Trucking industry grapples with political shifts, ZEV adoption and labour gaps
Share
Share
The slow adoption of zero-emission vehicles (ZEVs), a lingering driver shortage and the continued push toward the integration of new technologies, including artificial intelligence (AI), are some of the key issues facing the trucking and logistics sectors in the coming year, according to a survey from Trucking HR Canada and Abacus Data.
Speaking during a webinar Jan. 22, David Coletto, founder, chair and CEO of Abacus Data, offered some insight into the Trucking Leaders’ Outlook 2025, saying uncertainty about the impact of government policies and external disruptions has resulted in limited optimism among respondents.
“One in four leaders—28 per cent—say, ‘I’m not sure,’” Coletto said of respondents’ future expectations. “That reflects the challenge we’re all grappling with: it’s hard to predict the full impact of these changes.”
Part of that apprehension stems from expected complexities in cross-border, as well as interprovincial, trade dynamics.
“We don’t really know exactly what’s going to happen because we don’t know what [Donald Trump] is going to do, how long he’s going to do it and what our government’s capacity is to respond,” said Coletto.
Closer to home, Coletto said the survey highlighted respondents’ expectations that political policies in Canada will change with what appears to be an imminent federal election. This could mean changes to regulations, taxes and carbon pricing.
“Political change is coming,” said Coletto, “and we’re on the cusp of profound technological change in the industry. Both will define the next decade.”
Trucking and logistics sector
Three of the most significant challenges facing the trucking and logistics sector have long been on the industry’s radar.
Labour shortages, particularly of drivers, have been an issue facing the trucking sector for years, with the average age of truck drivers in Canada in the mid-50s.
“Eighty-four per cent of industry leaders believe driver shortages will continue to shape business conditions, showing how urgent this issue has become.”
With changing immigration policies also impacting the industry’s labour needs, Coletto said technology and AI will have an effect as well.
As the integration of AI into fleet optimization becomes more widely accepted, the need for skilled, tech-savvy workers continues to grow.
“The shift to AI is creating a demand for workers with tech backgrounds. Every sector will be competing for this talent, making it critical for trucking to position itself as an employer of choice.”
– David Coletto, founder, chair and CEO of Abacus Data
Other truck technologies, such as ZEVs and autonomous vehicles, have made strides in the past few years, but adoption remains slow, and only a small percentage of fleets have added them to their portfolio.
“Despite ambitious federal targets, the move toward zero-emission vehicles is not happening yet,” said Coletto. “Only 14 per cent of fleet leaders plan to add ZEVs to their fleets in the next few years. The vast majority of zero-emission vehicles in fleets today are battery-operated, with only a handful being hydrogen-powered, showing just how early we are in this transition.”
As for autonomous trucks, Coletto said while they appear to be years away, the use of AI to optimize fleet operations is here, with half of industry leaders saying they either use it or plan to.
Bringing about change
Coletto said in order for the trucking and logistics sector to create change in the industry, leaders must frame their issues in a way that shows how they directly impact consumers and workers if they want to persuade policymakers.
“If you’re advocating for change, frame your issues through the lens of how they make the average person’s life harder,” he said. “Politicians care most about consumer challenges and worker impacts.”
Coletto added that disruption and crisis can create unique opportunities to push for change, whether it be through government policies or on the technology front.
“We overestimate how much will change in one year, but we underestimate how much will change in 10,” said Coletto. “The trucking sector is no exception to this rule.”
Leave a Reply