric trucks are now clearly showing a positive and increasing trend. The US, Germany, Netherlands, Norway and Sweden are today the biggest markets for Volvo’s electric trucks.
”Many of our customers, both in Europe and in many other markets, have started the shift to electric during the year. They clearly see that zero-tailpipe emissions transport is an increasing and exciting business opportunity. I’m very confident that this trend will continue and rapidly grow stronger in the coming years,” states Roger Alm.
Truckstop and Bloomberg Intelligence Survey Shows Carriers Remain Cautious Heading into 2023
Carriers are cautious about the outlook for demand and rates over the next six months as the spot market rebalances from a surge in capacity, according to the latest Bloomberg | Truckstop survey, which polled owner-operators and small fleets.
“Spot rates are not in-line with the higher costs facing carriers, which is weighing on owner-operators' profits,” said Lee Klaskow, senior freight transportation and logistics analyst at Bloomberg Intelligence. “We expect the market to continue to rebalance with rates improving as early as 2Q.”
The Bloomberg | Truckstop 4Q22 Truckload Survey shows:
* Owner-operators still split over demand: Owner-operators remain split about where demand is heading. About 30% of respondents expect load growth to decline over the next six months.
* Rates expectations split among bulls and bears: Sentiment is split among owner-operators about where rates are headed. About 33% of respondents expect the rates to rise in the next six months, while 32% expect them to fall. Sentiment is slightly better than in 3Q.
* Spot truckload demand skids in 4Q: 76% of respondents noticed a drop in demand, a drop from 3Q, with about 65% saying volume growth was down from a year earlier.
“Owner-operators polled for this survey remain cautious, but spot rates are expected to show improvement as early as 2Q” said Kendra Tucker, chief executive officer, Truckstop. “Truckstop provides owner-operators with the technology and solutions they need to keep their business moving and their bottom line growing regardless of the market conditions.”
The Bloomberg | Truckstop survey of owner-operators and small fleets provides timely channel checks into the health of the spot market. The sample size was 113. It consists of dry-van, flatbed, temperature-controlled and specialized/diversified carriers. Of the respondents, 66% operate just one tractor.
To learn how Truckstop is helping move the freight community forward, visit https://truckstop.com.
PDA Releases Top Ten Driver Issues of 2022
Brentwood, TN… PDA released their annual top ten driver issues list compiled from tens of thousands of phone calls with professional truck drivers during 2022. The list was gathered as part of PDA’s efforts to help trucking companies curb turnover while providing accurate and actionable data for addressing their drivers’ concerns.
Equipment and compensation issues topped the list in 2022, just as it did in 2021, but with a softening freight market predominantly in the second half of 2022, miles and other compensation related issues dominated the top ten list for 2022.
“While the top two issues of 2022 match the top two issues of 2021, clearly the softening freight market currently facing the trucking industry is reflected in this year’s list,” said Scott Dismuke, PDA’s vice president of operations. “Three of the top ten issues for 2022 were centered around miles, however seven of the top ten issues directly affect miles.”
Breakdown and mechanical issues maintained two of the top three spots, but Dismuke noted that mechanical and breakdown issues at the time of assignment concern drivers and could negatively be affecting driver turnover.
“Equipment assignment issues matter to drivers and we’ve seen in our data that it often results in drivers leaving early in their tenure,” said Dismuke. “The first impression a carrier makes on a driver is what a truck looks like at the time of assignment. Making a good first impression with a driver coming out of orientation is key to keeping a driver in the truck. The best way to do that is with properly inspected and clean trucks.”
Dismuke noted that two communication issues on the list are troubling, given the slowing economy and freight market.
“Communication can cure a lot of ills,” stated Dismuke. “While you cannot control the economy, you can control how you communicate with a driver. You can also control how quickly you respond to a driver and make them feel more respected. Ultimately, the ability to communicate effectively is going to determine if a carrier’s turnover rate goes up or goes down in 2023.”
