Trucks travel with no cargo at all for billions of miles — with a significant financial and environmental cost for shippers and carriers.
More than a fifth of the distance driven by European cargo trucks in 2021 was "deadhead mileage," where vehicles traveled empty, often on the return leg of a journey.
"I don't think it is widely known," said industry veteran Martin Willmor, when asked if the public is aware of the problem in a phone call with CNBC. "There's all sorts of barriers [to solving it]. If it was ... easy, it would have been done years ago," he added. Trucking companies ideally need one customer for the outward journey and another for the return. If they don't have two customers, vehicles run empty. But, as well as needing a shipment for the return journey, they also need a truck that matches their load, with equipment such as refrigeration or a vehicle with a fork-lift attached.
"The supply chain [sector] is one of the last industries to go digital," he told CNBC in a phone call. "There's a lot of talk from a warehousing point of view, whether it's robotics [or] automated goods vehicles, but actually, from a transportation point of view, we've lacked a digital solution," he said., said some hauliers still book deliveries via phone or email.
The price of sending goods via road freight in Europe reached an "all-time high" according to an index published by thein a report last month. Rates for European contract freight rose 6.1 points in the second quarter of the year, when compared to the first quarter, with rates going up 13.1 points year-over-year.
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