An estimated loss of $140 million per day the trucking industry will suffer from down time associated with Hurricane Sandy will ultimately be recouped because of associated resupply and rebuilding truck freight demands, according to FTR Senior Consultant Noël Perry.
Perry’s per day estimate of loss revenue is based on 20% of the industry not moving freight because of the storm and its aftermath.
“While some fleets will surely lose revenue during the initial phases of the latest disaster, storms like Sandy create new demand later,” explained Perry. “Retail outlets need immediate resupply that only trucking’s time sensitive character can accommodate. Plus storm damage needs to be fixed. That creates longer term additional freight tonnage. While the storm is devastating to many, the trucking industry will see mostly positive effects.”