Shows Promise For the Transportation Industry

June 13th, 2020 by admin Leave a reply »

More recently, the transportation industry has seen a few changes and trends. Despite growing global economic turmoil, the transportation remains to be a cornerstone of growth. As such, 2010 will prove to be a very telling year for the upcoming future of the industry. Some trends will prove to be threatening while others show extreme promise.

As one of the largest industries in the world, transportation includes everything from passenger planes and trains to commercial trucks, warehouses, barges and logistical services. For example, in 2009 alone, the U.S. transportation industry was estimated to have approximately $1.6 trillion in revenue. This accounted for more than 10% of the entire country’s economy. With a growing globalized economy, the transportation industry has helped promote economic growth by moving needed products nationally and worldwide.

There have been several factors threatening the global transportation industry. Between a global economic crisis and sometimes rising fuel costs, the industry has seen its fair share of decline. However, there are several reasons to believe that 2010 is looking up for the industry. For example, FedEx recently announced strong growth in Asia, resulting in a 7 percent increase in revenue for its first quarter. Additionally, international growth for the United Parcel Service has spurred recent growth.

Another positive trend for the transportation industry includes government economic stimulus dollars. Such funds are being used to bolster transportation infrastructure worldwide. The American Recovery and Reinvestment Act of February 2009, for example, allotted $8.4 billion in public transit projects alone, $1.1 billion for new airports and a shocking $27.5 billion for infrastructure upgrades to U.S. highways. In China, approximately $585 billion has been designated to help build and revamp railroads, airports and highways.

In 2010, we will see an increased demand for the transportation industry to consider more fuel efficient and eco-friendly operations. New technological advances help streamline operations. Doing so not only saves money, but helps reduce fuel dependency, thus positively impacting the environment. The public push for greater use of public transportation and alternative fuel options will also positively impact the overall transportation industry.

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