Another distressed trucking company files Chapter 11 bankruptcy | Official Website of Louis Velazquez, entrepreneur, finance guy and tech innovator

The Great Freight Recession continues to force trucking companies to shut down operations and, in some cases, file for bankruptcy to restructure debt and reorganize businesses.

Trucking companies have battled reduced shipping demand, lower freight rates, and rising costs of labor, fuel, and insurance, which have impacted revenues and profits over the last year.

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Freight demand faced an unseasonal decline in April 2025, “likely presaging further deterioration in the coming months,” according to an April 23 State of the Industry Report, produced by Ryder and FreightWaves.

The truckload market experienced a significant slowdown, and the intermodal sector is on a steep decline and will likely dip below 2024 levels by the end of April, the report said.

The decline is unusual since the beginning of the second quarter regularly sees demand slowly ramp up in anticipation of summer inventories and produce deliveries, according to the report.

Truckload volumes will likely fall further from this point forward, the report said, as import bookings have plummeted in recent weeks, which will first impact drayage markets and intermodal demand before showing up in truckload volume data.

Trucking companies shut down operations

Lower freight demand may have made an impact before the April unseasonal decline as Madison, Ill.-based LTI Trucking, with about 250 drivers, 300 tractors, and 575 trailers, shut down its operations on April 2, but did not file for bankruptcy protection.

The company, which did not state a reason for closing, was a major shipper of products for AB InBev, KraftHeinz, Vlasic, Hershey’s, Nestle, Tyson, Hillshire Farm, Kroger, Hostess, and Sara Lee.

Florida-based trucking company Davis Express Inc., which had 160 trucks and 140 drivers, shut down its business permanently in April after making its final deliveries on April 23 and returning all trucks to its terminal by April 30. All employees will be paid and receive benefits through their June 15 pay period, the company said.

Davis Express also did not file for bankruptcy.

Three more trucking companies filed for Chapter 11 protection on April 7, including Memphis-based trucking firm, Best Logistics Inc.; C&C Freight Network, which filed to restructure its debts, facing economic problems; and Dedham, Mass.-based Best Choice Trucking LLC, which filed for bankruptcy to restructure its debts, including a large amount of vehicle financing.

More bankruptcy:

Transportation and logistics company Balkan Express and its affiliate Balkan Logistics filed for Chapter 11 bankruptcy to restructure their debts on April 30. Balkan Express operates 159 power units and has 166 drivers who ship general freight, including beverages.

Financial distress continued into May, as logistics and trucking company KPower Global Logistics LLC filed for Chapter 11 bankruptcy protection on May 8 to reorganize its business almost four months after its affiliate Reliable Healthcare Logistics LLC filed for bankruptcy.

Next, Mount Prospect, Ill., trucking and freight transportation company AZA Transportation Inc. filed its Subchapter V Chapter 11 petition on May 14, and another trucking and logistics company Elite Carriers and four affiliates filed for Chapter 11 bankruptcy protection on May 21 to restructure their debts.

The company, which operates 70 trucks and employs 70 drivers, transports goods from the Midwest to the East Coast and Canada, according to its website.

Also, Grand Prairie, Texas-based trucking and logistics company NAS Logistics LLC filed for Chapter 11 bankruptcy protection on May 27 in the U.S. Bankruptcy Court for the Northern District of Texas to reorganize its business and restructure its debts.

Nortia Logistics files for bankruptcy to restructure its debts.

Image source&colon; Shutterstock

Nortia Logistics files for bankruptcy protection

Finally, major general freight transportation and logistics company Nortia Logistics Inc. filed for Chapter 11 bankruptcy in June to reorganize its business and restructure its debts.

The trucking company reportedly owes debts to several creditors, including multiple financial institutions and transportation-related companies.

The Franklin Park, Ill.-based company filed its petition on June 9 in the U.S. Bankruptcy Court for the Northern District of Illinois, listing $1 million to $10 million in assets and liabilities, including $3.83 million owed to Union Pacific Railroad, over $825,000 owed to Ryder Transportation, and over $515,000 owed to Prologics/KTR Illinois.

The debtor did not state a specific reason for filing for bankruptcy protection.

Nortia Logistics provides full truckload trucking, less-than-truckload shipping, intermodal shipping, warehouse consolidation and distribution, real-time tracking, and 24/7 customer support.

The trucking company currently employs 45 drivers and 56 power units, according to the Federal Motor Carrier Safety Administration’s SAFER website.

Nortia operates in the U.S. and Canada, with specialized operations on the West Coast and Canada. It operates 230 trailer units, nine warehouses, and consolidation centers.