The Great Freight Recession, which has forced companies to file for bankruptcy or to go out of business since 2022, continues to victimize trucking and logistics companies.
Many of the companies have blamed reduced shipping demand, lower freight rates, and rising costs of labor, fuel, and insurance, which have impacted revenues and profits.
The good news is that consumers might find better prices to ship goods, though the industry could lose some businesses if demand and rates don’t improve and inflation doesn’t slow down.
Demand plummeted by 25%
Long-haul truckload demand plummeted by 25% in the first half of 2025, with trucking becoming more of a short-haul delivery method for the final leg of freight movement, according to the Long Outbound Tender Volume Index, FreightWaves reported.
Freight companies filed 21 bankruptcy petitions in the third quarter of 2025 compared to 20 filed in the second quarter, Equipment Finance News reported. Fourth-quarter statistics had not yet been released at last check.
Long-haul truckload demand plummeted by 25% in the first half of 2025, with trucking becoming more of a short-haul delivery method for the final leg of freight movement, according to the Long Outbound Tender Volume Index, FreightWaves reported.
Expert predicts recovery
It’s not all bad news for the industry, however, as Doug Waggoner, CEO of Echo Global Logistics, is predicting improvement in the trucking industry, likely after the first quarter of 2026, he told Logistics Management.
“I think we’re at least in the late stages and maybe starting to come up,” Waggoner said. “But traditionally, January and February are the slowest months of the year.”
Distressed logistics companies will be filing for bankruptcy in the meantime.
Global Logistics & Fulfillment files for Chapter 11 bankruptcy to reorganize its business.
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Global Logistics & Fulfillment bankruptcy
Warehouse distribution and third-party logistics company Global Logistics & Fulfillment LLC filed for Chapter 11 bankruptcy protection to reorganize its business and continue operating, according to the federal court site, PACER, What Now reported.
The debtor did not indicate a specific reason for filing for bankruptcy.
The Las Vegas-based shipping company filed its Subchapter V petition in the U.S. Bankruptcy Court for the District of Nevada, listing $100,000 to $500,000 in assets and $1 million to $10 million in liabilities on Feb. 10.
The debtor’s largest unsecured creditors include CIF Sunpoint Vegas LLC, owed about $742,000; TEC West Inc., owed about $111,000; Your Logistics Corporation, owed about $102,000; Receivable Management Services, owed about $79,000; and Let It Ride Transportation Solutions LLC, owed about $74,000, RK Consultants LLC reported.
Global Logistics & Fulfillment, which was established in 1996, offers 460,000 square feet of storage, packing, and assembly space, with 37 dock-high and 3 grade-level doors, and is close to major freeways and Harry Reid International Airport, according to its website.
Three West Coast locations
The company provides retail, wholesale, and Fulfillment by Amazon distribution services to large and mid-to-small-size customers in the U.S., North America, and international markets, through three West Coast locations in Las Vegas, San Diego, and Tijuana.
It offers same-day and two-day business-to-consumer and business-to-business, and e-commerce fulfillment through Amazon, eBay, Shopify, Wayfair, Walmart.com, Costco.com, and other retailer platforms.
Global Logistics & Fulfillment has Amazon vendor services, including Fulfillment by Amazon prep, Fulfillment by Merchant, and Seller Fulfilled Prime.
More bankruptcies:
- 73-year-old family diner franchisee files Chapter 11 bankruptcy
- More troubled regional airlines file for Chapter 11 bankruptcy
- Major department store brand liquidates in Chapter 11 bankruptcy
The company offers long- or short-term warehousing and Just In Time storage, kitting, assembly, labeling, stickering, and rework, returns processing, delabeling, and repackaging, quality control and quality assurance inspections for domestic and international shipments, cross-dock, unload, and reload services, less than truckload and parcel transportation/shipping arrangements.
The debtor’s West Coast facilities have daily pickups for the U.S. Postal Service, United Parcel Service, FedEx, DHL, OnTrac, less-than-truckload, and full-truckload carriers.
Top unsecured creditors:
- CIF Sunpoint Vegas LLC, owed about $742,000
- TEC West Inc., owed about $111,000
- Your Logistics Corporation, owed about $102,000
- Receivable Management Services, owed about $79,000
- Let It Ride Transportation Solutions LLC, owed about $74,000
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