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Economic and social problems of the Road Transport Industry
Economic and social problems of the Road Transport
Industry
IRU Resolution
adopted by the Council of Direction at its meeting in
Brussels on 18 May 2000
The efficient and sustainable mobility of people and
goods is dependent on the road transport industry’s ability to achieve a
return on investment that enables it to continue to invest in the latest
available technology, such as safe, clean, and fuel efficient vehicles, or
to implement sustainable management practices to meet clients’ demand
efficiently and cost-effectively, while at the same time reducing
environmental impact. Recent developments in revenues and costs, beyond
the control of the road transport industry, have negatively influenced its
ability to achieve sustainable profitability, and have put at risk the
industry and economies as a whole.
| Significant operating cost increases
have hit the road transport industry during a period of substantial
decreases in revenue. Road haulage revenues fell by 23% in Germany
between 1992 and 1998. At the beginning of 2000, vehicle operating
cost changes in the UK, for example, reached a 6-year-record high of
7.6%. Approximately 60% of total costs are for personnel (wages and
salaries) and fuel. (see annex 1) |
| In Germany, e.g., road haulage wages and
salaries grew by 28% between 1991 and 1998. |
| High and volatile oil prices due to the
OPEC cartel and significantly higher fuel taxes imposed by
governments have substantially increased fuel costs for road
transport operators. In the Netherlands, diesel fuel taxes have
increased by almost 300% since 1986, and doubled in the last decade
alone. Within the last year, the diesel fuel price in the US has
risen by 55%. Yet, there is no end in sight for this cost spiral. (see
annexes 2 and 3) |
| Declining revenues and increasing costs
have for many transport operators transformed their profits to
losses in recent years, and insolvencies in the road transport
industry more than tripled in Germany since the beginning of the
last decade. (see annex 4) |
In the face of a lack of stabilising factors either
from the policy side or from transport markets, the IRU calls upon the
responsible authorities to:
stop imposing new fiscal burdens on road
transport, or increasing existing taxes and charges that would again
negatively affect the costs of road transport operators,
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harmonise the conditions for competition
in the road transport market to allow equal chances for all modes of
transport and transport companies, including easy access to multiple
trip visas for professional drivers, and particularly to stop,
without delay, unfair practices that occur as a result of
non-harmonised social, technical and fiscal conditions or from
monopolists maintained or protected by law,
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look for appropriate measures to put an
end to the devastating effects of the OPEC cartel and stop arbitrary
market manipulation by crude oil suppliers,
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establish a joint crisis management in
co-operation with road transport industry representatives to be
applied in case of road blockades by protestors, which arise due to
the miserable economic situation of the road transport industry,
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| recognise the importance of road
transport for the development of emerging economies. |
Determined action by political-decision makers would
prevent a further deterioration of the road transport industry’s
economic situation, would stop further increases in insolvencies, and
would improve the ability of road transport operators to make the
investments necessary to achieve Sustainable Development.
Annex 1
Annex 2
Annex 3
Annex 4
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