A recent wave of insolvencies in the US trucking sector highlights ongoing struggles as record diesel costs, weak freight demand, and rising operational expenses push multiple carriers toward failure amid a fragile economic backdrop.
A wave of bankruptcies is rippling through the US trucking sector, with FreightWaves reporting that 16 carriers have filed for Chapter 7 or Chapter 11 protection in the past month, a cluster of failures that together accounts for more than 250 jobs. The filings underline how fragile freight hauliers remain after a bruising period of volatile fuel costs, weak demand and rising operating expenses.
Two of the larger names in the group, Xoco Transport and Globemaster, have opted for Chapter 11, a form of protection that allows a company to keep trading while it reorganises debts under court supervision. According to federal court documents cited by the report, neither company offered a detailed explanation for its filing. Both businesses have been contacted for comment.
Fuel remains one of the biggest pressure points. The American Automobile Association said diesel reached a record average of $6.53 a gallon on 22 September, after climbing $2.76 over the previous year. FreightWaves has also reported that the rise in diesel prices has not moved in lockstep with truckload rates, because shipping prices are being shaped more by weak spot-market demand and excess capacity than by fuel alone. That disconnect has left many carriers squeezed from both sides: higher costs on one hand, softer revenue on the other.
Industry analysts say the effect runs far beyond the fuel pump. In a December 2025 assessment, ASM Group said that when diesel rises, trucking firms often have little choice but to push up freight rates, but that strategy can backfire if customers resist. The company said carriers frequently respond by cutting headcount or selling equipment, which further reduces capacity and can depress future earnings. Deloitte, in a July analysis, added that labour, insurance, maintenance and regulatory compliance costs are all still climbing, creating a difficult backdrop even before seasonal slowdowns hit.
The broader picture is one of an industry still struggling to reset after the turbulence of recent years. FreightWaves has previously pointed to a wider trucking slump that has already claimed major operators, including Yellow Corp., the largest bankruptcy in US trucking history, as well as a string of mid-sized fleets. The latest filings suggest that, for many hauliers, the combination of expensive diesel, softer freight demand and escalating overheads is proving too much to absorb.
Source Reference Map
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Source: Noah Wire Services
Verification / Sources
- https://www.independent.co.uk/us/money/trucking-companies-bankruptcy-freight-shipping-b3058492.html – Please view link – unable to able to access data
- https://www.freightwaves.com/news/diesel-prices-surge-spot-rates-plunge-why-trucking-costs-are-disconnected – This article discusses the disconnect between rising diesel prices and falling spot rates in the trucking industry. It highlights how global conflicts, such as the war in Ukraine, have impacted refinery output, leading to higher diesel prices. Despite this, spot truckload rates have been declining, indicating a complex market dynamic where supply and demand, rather than fuel costs, are influencing rates. The piece provides insights into the challenges carriers and shippers face in navigating this volatile market.
- https://www.freightwaves.com/news/surge-transportation-sought-buyer-prior-to-filing-for-bankruptcy – This article details the bankruptcy proceedings of Surge Transportation, a digital freight brokerage based in Jacksonville, Florida. It reveals that the company sought a buyer and reduced its rates and workforce nearly a year before filing for Chapter 11 bankruptcy protection. The piece highlights the challenges faced by the company, including a significant contraction in demand for motor carrier capacity and the impact of lower rates on profit margins, leading to the erosion of its previously robust financial situation.
- https://www.freightwaves.com/news/high-diesel-prices-are-making-inflation-worse-and-raising-the-risk-of-a-recession – This article examines the broader economic implications of rising diesel prices, emphasizing their role in increasing inflation and the potential risk of a recession. It features insights from economist Anirban Basu, who suggests that elevated diesel prices could dampen consumer spending and exacerbate inflationary pressures, thereby negatively impacting the U.S. economic outlook and increasing the likelihood of a recession in 2023.
- https://www.freightwaves.com/news/the-most-read-freightwaves-stories-of-2023 – This article provides a retrospective look at the most-read FreightWaves stories of 2023, focusing on significant events in the trucking industry. It highlights the bankruptcy of Yellow Corp., the largest in U.S. trucking history, and the closure of several midsize fleets, including Florida’s Flagship Transport and North Carolina’s FreightWorks Transport. The piece also discusses the broader impact of these events on the industry, including layoffs and the ongoing trucking ‘bloodbath’.
- https://www.freightwaves.com/news/diesel-prices-its-a-refining-crisis-not-crude – This article addresses the factors contributing to high diesel prices, emphasizing that the issue lies more with refining capacity than crude oil prices. It features insights from Aaron Decker, CEO of Multi-Service Fuel Card, who explains that the real problem is a refining capacity crunch, leading to elevated crack spreads and higher diesel prices. The piece provides an in-depth analysis of the current fuel outlook and its implications for carriers, brokers, and shippers.
- https://www.freightwaves.com/news/bankruptcies-fraud-and-a-missing-trucker-key-trucking-stories-in-2023 – This article reviews key trucking industry stories from 2023, focusing on bankruptcies, fraud, and a missing trucker. It details the closure of Matheson Trucking and its subsidiaries, the bankruptcy of Surge Transportation, and the ceasing of operations by Elite Transit Solutions. The piece also highlights the broader challenges faced by the industry, including financial disputes, legal issues, and the impact of these events on workers and the broader economy.
Noah Fact Check Pro
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emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed
below. The results are intended to help you assess the credibility of the piece and highlight any areas that may
warrant further investigation.
Freshness check
Score: 8
Notes: The article was published on 29 September 2026, reporting on events from late August to mid-September 2026. The earliest known publication date of similar content is 28 May 2026, when FreightWaves reported on a wave of trucking firms seeking bankruptcy protection. (freightwaves.com) The Independent’s article provides more recent data, including specific companies like Xoco Transport and Globemaster filing for Chapter 11 bankruptcy in mid-September 2026. However, the article does not specify the exact dates of the bankruptcy filings, which raises concerns about the precision of the timeline. Additionally, the article mentions that diesel prices reached a record average of $6.53 a gallon on 22 September, but does not provide a source for this information. The lack of specific dates and sources for some claims reduces the freshness score.
Quotes check
Score: 6
Notes: The article includes direct quotes from federal court documents stating that Xoco Transport and Globemaster did not specify the reasons for their bankruptcy filings. However, these quotes cannot be independently verified, as the court documents are not publicly accessible. The article also references analyses from ASM Group and Deloitte but does not provide direct quotes or specific excerpts from these reports, making it difficult to assess the accuracy and context of the information presented. The inability to verify the quotes and the lack of direct excerpts from referenced analyses raise concerns about the reliability of the information.
Source reliability
Score: 7
Notes: The article is published by The Independent, a reputable UK-based news organisation. The primary source for the bankruptcy filings is FreightWaves, a well-known industry news outlet. However, the article does not provide direct links to the original FreightWaves report or the court documents, making it challenging to verify the information independently. Additionally, the article references analyses from ASM Group and Deloitte but does not provide direct links or specific excerpts from these reports, which limits the ability to assess the credibility of these sources. The lack of direct access to primary sources and the absence of specific excerpts from referenced analyses reduce the overall reliability score.
Plausibility check
Score: 8
Notes: The article reports on a wave of bankruptcies in the US trucking sector, citing rising diesel prices and other operational costs as contributing factors. This aligns with industry trends and previous reports from FreightWaves and other reputable sources. However, the article does not provide specific details about the companies involved or the exact dates of the bankruptcy filings, which makes it difficult to fully assess the plausibility of the claims. The lack of specific details and dates raises questions about the completeness and accuracy of the information presented.