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RSI’s Transportation Insights

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Trucks get the Night Off - this Time it's about Buses and Trains...

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 The transportation industry has been able to maintain despite a couple bumpy economic years.  The movement of goods and services is still dependent upon vehicles outfitted with more than four wheels in most cases and often times with sixteen.  Another side to the transportation industry exists though – one that moves people from point A to point B – points that are pivotal to people's livelihood and on another level - micro and macro economics. 

Reports indicate the transportation industry is alive and well.  This past week The Trucker reported that, “Net orders for heavy-duty Class 8 commercial vehicles reached the highest level of the year in June, posting an increase of 93 percent compared to June of 2009, according to the market analysts at ACT Research Co. (ACT).
In the latest release of the State of the Industry: Classes 5-8 Vehicles, ACT reported 15,999 net orders of Class 8 vehicles, an increase of 21 percent over May of this year. Net orders of medium-duty Classes 5-7 equipment also rebounded in June, increasing by 74 percent over the prior year June,” (www.thetrucker.com.)

When it comes to alternative transportation options that move people though (including buses and trains), more work – and money -is needed.  The Federal Transportation Administration believes $77.7 billion is needed to repair both the nation's rail and bus transit systems.  The report was initiated by the
FTA’s National State of Good Repair Assessment Study, requested by U.S. Transportation Secretary Ray LaHood as a follow-up to the 2009 Rail Modernization Study report to Congress, provides a comprehensive analysis of the costs required to bring the nation’s rail and bus transit systems into good operating order.  

Moving the masses via rail and bus is not only good for the economy, it's good for the environment.  While most complaint are generally allocated towards lack of availability, the FTA and DOT are more concerned with proper repairs.  U.S. Transportation Secretary Ray LaHood reinforced the focus on transportation safety, saying,

“Transit remains one of the safest forms of transportation, but this report shows the clear need to reinvest in our bus, subway and light rail systems.  As a nation, we must lead when it comes to infrastructure development and commit ourselves to rebuilding America,” (www.dot.gov.)
 

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