7 ROAD TRANSPORTATION

TRUCKING FREIGHT TRANSPORTATION

TRUCK TRAFFIC IN CANADA

A new Trucking Commodity Origin and Destination (TCOD) Survey has been developed and put in place by Statistics Canada, with 2004 as the reference year. At the time of publication of this report, some preliminary data were made available.⁹ In 2004, Canadian for-hire trucking firms earning with operating revenues of $1 million or more carried 604.3 million tonnes, including 508.2 million tonnes domestically and 96.1 million tonnes at international level. Long-distance carriers accounted for 60 per cent of total tonnage carried. In the following analysis, trade data (value) will be used to approximate the truck traffic in 2005 and 2006.

TRUCK TRAFFIC BY SECTOR

Most recent data in domestic trade¹⁰ go back to 2003. The estimated value of goods traded at the domestic level by all modes was $620 billion. Of this, $447.1 billion (77 per cent) was traded intraprovincially, while $142.6 billion (23 per cent) was traded interprovincially. Ontario dominated intraprovincial commodity trade, accounting for $191.1 billion, or 40 per cent of the total. Quebec followed with a 21 per cent share, then Alberta at 17 per cent and British Columbia at 10 per cent.

A modal breakdown was not available from the “input–output” source. However, a rough estimate of the value of domestic trade carried by trucks could be derived from many sources, such as transportation surveys¹¹ for various modes (tonnes) and the Canadian Vehicle Survey. As shown in Table 7-14, Canadian for-hire trucks¹² carried over 80 per cent of total tonnage shipped intraprovincially in 2004. Interprovincially, the rail mode dominated with 56 per cent of total tonnes shipped between provinces, followed by for-hire trucking at 35 per cent. The Canadian Vehicle Survey also indicated some estimates, according to sector, of vehicle-kilometres for all trucks weighing at least 4,500 kilograms. In 2005, around 65 per cent of all vehicle-kilometres by trucks were driven intraprovincially. It would be relatively safe to estimate, therefore, that at least 60 per cent of domestic trade activity is related to trucks. This figure is probably higher, as the traffic activity of private carriers, small for-hire carriers and owner-operators is not presently measured.

Notes: N/A = Not available.

Source: Transport Canada, adapted from Statistics Canada, various publications on transportation

At the international level, international trade custombased data provide the mode of transportation at the port of exit (export case) and at the port of clearance in the case of imports. In 2006, Canada’s total exports shipped by trucks totalled $185.8 billion, down from $188.4 billion in 2005. The United States was the final destination for the quasi totality of these exports. The import picture is less clear because the mode at the port of clearance is not necessarily the same as at the port of arrival.¹³ As a result, imports by trucks were slightly overestimated at $216.2 billion in 2005 ($221.1 billion in 2006). The United States was the country of origin for commodities shipped by truck, amounting to $164.7 billion in 2005 and $166.0 billion in 2006.

COMMODITIES AND TRUCKING FLOWS

In domestic trade, construction materials were the main commodity groups carried. In 2003, these shipments were valued at $151.1 billion (24 per cent of total domestic goods trade) and were moved almost exclusively within provinces. At $105.8 billion (17 per cent), agricultural products ranked second and were followed far behind by energy products ($64.4 billion, 10 per cent) and primary metals, metal and mineral products ($55.0 billion, nine per cent). Ontario, Quebec and Alberta dominated both intraprovincial and interprovincial trade, capturing almost 80 per cent of all domestic trade activity for goods. The Quebec–Ontario route (both directions) was the main interprovincial flow, accounting for $40.4 billion worth of commodities, or 28 per cent of total interprovincial trade. The Alberta–Ontario route (both directions) followed at $20.1 billion (14 per cent). Tables A7-8 to A7-12 in the Addendum provide more details on commodity groups and interprovincial flows.

In international trade, five commodity groups represented almost 80 per cent of total exports by trucks in 2005: automobiles and transport equipment ($44.5 billion), machinery and electrical equipment ($36.0 billion), other manufactured products ($32.2 billion), plastic and chemical products ($19.2 billion) and base metals / articles of base metal ($18.2 billion). In 2006, the same commodities dominated in similar proportions. The same five groups captured 87 per cent of total truck-related imports reported in 2005: machinery and electrical equipment ($67.4 billion), automobiles and transport equipment ($47.1 billion), other manufactured products ($32.9 billion), plastics and chemical products ($24.3 billion) and base metals / articles of base metal ($17.0 billion). The picture was similar in 2006.

The busiest transborder route was the Ontario–central U.S. region¹⁴ (both directions), which accounted for $166.9 billion in 2005 or 29 per cent of total Canada–U.S. trade. This was followed by the Ontario–U.S. south region ($71.6 billion) and the Ontario–U.S. northeast region ($51.7 billion). Almost 80 per cent of shipments in these three routes were carried by trucks. The same trends prevailed in 2006. Tables A2-5 and A7-12 in the Addendum indicate more information of the routes and commodities carried.

CANADA–U.S BORDER CROSSING ACTIVITY

Commercial truck activity across the Canada–U.S. border oscillated in the range 13.2 to 13.4 million two-way trips between 2001 and 2005 before falling by three per cent in 2006 to 12.9 million two-way trips, the lowest count since 1998. Crossing activity remained below the 2000 peak for the sixth straight year. Daily truck crossings at Canada–U.S. border crossing points in 2006 remained over 35,000 movements, at 35,440 daily crossings. \

Car crossings continued their steady decrease since 1997, falling to 56.3 million trips in 2006, the lowest level since 1985. Tables A7-13 and A7-14 in the Addendum compare the level of heavy truck activity and car movements at the top 20 border crossings in from 2002 to 2006.

⁹ Statistics Canada, The Daily, Cat. 11-001, March 16, 2007. Return

¹⁰ Interprovincial trade flows are estimated using the provincial National Accounts Information System, which is based on inputs and outputs. Statistics Canada recently issued a new time series (1997 – 2003) based on the new North American Industry Classification System (NAICS) but this does not include a modal breakdown of the provincial trade flows. Return

¹¹ Trucking Commodity Origin and Destination (TCOD) survey; and other Statistics Canada surveys on the marine, rail and air modes. Return

¹² Canadian-domiciled local and long-distance for-hire trucking firms with annual revenues of $1 million or more. Return

¹³ In the case of imports, the mode of transport represents the last mode by which the cargo was transported to the port of clearance in Canada and is derived from the cargo control documents of customs. This may not be the mode of transport by which the cargo arrived at the Canadian port of entry in the case of inland clearance. This may, therefore, lead to some underestimation of Canadian imports by the marine and air transport modes. Return

¹⁴ The U.S. Central region includes states in the Great Lakes area: Michigan, Ohio, Indiana, Illinois, Wisconsin, Minnesota, Iowa, Missouri, North Dakota, South Dakota, Nebraska and Kansas. Return

Major Events in 2006

Other Issues of Significance

Infrastructure

Industry Structure

Passenger Transportation

Freight Transportation

Trucking Freight Transportation

Price, Productivity and Financial Performance