Tariffs and the Trucking Industry: Navigating a New Economic Terrain

The trucking industry finds itself at the intersection of trade policy and economic disruption, as the Trump Administration’s sweeping tariff reforms reshape the cost structures and operational dynamics of freight transportation across the United States.

These tariffs are placing trucking companies in a difficult position. Imported truck parts and equipment – such as tires, brake systems, electronics, and cab interiors – are often sourced from countries facing high tariff rates, including China, Vietnam, Taiwan, and South Korea. With tariffs on these goods reaching up to 65%, companies are struggling to manage basic operating expenses and maintain their fleets.

Countries	Tariffs
China	60% + Regular Duty based on commodity
Vietnam	25% + Regular Duty based on commodity
Taiwan	25% + Regular Duty based on commodity
South Korea	25% + Regular Duty based on commodity

Smaller carriers, already operating on thin margins, are particularly vulnerable. Rising costs and customs-related delays and particularly a downturn of import volumes have led to longer downtimes and insufficient work for independent owner-operators. For independent owner-operators who have had to bear the cost of maintaining their fleets are finding routine maintenance and upgrades as financially burdensome.

“The tariffs imposed by the Trump Administration have created cost pressures and logistical challenges, forcing the trucking industry to navigate a complex, tariff-driven landscape,” said Anthony Fullbrook, President of OEC Group’s North American Region. “This new environment is reshaping the industry, with some companies forming strategic partnerships with rail and warehousing providers to offer integrated services.”

Unfortunately, the financial strain doesn’t end there. Increased scrutiny at ports and border checkpoints is causing longer wait times for trucks hauling international cargo. More frequent inspections and documentation reviews are delaying deliveries and disrupting schedules. For drivers, this means more time idling and less time earning—adding to frustrations in an industry already grappling with a labor shortage.

“As the market continues to evolve, trucking companies will need to be creative to adapt to this challenging economic climate,” said Logan Cooper, Head of OEC Group’s St. Louis Office. “Shippers may find unique opportunities in this environment, as trucking companies seek new business to offset rising costs. To fully capitalize, shippers should work with logistics experts who have deep industry relationships and know which carriers are open to making deals.”