Transportation Industry & High Fuel Prices

Fuel Pump

Fuel Pumps

As we all know, Fuel Prices have gone up tremendously. The Transportation Industry has hit the hardest. Whether it’s Buses, Long Haul Carriers, Moving Companies or Taxi Cabs all across the board gas prices are hitting everyone and will be passed on to consumers. Everything takes fuel, even a farmer has to put fuel in his tractor. California Companies have been hit hard over the last couple years and many are just hanging on. Fuel prices are just one more thing that is going to eat into their profits and threaten their businesses.

Not only is Diesel up to $4.50 per gallon but Big Trucks only get about 10 miles to the gallon. Many companies tack on a Fuel Surcharge to transportation. Freight Companies, Moving Companies, Delivery Companies, Limo Companies and even a lot of service and repair companies just to name a few. Expect those costs to go up. Don’t be surprised the next time you get handed an invoice and see a line for a Fuel Surcharge where there may not have been the last time you used that company’s service. Companies can’t afford the high prices of fuel and have to pass it on to the consumer.

The actual cost will vary depending on the industry and the miles driven.
Why am I telling you this? You should be aware as a consumer you will be charged a Fuel Surcharge by different industries trying to keep their heads above water.

Comments

  1. Thanks for the eye-opening post Kim. It makes perfect sense that certain companies would tack on a fuel surcharge, especially with prices expected to continue to rise through the summer months. I guess it’s just one of those unavoidable necessary evils. Good to keep in mind.

    • KimTucker says:

      Customers get upset when you spring things like this on them so we include it in our confirmation so they know ahead of time but the cost has just gotten out of control. I may be charging extra for fuel but we are all paying the price that is for sure!

  2. That’s right! The transportation industry takes the brunt in the increase of fuel especially the public utility vehicles.Since there is a regulation about a fixed rate in fare transport, the increased cost of fuel eats up their take home pay, their profit.

    • KimTucker says:

      Thanks for reading the blog. Everyone is getting hit every where I just hope consumers go easy on those of us just trying to keep our heads above water and understand us passing the cost on to them.

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