Trucking

Diesel Shortages Squeeze Carrier Margins as Northeast Inventories Plummet

Diesel fuel constraints are pressuring trucking operators even as freight rates climb. East Coast inventories have hit record lows, sparking concern among carriers. Truckload rates per mile surged 14% in the third quarter, yet rising fuel costs and inflation offset gains for some operators. Yesway derives more than a third of its fuel sales from diesel at its convenience store network, benefiting from truck-heavy markets. Major carriers navigate competing pressures, though Union Pacific posted record third-quarter revenue and profits as volume and pricing advances helped absorb higher fuel expenses. Tight diesel supply in key regions threatens to erode margins across the sector despite stronger freight demand and rate improvements.