America's trucking industry reported the biggest annual gain in for-hire truck tonnage in two decades last year as an improving economy and growing e-commerce boosted shipments to an all-time high, according to the American Trucking Associations' (ATA) annual index released today.
Truck tonnage for all of 2018 rose 6.6 percent - nearly double the 3.8 percent gain in 2017 and the highest increase since 1998 when truck shipments surged by 10.1 percent.
The annual gain last year was realized despite a year-end decline in shipments. Tonnage fell in December by 4.3 percent from the seasonally adjusted rate in November, which was also below the peak reached in October on the ATA index.
"The good news is that 2018 was a banner year for truck tonnage, witnessing the largest annual increase we've seen in two decades," ATA Chief Economist Bob Costello said in a report today. "With that said, there is evidence that the industry and economy is moderating as tonnage fell a combined total of 5.6% in October and November after hitting an all-time high in October."
November's tonnage was actually 1.3 percent below a year ago, although December was still up 1.4 percent from the previous year.
Trucking serves as a barometer of the U.S. economy, representing 70.2 percent of tonnage carried by all modes of domestic freight transportation, including manufactured and retail goods. Motor carriers collect more than $700 billion, or 79.3 percent 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.
The Chattanooga-based Covenant Transport is due to report its earnings and results for 2018 on Wednesday.