The complete list is below and Dismuke stated that PDA will be providing additional details when it releases the 2022 Recruiting and Retention Annual report.
1. Tractor – Mechanical/Breakdown Issues
2. Compensation – Pay Rate Not Competitive
3. Equipment Assignment – Tractor Broken Down
4. Miles – Loads Not Available
5. Miles – Inconsistent Miles
6. Home Time – Wants Daily Home Time
7. Miles – Poor Scheduling/Planning
8. Trailers – Mechanical/Tire Issues
9. Communication – No Response by Driver Manager
10. Communication – Slow Response by Driver Manager
For more information about PDA, visit www.pdateam.com.
FMCSA Has Removed ONE PLUS ELD’s ORS Device (N/K/A 1 PL Logs) From The List Of Registered Electronic Logging Devices (ELDs)
Motor carriers and drivers using ONE PLUS ELDs (n/k/a 1 PL Logs) have 60 days to replace the revoked devices with compliant ELDs.
On February 8, 2023, FMCSA removed the following device from the list of registered ELDs due to the company’s failure to meet the minimum requirements established in 49 CFR part 395, subpart B, appendix A.
ELD Name: ONE PLUS ELD (n/k/a 1 PL Logs)
ELD Model number: ORS
ELD Identifier: ORS160
ELD Provider: ONE PLUS ELD (n/k/a 1 PL LOGS)
ELD Registration ID: 8J3V
This device now appears on FMCSA’s Revoked Devices list.
Motor carriers and drivers who use the device listed above must take the following actions:
1. Discontinue using the revoked device(s) and revert to paper logs or logging software to record required hours of service data.
2. Replace the revoked device(s) with compliant ELD(s) from the Registered Devices list before April 10, 2023.
Motor carriers have up to 60 days to replace the revoked devices with compliant ELDs.
Motor carriers and drivers who continue to use the revoked ONE PLUS ELD (n/k/a 1 PL Logs) listed above on or after April 10, 2023 will be in violation of 49 CFR 395.8(a)(1)—“No record of duty status” and drivers will be placed out-of-service (OOS) in accordance with the Commercial Vehicle Safety Alliance (CVSA) OOS Criteria.
If the ELD provider corrects all identified deficiencies, FMCSA will place the device back on the Registered Devices list and inform the industry and the field. However, FMCSA strongly encourages motor carriers to take the actions listed above now to avoid compliance issues in the event that these deficiencies are not addressed in time.
Questions? Contact [email protected].
FMCSA Has Removed Nationwide Technologies Inc’s “Nationwide ELD” From The List Of Registered Electronic Logging Devices (ELDs)
Motor carriers and drivers using Nationwide ELDs have 60 days to replace the revoked devices with compliant ELDs.
On February 3, 2023, FMCSA removed the following device from the list of registered ELDs due to the company’s failure to meet the minimum requirements established in 49 CFR part 395, subpart B, appendix A.
ELD Name: Nationwide ELD
ELD Model number: NWTELDV1.1
ELD Identifier: NWT001
ELD Provider: Nationwide Technologies Inc
This device now appears on FMCSA’s Revoked Devices list.
Motor carriers and drivers who use the device listed above must take the following actions:
1. Discontinue using the revoked device(s) and revert to paper logs or logging software to record required hours of service data.
2. Replace the revoked device(s) with compliant ELD(s) from the Registered Devices list before April 4, 2023.
Motor carriers have up to 60 days to replace the revoked devices with compliant ELDs.
Motor carriers and drivers who continue to use the revoked Nationwide ELD listed above on or after April 4, 2023 will be in violation of 49 CFR 395.8(a)(1)—“No record of duty status” and drivers will be placed out-of-service (OOS) in accordance with the Commercial Vehicle Safety Alliance (CVSA) OOS Criteria.
