Top 7 problems the Canadian trucking industry faces and how do they overcome?
Updated: Oct 26, 2022
Trucking is a crucial part of the Canadian economy, and yet it is also one of the most competitive industries in which to compete. Here are seven problems that the Canadian trucking industry is currently facing and some solutions that we at Daily Transport are implementing to overcome them.
1. Driver shortage
The driver shortage is partially due to the fact that there are simply not enough people interested in becoming truck drivers. The pay isn't great, and the hours can be long and gruelling, so it's not exactly a glamorous job. Additionally, many people are put off by the idea of being away from home for extended periods of time.
Another contributing factor to the driver shortage is that there are not enough training programs available to meet the demand. Many companies require new drivers to have some experience before they hire them, so it can be difficult for someone with no experience to even get their foot in the door. And even if someone does manage to find a training program, they may not be able to afford it.
This driver shortage is having a major impact on the Canadian trucking industry. Companies are struggling to rival up with demand and are often forced to turn down work because they don't have enough drivers. This leads to lost revenue and can even put companies out of business.
2. The effect of NAFTA on the industry
One of the biggest challenges facing Canadian trucking is the effect of NAFTA on the industry. NAFTA was signed in 1994, and it has had a huge impact on the industry.
NAFTA allowed for the free shipment of goods between Canada, Mexico, and the US. This has led to an expansion in the number of trucks on the roads and an increase in the prices of goods, and a decrease in many small trucking companies.
The government of Canada has tried to address these issues by investing in infrastructure projects, such as highways and port facilities. They have also tried to attract new truckers by offering them competitive salaries and benefits. However, it will be difficult to make a significant dent in the overall problem caused by NAFTA until it is renegotiated or replaced.
3. Traffic congestion
One of the biggest problems facing the Canadian trucking industry is traffic congestion. Truckers are often stuck in traffic for hours on end, making it difficult to get their cargo to its destination on time.
To combat this problem, trucking companies have started investing in new technology. They're also working to improve coordination between different transportation networks. This way, they can ensure that cargo gets delivered where it needs to go no matter how busy the roads are.
In addition, truckers are trying to get more creative with their routes. They're looking into using alternative routes that aren't typically used by trucks, like railroads and pipelines. This way, they can avoid congestion and save time.
Despite the challenges faced by the Canadian trucking industry, it's still one of the most important sectors in the country. With enough effort and dedication, truckers can overcome any obstacle and continue to provide essential transportation services for Canada.
4. Truck safety
The Canadian trucking industry faces a number of problems when it comes to safety.
1. The industry is highly competitive, which can lead to companies cutting corners on maintenance and training in order to save costs. This can result in trucks that are not properly maintained and drivers who are not properly trained, both of which can lead to accidents.
2. The size and weight of trucks can make them difficult to control, especially in adverse weather conditions. This can again lead to accidents, particularly when trucks are involved in collisions with smaller vehicles.
3. The long hours that many truck drivers work can lead to fatigue, which can again increase the risk of accidents. Drivers may be tempted to push themselves too hard in order to meet deadlines, leading them to take risks that they usually would not take if they were well-rested.
4. The nature of the freight that is being transported by trucks - often high-value or dangerous goods - means that there is always a risk of theft or other criminal activity taking place. This can put drivers and their cargo at risk and also lead to delays in deliveries if security needs to be increased.
5. Fuel prices are high and are likely to stay that way for a while
The high cost of fuel is one of the biggest problems facing the Canadian trucking industry. In recent years, fuel prices have risen dramatically, and they are likely to stay that way for a while.
Fuel prices account for a large part of the cost of transporting goods across Canada. This makes it difficult for truckers to make a profit. This problem is especially acute in Quebec, where fuel costs are much higher than in other provinces.
Since trucks need a lot of fuel to transport goods, companies that transport goods by truck often have to pass on the higher costs to their customers. This means that consumers end up paying a high price for products even though the producers of these products are not making any money.
Trucking companies are trying to find ways to mitigate the impact of high fuel costs on their businesses. Some companies are exploring alternative transportation modes, such as rail and air freight. Others are looking into reducing their overall weight.
6. Increased regulations are causing truckers a lot of stress.
One of the biggest problems truckers in the Canadian trucking industry face is increased regulations. These regulations are causing a lot of stress for truckers, as they have to deal with them on a regular basis. For example, regulators are often asking companies to increase their safety standards. This requires a lot of dedication from truckers and their managers.
Truckers also have to deal with other bureaucratic challenges. For example, they have to get permits from various government agencies in order to operate their trucks. This can be complicated and expensive, and it often delays shipments. In addition, many truckers find it difficult to compete with large shipping companies, which means they face higher shipping costs.
Nevertheless, despite these challenges, truckers in the Canadian trucking industry continue to produce high-quality services. They are determined to overcome the obstacles that are facing them, and they will continue to do so until the regulations are changed or replaced.
7. Truckers are demanding better wages and benefits.
One of the main problems facing the Canadian trucking industry is the demand from truckers for better wages and benefits. Truckers are typically paid a lower wage than other workers in the economy, and they often require extra benefits such as health insurance and retirement savings.
How to overcome these problems?
The Canadian trucking industry is facing several problems that are causing it to decline. Some of the major issues include Traffic congestion, a shortage of drivers, and a high cost of fuel.
To overcome these problems, the government must take several steps. First, the government must address the traffic congestion issue by creating more lanes and roads. Second, the government must create more jobs in the trucking industry by investing in infrastructure and training programs. Third, the government must decrease the price of fuel to make it more affordable for drivers. If you need our trucking related services then feel free to contact Daily Transport team.