AMERICAN ASSOCIATION OF STATE HIGHWAY AND TRANSPORTATION OFFICIALS
INTRODUCTION
Facing America’s Freight Capacity Crisis
“ A thriving economy is built on good transportation. Some seem to think that the nation is now built for all time and that we can continue to prosper without expanding our transportation system. They are wrong. The simple fact is: No transportation, No economy. They are inseparable. We must invest to maintain and strengthen the American “Transconomy.”
— AASHTO President Larry (Butch) Brown,
Executive Director, Mississippi Department of Transportation
America faces a freight transportation capacity crisis. Our highways, railroads, ports, waterways, and airports require investment well beyond current levels to maintain—much less improve—their performance. All systems are aging and stretched to capacity. The collapse of the economy in late 2008 temporarily reduced demand at seaports, and reduced truck and rail freight volumes. The time it takes for the economy to recover will give highway, rail, and port systems a breather before the capacity of the freight system will again constrain U.S. economic growth. During this period, decision makers will need to find a way to fund the improvements needed to improve the national freight system.
Transportation and the Economy
Transportation is vital to the U.S. economy. A $1.2 trillion industry, it generates eight percent of the nation’s jobs and accounts for nine percent of the U.S. economy. More importantly, it provides the equipment and services that support all other industries, especially manufacturing, retail, services, agriculture, and natural resources, which together account for 84 percent of the U.S. economy. The performance of the nation’s freight transportation system directly affects:
- Economic Development and Jobs—Reliable freight transportation gives businesses a competitive advantage in the global economy by providing them with the ability to deliver products at lower cost while reaching larger markets. More than 10 million people work in jobs in the freight transportation industry, from couriers, truckers, laborers, shippers, railroad conductors and mechanics to postal carriers, warehouse operators and stock clerks.
- Standard of Living—The freight transportation system delivers an immense range of food, clothing, tools, materials, and services to homes and businesses. Consumers enjoy an unprecedented variety and quality of products because producers are able to manufacture, trade, and distribute across local, national, and global markets.
This report addresses:
- The Growing Freight Demand
- Staying Competitive in the Global Economy
- Corridors of Congestion Instead of Corridors of Commerce
- What Needs to be Done to Keep Freight On the Move
Download Full Report (PDF): Transportation Reboot
About American Association of State Highway and Transportation Officials
www.aashto.org
“The American Association of State Highway and Transportation Officials is the voice for transportation and catalyst for organizational and technical excellence…AASHTO advocates transportation-related policies and provides technical services to support states in their efforts to efficiently and safely move people and goods.”
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