If the ELD provider corrects all identified deficiencies, FMCSA will place the device back on the Registered Devices list and inform the industry and the field. However, FMCSA strongly encourages motor carriers to take the actions listed above now to avoid compliance issues in the event that these deficiencies are not addressed in time.
Questions? Contact [email protected].
Federal Highway Administration Announces New Efforts to Improve Road Safety, Advance Complete Streets That Serve All Road Users
WASHINGTON… The U.S. Department of Transportation’s, Federal Highway Administration (FHWA) announced two new efforts that will help States, cities, and local governments improve road safety. This announcement is part of ongoing, coordinated work to improve quality of life and reduce unacceptably high rates of traffic deaths in the U.S. in accordance with the Department’s National Roadway Safety Strategy(NRSS).
Included in the announcement is a new Request for Information (RFI) seeking input on ways to improve safety and design standards for roads to facilitate the development of Complete Streets that serve all road users and a new waiver ensuring States and Metropolitan Planning Organizations (MPOs) can afford certain Complete Streets activities by removing financial barriers.
“Safety is foundational to our work and these efforts are two more critical tools to improve safety for all road users,” said Federal Highway Administrator Shailen Bhatt. “The resources we’re announcing today recognize that safety is a shared responsibility and require input and action from our stakeholders and state partners as we collectively work to build a safe transportation system for everyone. We need multiple layers of protection in place to prevent roadway crashes and minimize the harm caused when they occur.”
FHWA’s Safety RFI, “Improving Road Safety for All Users on Federal-Aid Projects,” seeks public comments from State, regional and local agencies on changes to the FHWA Design Standards regulation or other agency regulations that are needed to facilitate the development of Complete Streets and Complete Networks that serve all road users; how the safety performance of Federal-aid projects should be assessed; and how to include measures that improve safety performance across Federal-aid projects. Comments in response to the RFI can be submitted at regulations.gov.
FHWA also announced its latest effort to help accelerate Complete Streets efforts under the Bipartisan Infrastructure Law, including a waiver in the legislation FHWA is implementing that will reduce Complete Streets planning costs for States and MPOs. Under the waiver, States and MPOs will be able to use federal funding for 100% of the expenses associated with certain planning and research activities.
As part of the NRSS, the Department has adopted the “Safe System Approach,” which uses a redundant system to protect vulnerable road users (non-motorists, including pedestrians, bicyclists, and those using wheelchairs, scooters, micromobility devices and other personal conveyance devices) as well as other road users. FHWA will continue to work with States, cities and local governments to create safer roads, a key component of the approach, and Complete Streets that prioritize safety.
ATA Truck Tonnage Index Increased 0.4% in December
Washington – American Trucking Associations’ advanced seasonally adjusted (SA) For-Hire Truck Tonnage Index rose 0.4% in December after decreasing 2.5% in November. In December, the index equaled 115.2 (2015=100) versus 114.8 in November.
“Despite the small gain in December, for-hire truck tonnage clearly decelerated during the final quarter in 2022,” said ATA Chief Economist Bob Costello. “In fact, tonnage outperformed some other key metrics that drive truck freight, like housing starts and factory output during the final month of the year. This is probably because contract truckload freight is still outperforming the spot market and less-than-truckload freight after underperforming both of those sectors in 2021.”
For all of 2022, tonnage was up 3.4%, which was the best annual gain since 2018.
“Despite weakening in the second half, 2022 overall was a solid year for truck freight tonnage,” Costello said. “The index’s yearly gains were primarily driven by strength in the first half of 2022, so despite a marked slowdown as the year ended, for the year as a whole, tonnage posted a very solid year overall.”
November’s decline was unchanged from our December 20 press release.
Compared with December 2021, the SA index increased 0.3%, which was the sixteenth straight year-over-year gain, but the smallest over that period. In November, the index was up 0.8% from a year earlier.
