Trucking Companies Cut Profit Forecasts

October 8, 2015

The trucking industry is preparing for a downturn in demand, reports The Wall Street Journal.

Trucking demand spiked earlier this year due to inventory stockpiling in the second quarter as West Coast ports caught up with backlogs of imports that accumulated during a labor dispute. However, retailers and manufacturers are cutting down part of that buildup to avoid over-ordering, which will result in decreased demand, according to WSJ.

Major trucking companies including Swift Transportation Co. and Knight Transportation Inc., cut their profit forecasts for the year.