Keep on trucking: Rebounds in the price of diesel fuel will benefit industry operators

The Local Freight Trucking industry in Canada has experienced steady growth over the past five years, as stable economic growth has resulted in increased consumer spending and a greater volume of manufacturing inputs and consumer products being transported by industry operators. Moreover, the increasingly globalized nature of manufacturing and retail supply chains has caused many downstream industries to begin outsourcing their logistics operations to companies in this industry. Moving forward, the industry is expected to continue expanding as rising levels of disposable income continue to fuel discretionary consumer spending on a wide range of consumer products...read more.

Industry Statistics & Market Size
Revenue
$10bn
Annual Growth 13-18
1.7%
Forecast Growth 18-23
Profit
Employment
40,433
Businesses
34,848
Market Share of Companies
There are no companies with a dominant market share in this industry

Industry Threats & Opportunities

  • Rising disposable income will fuel discretionary consumer spending, increasing industry demand
  • An upswing in downstream markets has increased demand for industry services
  • Industry operators will benefit from an increasingly complex supply chain
  • Industry Report - Industry Key Buyers Chapter

    The Local Freight Trucking industry in Canada is characterized by a low level of market share concentration, and the industry's four largest players are estimated to account for less than 10.0% of the industry's total revenue in 2018. Due to the market's low barriers to entry, it is relatively easy for small companies to enter the industry. As a result, small-scale nonemployers are estimated to represent a substantial 62.8% of all establishments operating within this industry. Even the largest industry players subcontract a substantial amount of their operations to smaller companies, creating opportunities for potential small-scale operators to enter the industry. At ...purchase to read more.

    Additional Insights for the Local Freight Trucking Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Local Freight Trucking Industry are

  • Market research and understanding
  • Output is sold under contract - incorporate long-term sales contracts
  • Ensuring pricing policy is appropriate
  • IBISWorld analysts also discuss how external factors such as Total retail sales and Total trade value in the Local Freight Trucking industry impact industry performance..

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    What's in this report

    What is the Local Freight Trucking Industry?

    Operators in this industry provide general freight trucking services over short distances. General freight companies handle a variety of commodities, which are usually palletized and transported in a container or van trailer. Local general freight trucking companies commonly provide trucking within a metropolitan area that may cross provincial borders, and these trips are typically same-day return.

    Industry Products
  • Truckload services
  • Less-than-truckload services
  • Intermodal services
  • Dry-bulk services
  • Industry Activities
  • Providing local truckload services
  • Providing local less-than-truckload services
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Total retail sales
  • Total trade value
  • Industrial capacity utilization
  • External competition for the Truck Transportation sector
  • World price of crude oil

  • Current Performance
  • Trends in trucking
  • Profit and participation
  • Chart: Revenue Growth

  • Industry Outlook
  • Growing demand
  • Pressure remains
  • Profit and consolidation
  • Table: Local Freight Trucking Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Local Freight Trucking Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Manufacturing In Canada
  • Retail Trade In Canada
  • Freight Forwarding Brokerages & Agencies in Canada

  • Key Selling Industries
  • Auto Parts Stores in Canada
  • Fuel Dealers in Canada
  • Gasoline & Petroleum Wholesaling in Canada
  • Tire Dealers in Canada
  • Truck & Bus Manufacturing in Canada
  • Truck, Trailer & Motor Home Manufacturing in Canada

  • Products & Services
  • Truckload services
  • Less-than-truckload services
  • Other
  • Intermodal services
  • Dry-bulk services
  • Chart: Local Freight Trucking Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Core region
  • Prairie region
  • Pacific region
  • Atlantic region
  • Northern region
  • Chart: Major Market Segmentation for the Local Freight Trucking Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesRent and utilitiesDepreciationOther
  • Chart: Cost Structure Benchmarking – Sector vs Local Freight Trucking

  • Basis of Competition
    Internal competitionExternal competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Local Freight Trucking Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Local Freight Trucking Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Local Freight Trucking Industry
    Includes:
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Wages (2009-2023)
  • Total retail sales (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Fuel Surcharge
  • An additional charge introduced by transportation operators to cover the increased cost of fuel.
  • Less-Than-Truckload (Ltl)
  • Truck shipments weighing between 45 kilograms and 4,536 kilograms.
  • Truckload
  • Truck shipments weighing more than 4,536 kilograms and generally carried by semi-trailers.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Local Freight Trucking market research report offers insightful industry analysis and research into the market at the national level. IBISWorld’s in-depth industry market research is presented in a logical and consistent format. The industry report contains key industry statistics, market size, industry trends, and growth and profit forecasts for a 5-year outlook period.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Local Freight Trucking:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Local Freight Trucking market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Local Freight Trucking, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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