Freight Transportation & the Economy

Fixed transportation assets reflect the important role of both the public and private sectors in moving freight. Freight railroad facilities and services are almost entirely private, while private-sector trucks operate over public highways. Air-cargo services in the private sector operate in public airways and mostly public airports, and ships in the private sector serve public waterways and both public and private port facilities. Pipelines are mostly privately owned, although significantly controlled by public regulation. In the public sector, virtually all truck routes are owned and maintained by state or local governments. Airports and harbors are typically owned by public authorities, although terminals are usually owned or managed by private operators. Air and water navigation is mostly controlled by the Federal Government, and safety is regulated by all levels of government.
Total private and public fixed assets grew from about $4.9 trillion in 2010 to more than $8.4 trillion in 2022 (current U.S. dollars). Transportation equipment and structures (private and public) accounted for approximately 42.9 percent of the total U.S. assets in 2022. The components of transportation fixed assets and their 2022 values are private transportation equipment ($1.81 trillion), private transportation structures ($611 billion), and public sector transportation structures ($5.96 trillion).

Value of annual transportation infrastructure construction put in place

Federal, state, and local governments are a major source of funding for transportation infrastructure construction. In 2023, the value of government-funded transportation construction underway was nearly $181.7 billion, accounting for 89.8 percent of total spending on transportation construction. Approximately three-fourths of public sector funding went to highways and streets; the remainder supported the construction of airport terminals and runways, transit and water transportation facilities, and pedestrian and bicycle infrastructure.

Gross domestic product (GDP) attributed to transportation by mode

Transportation’s total estimated contribution to U.S. GDP was $1,747.1 billion in 2022. For-hire transportation contributed $911.8 billion (3.5 percent of U.S. GDP) to U.S. GDP. In addition to using for-hire transportation services, many non-transportation industries also undertake transportation activities for their own purposes (called in-house transportation). In 2022, in-house transportation services (air, rail, truck, and water) contributed $364.1 billion (1.4 percent of U.S. GDP) to U.S. GDP.
Trucking contributed the largest amount of all the freight modes, at $588.3 billion. For-hire transportation services contributed $250.6 billion while in-house trucking operations contributed $337.7 billion. In comparison, total household transportation’s contribution to GDP was $471.1 billion, larger than any of the other transportation modes.

Real quarterly gross domestic product (GDP) and Freight Transportation Services Index (TSI)

The Freight Transportation Services Index (TSI) measures the month-to-month volume of goods moved by the for-hire transportation industry, and the Gross domestic product (GDP) includes the monetary value of all goods and services produced within the U.S. The Freight TSI increased by 33.5 percent while the real GDP increased 64.0 percent between the first quarters of 2000 and 2023. The Freight TSI and GDP tend to rise and fall at the same time. The magnitude of growth and decline often is different because GDP includes many sectors besides transportation.

Freight Transportation Services Index (TSI) modal data

Trucking grew the fastest among the freight modes measured in the TSI. According to the American Railroad Association, rail intermodal growth was due largely to competitive pricing, track upgrades, and investment in rail intermodal terminals and other infrastructure. Rail carloads was the only mode to decline from 2000 to 2023. U.S. waterways tonnage started to decline in 2019 but has recovered to 2000 levels. The COVID-19 pandemic in 2020 caused a significant drop across all modes; however, nearly all modes have since recovered. Only rail has not made a recovery to pre-pandemic levels after starting its downward trend in 2019.

Economic characteristics of transportation and warehousing establishments in freight-dominated modes

The freight industry has many components, encompassing companies large and small. All told there were 294,054 transportation and warehousing establishments (excluding rail) in 2022, with more than one-half (58.4 percent) of those primarily engaged in trucking. Revenue generated by trucking accounted for 32.3 percent of transportation and warehousing sector revenue, while warehousing accounted for a small percentage (4.6 percent) of the total.

Economic characteristics of freight railroads

In 2022, Class I freight and operating revenues both increased 13.8 percent, over 2021 levels. The $80.0 billion in freight revenue and $84.5 billion in operating revenue in 2022 represented respective increases of 141.8 and 147.8 percent since 2000.

Labor productivity in select transportation industries

Between 2000 and 2023, output-per-hour worked grew by 52.6 percent in line-haul railroading (line-haul railroads do not include switching and terminal operations or short-distance/local railroads). Long-distance, general-freight trucking output-per-hour worked grew by 21.1 percent over the same period. (Long-distance, general-freight trucking establishments exclude local trucking and truck operators that require specialized equipment, such as flatbeds, tankers, or refrigerated trailers.) Air transportation output-per-hour worked grew 110.1 percent (105) between 2000 and 2019 but declined sharply in 2020 (46) with a 20.3 percent decrease from 2019 to 2023.

Employment in for-hire transportation establishments primarily serving freight

Employment in the truck, water, and pipeline industries has grown since 2000, while air and rail transport experienced a decline in the number of employees. Between 2000 and 2023, employment in the air transportation industry declined by 10.1 percent and 25.7 percent for the rail transportation industry. Trucking in 2023 accounted for 23.9 percent of total transportation and warehousing sector employment. Warehousing and storage experienced a large increase in employment of 236.5 percent since 2000.
Freight transportation jobs are not limited to for-hire carriers. Truck driving is by far the largest freight transportation occupation in the United States, and many drivers work for retailers and other establishments with shipper-owned trucks. There were approximately 3.51 million truck drivers in 2023; about 58.2 percent of these professionals drive heavy/tractor trailer trucks, 28.6 percent drive light/delivery service trucks, and about 13.2 percent are driver/sales workers.
Average hourly wages for different freight-related occupations vary widely. In 2023, ship engineers and captains and pilots of water vessels were among the highest paid freight transportation occupations.

Producer Price Indices (PPI) for select transportation services

From 2010 to 2023, the prices charged for transportation purchased from carriers and support activities have gone up in all industries shown in this table. Rail transportation prices increased by 48.3 percent while truck and air prices increased by 56.9 and 31.2 percent, respectively.

Average freight revenue per ton-mile

The average freight revenue per ton-mile compared to the Producer Price Index increased for all freight modes. From 1990 to 2021, the truck mode experienced the largest increase, rising by 209.1 percent, followed by oil pipeline at 178.6 percent, and domestic air carrier by 125.5 percent. Class I rail is defined as line-haul freight railroads with annual operating revenues of approximately $84.5 billion or more as of 2021, according to the “2023 Railroad Fact Book” from the Association of American Railroads. Class 1 rail experienced the smallest increase in revenue per ton-mile of 72.8 percent over the 1990 to 2021 period.

Monthly diesel and jet fuel prices

Prices for diesel and jet fuel rose in summer 2008, followed by a sharp decline during the economic recession. Between 2011 and 2014, diesel and jet fuel prices were relatively stable, with shorter term or less severe changes. In 2020 both diesel and jet fuel prices declined before trending upward in 2021 and peaking in June 2022, but have declined since then.
Recommended citation
U.S. Department of Transportation, Bureau of Transportation Statistics, Freight Facts and Figures (Washington, DC: 2019).
Freight Facts and Figures, developed by the Bureau of Transportation Statistics, is a collection of charts and statistical tables about freight transportation in the United States. These interactive visualizations and tables provide a snapshot of freight movement; the extent, condition, and performance of the freight transportation system; the economic implications of freight movement; and the safety, energy, and environmental impacts of freight transportation.

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