{"id":291733,"date":"2025-09-26T21:50:35","date_gmt":"2025-09-26T11:50:35","guid":{"rendered":"https:\/\/www.railfreight.com\/?p=66235"},"modified":"2025-09-26T21:50:35","modified_gmt":"2025-09-26T11:50:35","slug":"european-trucking-is-nearly-at-full-capacity-will-intermodal-rail-profit","status":"publish","type":"post","link":"https:\/\/www.vibewire.com.au\/?p=291733","title":{"rendered":"European trucking is nearly at full capacity, will (intermodal) rail profit?"},"content":{"rendered":"

The European freight market is heating up, says Lithuanian logistics company Girteka. Capacity is down, demand is rising, and so are (spot) prices. The company is operating a near-maximum capacity. Could higher trucking prices prove beneficial to (intermodal) rail?<\/strong>
\n<\/span>Girteka points out that the volume of goods transported by road across the European Union is growing, and that that trend will likely continue in the coming years. However, those numbers (13,1 billion tonnes in 2024, good for some 1,900 billion tonne-kilometres), are only \u201csurface-level figures\u201d. Below the surface, there are many factors at play beyond a simple growth trend.<\/p>\n

\u201cVirtually all measurable indicators point to an overheating European freight market\u201d, the logistics company says. The underlying reasons for the strained market are various: bankruptcies among transport and logistics companies as a consequence of the covid pandemic, truck driver shortages, the earlier expectation of US-imposed tariffs which prompted companies to stock up and growing domestic European consumption.<\/p>\n

Near-maximum capacity<\/h2>\n

The result is that spot request volumes have doubled compared to 2024, while contractual volumes are also staying high. \u201cFor example, during a downturn, if we had an agreement for 100 shipments per month, we might execute only 50. When the situation improves, the figure rises to 70 or more. Now we are operating at near-maximum capacity,\u201d noted Tomas \u0160ilinikas, Director of Regional Sales and Pricing at Girteka.<\/p>\n

In practice, for Girteka, \u201cnear-maximum capacity\u201d means that the available capacity is imbalanced across the EU. The key challenge is not the absolute lack of trucks, but rather ensuring they are positioned where demand is highest. That requires accurate forecasting, quick decision-making, and the ability to shift capacity efficiently to the right markets.<\/p>\n

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Girteka trucks. Image: \u00a9 Girteka<\/figcaption><\/figure>\n

A solution for driver shortages<\/h2>\n

Those challenges on the road are not immediately translating into successes for (intermodal) rail, sees Poland\u2019s largest intermodal operator PCC Intermodal. The company also sees that a driver shortage, especially due to a lack of interest in long haul operations among new drivers, is putting a strain on the road sector.<\/p>\n

Intermodal is well-suited to alleviate driver-related problems, says PCC Intermodal\u2019s Marketing Director Monika Konsor – F\u0105ferek. Rail can, after all, replace a lot of trucks and drivers on longer distances. Nevertheless, the cost picture remains the customer\u2019s first priority, and that is where intermodal is not yet winning.<\/p>\n

\u201cLong distance trucks don\u2019t pay track access charges for each kilometre driven, like trains do\u201d, says Konsor – F\u0105ferek. Moreover, energy prices remain high, pushing up the costs for rail further. In other words, long-distance trucking remains the cheaper option in many cases.<\/p>\n

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There is a little sidenote to make here. \u201cIt also must be said that intermodal does not exist without the road<\/strong>\u201d, adds Konsor – F\u0105ferek.<\/p>\n

\u201cThe road is a very important part of the intermodal transport model. We can be a solution in that regard and accommodate better work conditions for young people to join the truckers’ teams on the domestic markets, so that they could work locally and come back home at night and for weekends, as others do.\u201d That would resolve part of the drivers challenge.<\/p>\n