Is the freight recession’s end in sight? That is the focus of this first episode of Market Pulse with ACT Research on FleetOwner.com.
Tim Denoyer, ACT Research VP and senior analyst, joins FleetOwner’s Josh Fisher to discuss the impact of 2027 emission standards on the trucking industry and insights on the 2024 state of the supply chain and freight market.
“Those that have managed to stick it out this far are probably pretty good at managing their costs,” Denoyer noted. “And they’re going to need to stick it out for a while longer. The load activity is not really picking up very much yet.”
See also: 2027 Prebuy strategies: How fleets can prepare before regs kick in
While there have been some positive signs around seasonal events, Denoyer tells FleetOwner that demand remains relatively soft as many small fleets and owner-operators are more picky about their hauls.
“It’s going to take a little bit more economic growth and a reduction of equipment supply to turn the balance higher,” the ACT Research analyst said. “It’s not quite there yet. It’s going to be a little while.”
With prebuy activity already starting for fleets looking to get ahead of 2027’s more stringent emissions regulations, the next couple of years could be challenging for the industry with latent capacity and underutilized equipment affecting demand. “That keeps the demand environment relatively soft—in part because private fleets are in-sourcing some freight,” Denoyer explained. “And in part because they’re also increasingly competing in the for-hire spot market.”
Denoyer did share some optimism but noted: “These next couple of years will be a challenge.”
Watch the entire Market Pulse episode above or on the FleetOwner YouTube channel.
