Trucking company says long-term contracts are forcing it to absorb increasing cost of diesel - ABC News - Breaking News, Latest News and Videos — SkimNews
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- US diesel prices have surpassed a record $6.50 as a global supply crunch feeds inflation, according to Bloomberg.
- A trucking company told ABC News that long-term contracts are forcing it to absorb rising diesel costs rather than pass them to customers, with a Reuters Breakingviews commentary flagging diesel as a potential tipping point for the US economy.
Why it matters: With diesel at an unprecedented $6.50 and contracted carriers locked into fixed rates, trucking margins are being squeezed while fuel costs ripple into broader inflation — Reuters Breakingviews explicitly frames diesel as the potential tipping point for the US economy, putting the squeeze on a specific industry as the transmission mechanism for wider damage.
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