Trucks run out for new routes because the rates bring transport

Truck companies have started to stop transport, mull dismissals and grinding for new routes, because the rates are ravaging the cross -border trade.

The leadership of the US President, Donald Trump, 25 % rates for Canadian imports, as well as reprisal taxes in Canada, who entered into force on Tuesday led to an increase in delivery in the last two months, while the shipments participated in inventory stocks.

This impulse-exports to the United States increased by 7.5 per month over the month in January to reach a record of $ 58.2 billion, according to Statistics Canada has brought a further action on which an extract commercial war would be exacerbated, the CEO of the Transport Group Essons, Trevor Bent said.

“February was definitely Gangbusters,” he said about the company’s food transport, from fish to pies and potatoes.

“It will certainly be an impact,” Bent continued, referring to rates. “There are people who cancel the loads in the US right now.”

He said that the Nova Scotia outfit, which attracts almost 20 percent of its sales from American distributors and food, will be forced to make redundancies if the business continues to stop.

“For every million dollars from Topline revenues before fuel, it is about four trucks and six employees who take care of it,” he said, referring to potential job discounts on the 300 Parliament fleet.

The fate of the trucks is partially based on the decisions of the shipments and producers. They are the ones who decide whether to put frost on orders.

They also decide now if they deserve the 25 percent mark for the shipped products, carriers and many sellers in no position to absorb most of the tariff costs.

“There are no margins to be granted,” said Mark Seymour, CEO of Kriska Transport Group.

“Our customers are producers, whose customers are consumers. So, the behavior of consumers has a lot to do with what we do, “he added, calling the impact of a prolonged” deep “commercial struggle.

The company based in Ontario sees 800 trucks cross the borders that carry paper, food and car parts daily. Seymour said that about 95 percent of $ 350 million annual revenues in Kriska from and from the US.

“I hope and please do not fit into a re-entry of our business. And that could mean a loss of jobs or redundancies, ”he said, while noted that no discounts have been planned at this time.

“We cannot predict the unpredictable.”

The Canadian truck alliance said this week customers have canceled orders, and many fleets questioned in Ontario by the industry group have reported recent or imminent job discounts.

“The widespread tariffs on our customers’ goods for US suppliers and consumers will have shocking effects on our belonging and the general supply chain,” said President Stephen Laskowski, in a statement.

He asked for a tax exemption program for the sector, the immediate elimination of carbon prices and the reduction of federal diesel tax.

The deliveries on the road represented 52 % of the value of Canada’s import in 2023, and 40 % of its exports, this commercial flow almost entirely to and from the USA, according to Statistics Canada. About 70 % of the trade in goods between Canada and the US moves with the truck.

By Christopher Reynolds

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