Road transportation prices in France rose by 0.8% in June 2021, according to our Upply barometer. The market has been trending sharply upward for several months. But we have to be aware of inflation which could undermine margins and also of possible pressure on capacity.
In June 2021, the easing of health restrictions was carried out by the French government at a rate of knots, with in particular an end of the curfew before the date initially planned. The country's economic recovery has thus been driven by two factors: household consumption and business recovery. The only problems to have brought a sour note to the proceedings are supply difficulties in industry and construction on the one hand and recruitment difficulties in the restaurant business on the other hand.
Under these very favorable conditions, we observed the following variations in the Upply database:
- Road transportation prices in France continued their upward momentum, showing an increase of 0.8% over one month, 3.4% over one year and 0.6% over two years.
- The number of transactions recorded on the Upply database increased by 20% in June compared to May, which corresponds to an effective increase of 5% (when compared to an equivalent number of work days).
- Average mileage increased by 2.8%.
The triple elements of Price, Activity and Intensity are trending upwards, which indicates a robust and continuous momentum. The road transportation sector has emerged strengthened from the first half of the year that was announced full of pitfalls, and can approach with serenity the second half of 2021, which will be the one of economic rebound. The margins will have to be watched, however, as inflation and capacity will be critical in the coming months.