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In the past month, 16 U.S. trucking companies have filed for bankruptcy as they struggle with soaring diesel prices. The filings, which include both Chapter 7 and Chapter 11 cases, highlight the financial strain on the industry. Among the companies seeking protection are Xoco Transport and Globemaster Inc.
According to FreightWaves, the companies range from small owner-operators to larger fleets. Xoco Transport, based in Hidalgo, Texas, filed for Chapter 11 on September 16, with over 40 tractors and 65 drivers. Meanwhile, Globemaster Inc., located in Bolingbrook, Illinois, filed on September 15, reporting assets between $500,000 and $1 million.
The industry faces rising diesel costs, which hit a record $6.53 per gallon last week, as reported by Yahoo Finance. This increase has compounded existing pressures from freight economics and operating costs, leading to a wave of bankruptcies.
The filings cover various sectors, including general freight, last-mile delivery, and specialized trucking. Companies like CLJ Transporting and Jett Transport & Materials have also sought Chapter 11 protection, while smaller carriers, such as A&B Transportation, have filed for Chapter 7.
The Conveyor notes that the rising costs have led to reduced freight capacity and increased truckload rates. The American Transportation Research Institute reported a 3.4% increase in operating costs per mile in 2025, with diesel prices surging further in 2026.
As the industry grapples with these challenges, the future remains uncertain for many trucking companies, with potential impacts on consumer goods prices and delivery times.