Diesel prices have climbed above $2.39 per litre in key markets like Toronto, placing acute financial pressure on carriers already weakened by years of soft freight demand between 2022 and 2025.
“Canada’s trucking industry has gone through several difficult years, and many carriers are only now beginning to stabilize,” said Tej Dulat of the Canadian Truck Operators Association. “A sudden increase in fuel costs at this stage creates real pressure for businesses that are already operating on thin margins.”
The sector’s struggles have wider implications. With trucking responsible for moving the majority of goods across the country, rising transportation costs risk feeding through to higher prices for businesses and consumers, adding another layer of pressure to an already fragile economic outlook.
Survey data reinforces that unease. Nearly half of Canadians expect the economy to weaken in the months ahead, while many report being financially worse off compared to a year ago.
Although the confidence index has averaged 51.53 so far this year, it remains below its long-term norm of 54.82, suggesting sentiment has yet to recover to more stable levels.