So much changes, so much stays the same for top carriers

TORONTO, (March 15, 2004) — For the first time, a Canadian trucking company has topped the 10,000-vehicle mark, reports Today’s Trucking in its annual Top 100 for-hire fleet survey out this month.

After a series of acquisitions including Canadian Freightways of Calgary, TransForce Income Fund once again is the largest for-hire fleet in Canada, with 10,535 vehicles. That’s a big jump from last year’s survey in which it also ranked first with an 8,100 total.

Interestingly, that 8,100 figure from last year is less than the outfit that took top spot in the first Top 100 survey way back in 1989. Hard to believe, but the Federal Industries Transport Group of Winnipeg counted 8,266 trucks, tractors, and trailers all that time ago.

There are many fleets from the upper levels of that original list that remain alive — and independent — today. Fleets like Trimac (11th in 1989), Day & Ross (13th), SLH Transport (15th), Transport Robert (17th), and Paul’s Hauling (19th) are among many that have soldiered on.

At the bottom of that 1989 list sat Penner International (now 41st) and in 95th position was Mullen Trucking, now a strong and very healthy ninth. Another one that’s risen dramatically, Challenger Motor Freight, held 78th spot 16 years ago with 542 vehicles but was obviously poised to grow, and now occupies position number six on this year’s starting grid.

Some of the issues fleet managers grappled with have changed, of course. In 1989, they included learning to live with deregulation, and new hours-of-service rules that exempted farmers, loggers, and fishermen to everyone else’s dismay. But the big concern was the new Goods and Service Tax.

So what’s on the industry’s mind now? This time last year the key issue was the price of fuel, with insurance costs and border delays following in hot pursuit. The latter two are clearly at the top of the heap right now, along with the nasty mess created by another round of hours-of-service regulations. The three together are potential carrier-killers, at least for those linehaul fleets working cross-border lanes.

But there are also good signs, with many fleet owners thinking we’ve reached some sort of turning point. With their backs against the wall, they’re relieved that shippers are realizing the plight of truckers and seem ready to play ball in a new way. Jim Hicks, for example, says he’s had success in getting shippers to pay an extra “border security fee” which goes straight to the drivers. The president of Travelers Transportation Services in Brampton, Ont., adds that a lot of his customers have made a real effort to understand just what’s happening on the road and at the border in particular by attending seminars and the like.

“Carriers will have to make sure they invoice customers for what they actually do,” says Eric Gignac, CEO of Groupe Guilbault in Ste-Foy, Que. “We have to put emphasis on ‘accessory costs’ like waiting times, trailers being held at customers’ docks, warehousing, etc. For the first time since I’ve been in trucking, carriers are in the driver’s seat. The economy is good and demand for transport is high. We have a golden opportunity.”

For the complete list of the top 100 for-hire carriers in Canada see the March issue of Today’s Trucking.