The Trailer Flexibility Crisis Fleets Can’t Afford to Ignore

Trailer Flexibility Is Disappearing Faster Than Fleets Realize

Trailer capacity has long served as a pressure valve for trucking companies. Fleets could add equipment when freight volumes improved, then return or reduce units when demand weakened. Ed Behnen, senior vice president of sales at Premier Trailer Leasing, said that option is becoming more difficult to rely on.

“I think we’ve already lost equipment flexibility,” Behnen said during an appearance with Malcolm Harris on What the Truck?!?.

Behnen said several market forces have tightened trailer utilization at the same time. The result, he argued, is a leasing market that may be more constrained than broad freight indicators suggest.

Among the developments he cited were changes affecting the commercial driver supply following a Supreme Court ruling, a period that included inspection activity, Amazon’s Prime Day, the approaching World Cup and the July 4 holiday. The World Cup is scheduled to use 11 host cities, creating additional overlapping demand considerations for freight and equipment.

Behnen also pointed to Prime Day freight being pulled forward and the effect of spot market rates. Those conditions gave fleets an opportunity to test current demand, but they also raised the cost of taking trailers out of service or returning them.

“It’s given a lot of fleets the opportunity to test out what this new market looks like, with worries about what the opportunity cost looks like to bring equipment back,” Behnen said.

For drivers and fleet managers, the issue is not limited to whether a trailer is available on paper. Equipment may be committed to a customer, positioned in another region or moving rapidly between locations. That can make it harder to secure additional units when a carrier wins new freight or experiences a seasonal increase.

Asset visibility becomes a larger concern

As trailers move more frequently between fleets, locations and customers, keeping track of who has custody of each unit has become a separate operational challenge. Behnen said carriers need accurate paperwork, clear leasing terms and technology that can show where equipment is located.

He also said credit conditions are becoming a more important part of equipment availability. In a tighter market, a carrier’s ability to obtain trailers may depend not only on supply but also on its financial profile and the strength of its agreements.

Geofencing and telematics can help carriers and lessors monitor equipment as it moves through yards and drop locations. Behnen said Premier monitors equipment internally and has hundreds, if not thousands, of tow yards already geofenced. The company contacts customers when an asset becomes available or unavailable, according to Behnen.

The need for visibility increases when fleets operate with high trailer-to-truck ratios. Behnen said a trailer can easily become mixed in with other equipment at a yard, making it difficult to identify without a deliberate tracking strategy.

GPS, he said, should be more than a dot on a map. Carriers can use location alerts, geofences and idle or latency reports to identify trailers that have remained stationary longer than expected or moved outside their normal operating pattern.

That information can help dispatch and equipment teams determine whether a trailer is being used as planned, is sitting in the wrong location or requires follow-up with a customer or yard.

Lease costs extend beyond the monthly rate

Behnen cautioned that the advertised monthly lease rate represents only one part of a trailer’s total cost. Equipment specifications, model year and condition can affect performance, maintenance expenses and suitability for a particular operation.

Other factors include delivery and pickup locations, whether the trailer is drop-shipped, and how maintenance is handled. Carriers also need to understand roadside and breakdown support, as well as what happens when a lease ends.

Return requirements can become costly if equipment must be taken back to its original pickup location, particularly when a carrier’s freight network has changed. A trailer that begins its lease in one region may eventually be operating in another, making flexibility at the end of the agreement an important consideration.

Maintenance arrangements can vary widely. Some carriers may handle much of the work through their own shops, while others need access to vendors and mechanics across multiple locations. Behnen said a leasing program can be structured to support either model, but the responsibilities should be understood before equipment is placed into service.

He also argued that the lowest lease price does not always represent the lowest operating cost. Older or poorly maintained equipment can create additional downtime and repair expenses. Equipment quality, billing transparency and a responsive leasing partner can all affect the overall value of an agreement.

Leasing may provide time before major purchases

Fleets are also weighing whether to lease or purchase trailers as equipment prices remain high and capital spending decisions approach. Behnen connected that choice to expected spending on the power-unit side of the business, including the potential effect of engine regulations on future capital requirements.

With capital being allocated across trucks and trailers, Behnen said leasing can serve as a bridge while fleets evaluate demand, utilization and longer-term equipment needs. A carrier may use leased trailers to support a contract or new lane before committing to a purchase at elevated prices.

He advised fleets to establish utilization and contract requirements before making a long-term buying decision. For carriers that expect to add equipment over the next six to 12 months, availability, credit approval and administrative paperwork can be as important as the trailers themselves.

Peak season and upcoming bid activity add to the need for advance planning. Fleets preparing to take on new work in the first quarter must ensure they can access the required equipment and have the financial arrangements in place to execute the contract.

Fraud adds risk in a tight equipment market

Behnen also described growing risks involving trailer fraud and theft. Fraudulent operators have created “ghost websites” that imitate legitimate leasing companies, targeting smaller carriers and owner-operators who may be under pressure to find equipment quickly.

In some cases, victims are directed to a facility and told to select a trailer without meaningful contact with a representative of the leasing company. Behnen said a lack of commercial credit information and unusual payment requests can be warning signs.

As trailer availability tightens, the pressure to secure equipment can make those schemes more difficult to recognize. Behnen said carriers should pay close attention to documentation, maintenance responsibilities, payment arrangements and the identity of the party controlling the equipment.

For professional drivers and the fleets they work with, the broader message is that trailer capacity is no longer a simple short-term adjustment. Availability, credit, maintenance, tracking and fraud prevention are increasingly connected. A trailer may be physically present, but without clear custody, reliable records and a workable support plan, it may not be available when the next load requires it.