Freight market pushes another wave of trucking firms into bankruptcy

More than 20 trucking and logistics companies filed for bankruptcy protection in May as the industry continues to struggle with a prolonged freight recession. Carriers are facing a difficult combination of erratic demand and high operating costs, including rising insurance and equipment expenses. These filings, which include both liquidations and restructurings, highlight the ongoing financial pressure on small owner-operators and larger regional players alike.

The trucking sector saw a significant surge in insolvency filings during May, with over 20 companies seeking either Chapter 7 liquidation or Chapter 11 restructuring. Among the most prominent cases was the final liquidation of Standard Forwarding Freight, a 92-year-old Georgia-based carrier that operated 14 terminals and a fleet of 302 trucks before its recent shutdown. In the energy sector, Oklahoma-based Bullet Energy Services filed for Chapter 11 protection, reporting liabilities between $10 million and $50 million while continuing operations as a debtor-in-possession with its 32-truck fleet and 60 drivers.

The current wave of bankruptcies heavily impacted smaller operators, many of whom manage fewer than 10 power units. Companies like Arkansas-based BNL Enterprises and JN Griffin Trucking filed for protection despite operating only a handful of trucks and logging minimal mileage. This trend is reflected in SONAR’s Carrier Net Revocations data, which shows that the pace of businesses exiting the industry is currently 31% higher than the same period in 2025. Other small to mid-sized firms caught in the wave include Illinois-based Bolt Carriers, Indiana’s Dukay Trucking, and Texas-based MAR Enterprises, which logged over 1.4 million miles annually hauling general freight and produce before its filing.

These filings come as the industry navigates a recessionary environment that has squeezed profit margins since 2023. While freight volumes have shown some signs of stabilization, carriers are still grappling with elevated insurance premiums, high equipment costs, and persistent driver retention challenges. Logistics providers and brokerages have not been immune, with firms such as Arizona’s Tena Logistics US and Indianapolis-based AM Logistics also seeking bankruptcy protection. The breadth of these filings, ranging from local dump truck operations like T & T Hauling to regional industrial haulers, underscores the widespread nature of the financial strain across the U.S. freight landscape.