Logistics News
Global Trucking Demand Continues to Decline — How It Affects the UK Market
The global road freight sector is entering a period of structural shift. According to recent forecasts from Uber Freight and DAT iQ, global demand for trucking services has been declining for several consecutive months — and the trend shows no sign of reversal. Rising costs, shifting customs policies, and changing consumer habits are redefining the rules of road transport.
But what does this mean for businesses in the United Kingdom?
🔻 Demand Falls as Prices Rise
Uber Freight estimates that every 1% increase in global freight rates leads to a 0.15% drop in demand. If rates rise by 10%, demand falls by 2%. With some regions seeing rate increases of 18–28%, the resulting demand slump could reach 6% globally.
In Britain, the effects are already becoming visible. Though domestic road freight remains relatively stable, international and port-connected trucking routes — especially those linked to global trade flows — are under pressure.
At Felixstowe and Southampton, haulage companies are reporting a reduction in international shipments tied to rising customs charges and delays related to post-Brexit border checks. According to local industry groups, even minor increases in customs processing costs can tip the balance for importers — shifting cargo to rail or even air alternatives when time or tariffs demand it.
🇬🇧 UK Specific Challenges: The Border and the Bottleneck
Unlike the US West Coast — where May road freight volumes dropped by 5% YoY and 19% MoM in Southern California — the UK’s bottlenecks come from regulatory friction. The new EU Entry/Exit System (EES), due to fully roll out in 2025, is expected to create further wait times at the border. Delays of even 60–90 minutes can result in more than £1,000 in extra expenses per truck — not including lost opportunity cost.
For British hauliers operating in the EU, the combined effect of rising tariffs, slower cross-border processing, and increased documentation burdens is leading some shippers to consolidate loads, delay shipments, or cancel routes altogether.
🧭 A Shift in Buying Patterns
Another key driver of falling trucking demand is the transformation in consumer behavior. According to Dean Croke, analyst at DAT iQ, “Shifts in purchasing models are putting downward pressure on multiple freight categories.” The US saw a 0.3% drop in overall tonnage in April, after a 1.5% decline in March — and UK industry leaders expect similar patterns as cost-of-living concerns alter buying behavior across retail, e-commerce, and manufacturing.
⚙️ Manufacturing Output Is Key
Trucking thrives when industry does. In every country, the largest share of domestic road freight is driven by local manufacturing and construction. In the UK, stagnation in output due to high energy prices and raw material shortages means fewer full-truckload (FTL) and less-than-truckload (LTL) shipments. Some SMEs are moving toward micro-logistics — smaller, more frequent deliveries — but that raises costs and strains smaller carriers.
✅ How LOADSTAR UNITY LTD Helps You Navigate Uncertainty
At LOADSTAR UNITY LTD, we understand how volatile the market has become — and we help clients respond strategically:
✔️ We consolidate partial loads to reduce costs
✔️ We provide full customs coordination for EU-UK shipments
✔️ We work with trusted carriers across all transport modes to guarantee flexibility
✔️ We support your supply chain with real-time tracking, route optimization, and volume planning tools
📞 Need help optimizing your shipments in a volatile market?
Reach out to us here: https://loadstarunity.com/contacts/
But what does this mean for businesses in the United Kingdom?
🔻 Demand Falls as Prices Rise
Uber Freight estimates that every 1% increase in global freight rates leads to a 0.15% drop in demand. If rates rise by 10%, demand falls by 2%. With some regions seeing rate increases of 18–28%, the resulting demand slump could reach 6% globally.
In Britain, the effects are already becoming visible. Though domestic road freight remains relatively stable, international and port-connected trucking routes — especially those linked to global trade flows — are under pressure.
At Felixstowe and Southampton, haulage companies are reporting a reduction in international shipments tied to rising customs charges and delays related to post-Brexit border checks. According to local industry groups, even minor increases in customs processing costs can tip the balance for importers — shifting cargo to rail or even air alternatives when time or tariffs demand it.
🇬🇧 UK Specific Challenges: The Border and the Bottleneck
Unlike the US West Coast — where May road freight volumes dropped by 5% YoY and 19% MoM in Southern California — the UK’s bottlenecks come from regulatory friction. The new EU Entry/Exit System (EES), due to fully roll out in 2025, is expected to create further wait times at the border. Delays of even 60–90 minutes can result in more than £1,000 in extra expenses per truck — not including lost opportunity cost.
For British hauliers operating in the EU, the combined effect of rising tariffs, slower cross-border processing, and increased documentation burdens is leading some shippers to consolidate loads, delay shipments, or cancel routes altogether.
🧭 A Shift in Buying Patterns
Another key driver of falling trucking demand is the transformation in consumer behavior. According to Dean Croke, analyst at DAT iQ, “Shifts in purchasing models are putting downward pressure on multiple freight categories.” The US saw a 0.3% drop in overall tonnage in April, after a 1.5% decline in March — and UK industry leaders expect similar patterns as cost-of-living concerns alter buying behavior across retail, e-commerce, and manufacturing.
⚙️ Manufacturing Output Is Key
Trucking thrives when industry does. In every country, the largest share of domestic road freight is driven by local manufacturing and construction. In the UK, stagnation in output due to high energy prices and raw material shortages means fewer full-truckload (FTL) and less-than-truckload (LTL) shipments. Some SMEs are moving toward micro-logistics — smaller, more frequent deliveries — but that raises costs and strains smaller carriers.
✅ How LOADSTAR UNITY LTD Helps You Navigate Uncertainty
At LOADSTAR UNITY LTD, we understand how volatile the market has become — and we help clients respond strategically:
✔️ We consolidate partial loads to reduce costs
✔️ We provide full customs coordination for EU-UK shipments
✔️ We work with trusted carriers across all transport modes to guarantee flexibility
✔️ We support your supply chain with real-time tracking, route optimization, and volume planning tools
📞 Need help optimizing your shipments in a volatile market?
Reach out to us here: https://loadstarunity.com/contacts/
