4/25/2023 0 Comments Flatbed truck![]() It’s also helped stabilize oil prices, altogether creating an efficient market. Stable energy prices have only exacerbated this trend, as the higher demand for energy means a higher demand for oil and fuel. That means both the shipment and import of oil-based goods has picked up, alongside essential drilling operations. In addition to the construction and import sector, the world has seen an increased demand for crude oil. Many of the materials – including wood, steel and more – will not fit on other transport options. Higher demand for any construction project means a growing demand for materials, components and machinery, a majority of which must be transported using flatbed freight vehicles. Even the residential construction industry is booming, with a CAGR of 9.1% from 2014 to 2018. construction industry is expected to record a compound annual growth rate (CAGR) of 4.9% and reach a total value of $1,804.8 billion by 2023. Construction activity on the riseĪnother major contributor is the healthy and rapid growth of the construction sector. (Photo credit: Jim Allen/FreightWaves) 2. ![]() China, especially, has been a major supplier of imported goods and materials. Not only are many of the products coming from overseas of high quality, but they’re also relatively inexpensive compared to domestic options. Refrigerated and cold storage flatbeds have been necessary to transport goods coming out of port markets such as Houston, Jacksonville and Savannah. Until now, it’s been a significant driving factor. Due to current events and supply chain complications, that upward trend may start to taper off soon. ![]() The first and most prominent contributor to the boost in flatbed use correlates with a high demand for imported goods. That also means certain products may only be transported using flatbed options – they’re just too difficult to move around otherwise.Īs for what’s contributing to the increase in demand, there are several reasons why it’s happening. The stored goods may also be difficult to access, making it challenging to retrieve through conventional means. That may or may not include construction materials such as wood, steel, masonry and more. There are also containers, including refrigerated options, trailers, train cars and much more.įlatbeds are generally used when material loads are bulky and too difficult to lift without heavy machinery. They’re not all necessarily the type of elongated truckbeds that many are used to seeing on highways and public roads. The question is, why is this happening? What factors and trends have led to the upswing in flatbed demand? (Photo credit: Jim Allen/FreightWaves) Why flatbed freight?īefore exploring the reasons why flatbed freight and shipment options are on the rise, it makes sense to consider why a party would choose it over other shipping and transport opportunities.įlatbeds, contrary to general opinion, come in several different forms and they’re available across the four major shipping methods – namely, ground, rail, ocean and air. One group of carriers, 31 in total, saw an 18.9% revenue boost – to $8.8 billion in 2018, up from $7.4 billion just the year before. This growth happens despite a plateau in other areas of freight, where in some cases shipments have declined. It’s so high that at times, trucking companies have had to delay shipments and deliver slower performance – they’re inundated with orders. In recent years, the flatbed freight sector has seen a massive increase in demand. This article reviews the recent past (pre-coronavirus) and hopefully looks into the near-future (post-coronavirus).
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