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3 Ways the Coronavirus is Impacting the Transportation Industry

  • March 13,2020
  • Madeline S.

Only a week ago it was looking as if the coronavirus, officially named COVID-19, was slowing down. That is no longer the case. The virus originated in China, and cases within the country began to slow down, but now the virus is quickly spreading around the globe. The epidemic has started to impact several sectors, including the transportation industry.


Freight Delays

China has become a major manufacturing hub in recent years, so when it shut down for an extended period due to the virus the impact was felt globally. Freight shipments out of the country have been limited, causing delays throughout the industry. When sea and air freight is delayed, so are the rail and truck freight that carries it to the final destination.The epidemic has started to impact several sectors, including the transportation industry.


Tighter Capacity

Airlines have responded to the coronavirus by limiting the number of flights to impacted regions. The reduced air traffic means there is less room for air freight to move, causing tighter capacity. Trucking freight hasn’t yet felt that impact, but with produce seasonarriving soon, trucks will soon be in high demand and will have very tight capacity to handle the influx of freight that arrives once the virus clears.


Increased Rates

Due to limited capacity, freight rates are starting to be impacted. Rates will only increase more once the rebound begins and there is a rush of freight arriving. This is good news for carriers, but not so much for shippers.


Want to Learn More?

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