Key facts
- At least 16 trucking companies filed for bankruptcy between late August and Sept. 21.
- Companies are citing rising diesel fuel prices and other elevated operating costs.
- Xoco Transport, a Texas-based carrier with over 40 tractors, filed for Chapter 11 on Sept. 16.
- Globemaster Inc., an Illinois-based carrier, reported assets between $500,000 and $1 million and liabilities of $1 million to $10 million.
- CLJ Transporting Inc., an Amazon Delivery Service Partner, reported assets between $100,000 and $500,000 against liabilities of $500,000 to $1 million.
- Mill Creek Logistics-Illinois Inc. reported assets between $100,000 and $500,000 and liabilities between $1 million and $10 million.
A wave of bankruptcies has hit the U.S. trucking industry in recent weeks, with at least 16 companies seeking Chapter 7 or Chapter 11 protection between late August and September 21. The filings come as the sector navigates a challenging freight environment characterized by increasing diesel fuel prices and other elevated operating expenses.
Among the companies filing for Chapter 11 reorganization are Xoco Transport, a Texas-based carrier with over 40 tractors and 70 trailers; Globemaster Inc., an Illinois-based long-haul carrier that reported assets between $500,000 and $1 million against liabilities of $1 million to $10 million and operated 51 power units; CLJ Transporting Inc., an Amazon Delivery Service Partner in Florida with 18 trucks and 30 drivers, which listed liabilities of $500,000 to $1 million against assets of $100,000 to $500,000; Jett Transport & Materials LLC, a Texas construction hauler with about 14 trucks and 14 trailers; Mill Creek Logistics-Illinois Inc., a courier and express delivery company that reported liabilities between $1 million and $10 million against assets of $100,000 to $500,000 and operated 24 power units; and RP Hay Hauling LLC, an Arizona agricultural hauler that reported both assets and liabilities in the $1 million to $10 million range.
Several smaller carriers have filed for Chapter 7 bankruptcy, which typically leads to liquidation rather than reorganization.