The not seasonally adjusted index, which represents the change in tonnage actually hauled by fleets before any seasonal adjustment, equaled 112.6 in December, 1.8% below the November level (114.6). In calculating the index, 100 represents 2015. ATA’s For-Hire Truck Tonnage Index is dominated by contract freight as opposed to spot market freight.
Trucking serves as a barometer of the U.S. economy, representing 72.2% of tonnage carried by all modes of domestic freight transportation, including manufactured and retail goods. Trucks hauled 10.93 billion tons of freight in 2021. Motor carriers collected $875.5 billion, or 80.8% of total revenue earned by all transport modes.
ATA calculates the tonnage index based on surveys from its membership and has been doing so since the 1970s. This is a preliminary figure and subject to change in the final report issued around the 5th day of each month. The report includes month-to-month and year-over-year results, relevant economic comparisons, and key financial indicators.
ATA President Urges Congress to Build on Infrastructure Bill’s Success
Washington , DC… American Trucking Associations President and CEO Chris Spear urged Congress to take steps to exercise oversight over the implementation of the Infrastructure Investment and Jobs Act, ensuring that taxpayers and the supply chain get the maximum return on the $1.2 trillion of investment the legislation provides.
“For 90 years, the ATA has helped Congress shape its understanding of our nation’s infrastructure needs and supply chain challenges and today’s oversight of both is welcome and timely,” Spear said. “Prior to IIJA’s passage, ATA testified 25 times before the House and Senate, sharing how the decaying state of our nation’s infrastructure is hamstringing America’s ability to compete with rising global powers, like China. In short, a first-world economy cannot survive a developing-world infrastructure.”
ATA strongly supported IIJA’s passage, but “it was not a perfect piece of legislation – no bill is,” Spear said in testimony before the House Transportation and Infrastructure Committee, urging the committee to exercise its oversight authority to ensure “that every dollar be spent wisely and in accordance with what Congress instructed.”
Specifically, Spear said ATA objects to the Federal Highway Administration’s decision to direct IIJA funds only to existing roads and bridges, not new construction, arguing that it runs counter to what Congress intended and “does nothing to address congestion, improve safety and reduce emissions.”
Spear also urged Congress to remain engaged on efforts to reduce emissions in the supply chain.
“This is not a matter of if we get to zero, but when. We’ll get there – just not on the timelines proposed by California. Their rush to zero makes their timeline and targets unachievable, and they will fail,” he said. “Again, we’re committed to a cleaner environment – we’ve proven that. We simply ask that we be realistic about the path forward.”
With achievable goals, and appropriate oversight, “we’ll have the best infrastructure and the strongest, most sustainable economy, like no other,” Spear said.
American Trucking Associations Joins DOT Call to Action as a First Mover in National Roadway Safety Strategy
Washington, DC… The American Trucking Associations has joined the U.S. Department of Transportation and other members of the transportation community as a “First Mover” by committing to action items in support of the National Roadway Safety Strategy.
“ATA shares DOT’s commitment to the goal of zero highway fatalities,” said ATA Vice President of Safety Policy Dan Horvath. “By working together through the National Roadway Safety Strategy, we are committing to a collaborative approach to address highway safety and work towards the common goal of zero highway fatalities.”
The DOT’s National Roadway Safety Strategy outlines the Department’s comprehensive approach to reversing the rise in traffic fatalities and serious injuries on the nation’s highways, roads and streets. As part of that effort, DOT launched the NRSS Call to Action, calling on stakeholders to make commitments to the cause of improving highway safety.
“ATA is proud to be one of the first organizations answering DOT’s call to action,” Horvath said. “Through our Share the Road program, our Law Enforcement Advisory Board and our ongoing work zone safety awareness campaign, ATA is committing to educate the public about the importance of safely sharing the road with large trucks, practicing safety in construction zones and enhancing the partnership between the trucking industry and law enforcement to address highway safety issues.”
For more on the NRSS Call to Action, visit https://www.transportation.gov/NRSS/CallToAction.