Freight News, Road

Disaster looms for road transport, warns IRU

[ November 12, 2020   //   ]

Government inaction will lead to a wave of bankruptcies in road transport, warns the International Road Transport Union (IRU). Government financial packages are the sector, which will collapse without targeted action. Road transport in are now set to exceed US$1 trillion globally in 2020.

New IRU research to a looming wave of bankruptcies in road transport, which will have a devastating effect on the global economy and its ability to recover from the pandemic.

IRU says the situation is particularly disastrous for Europe, where forecast losses for goods transport operators have soared by two thirds since the summer to US$125 billion. If no immediate action is taken, these losses are expected to spiral further during the second wave of the pandemic.

IRU’s General Assembly backed an urgent call for action to governments worldwide. Without immediate government action, a “shocking number” of road transport operators will go bankrupt in the coming months, causing irrevocable damage to supply chains and mobility networks, and devastating the global economy.