Key Regulations Impacting The Freight Industry In 2024

Freight transportation and logistics are heavily regulated to protect safety, employment rights and sustainability. Compliance is mandatory, but frequently changing legislation also creates challenges for industry operators. This analysis examines major upcoming regulatory impacts in 2024 that logistics managers must prepare for.

UK Road Freight Carbon Reduction

The UK government has mandated a 15 per cent carbon emissions reduction from heavy goods vehicles by 2025 compared to 2019 levels. Low emission zones, clean air zones and potential road pricing aim to drive progress.

Freight companies need to evaluate fleet upgrades, alternative fuels, efficiency measures and incentives to meet targets. Electrification, hydrogen power and retrofits are likely pathways. Investment plans need shaping to balance commercial realities and sustainability.

UK Diesel Vehicle Ban

The UK plans to ban sales of new diesel trucks by 2040 as part of a net zero strategy. However, existing diesel vehicles can remain in service.

Fleets need to start transitioning to electric and hydrogen drivetrains over the next decade to prepare. Supporting infrastructure like charging and hydrogen refuelling will require development. Operators should assess the total cost of ownership changes and replacement schedules.

EU Road Freight Emission Standards

EU emission performance standards for new trucks currently mandate 15 per cent CO2 reduction versus 2019 levels by 2025, followed by 30 per cent by 2030. Further reductions are likely to be legislated.

Fleets serving EU markets need to evaluate timelines for acquiring compliant electric and hydrogen vehicles. Used vehicle import restrictions may also arise. Route planning may need to consider charging infrastructure availability.

Global Fuel Efficiency Standards

International efforts are introducing improved fuel efficiency standards for freight vehicles in major markets like the US, Canada, Japan, China and India. This aims to curb transport emissions.

Shippers need to consider efficiency criteria when purchasing vehicles destined for these locations. Specifying compliant drivetrains and equipment will become necessary. Carriers can gain a competitive edge through higher efficiency fleet capabilities.

Electronic Logging Device Mandates

Many countries now require electronic logging devices on commercial vehicles to enforce rest time regulations and maximum driving hours. Markets with rules include the EU, US, Canada and Australia.

Operators need to install certified, tamper-proof telematics equipment to electronically verify driving time adherence. This incurs upfront costs but improves compliance assurance. Software and analytics can help optimise schedules.

Container Weighing Requirements

Regulations in force across major jurisdictions require certified weighing of loaded containers before ocean shipping to improve safety. This prevents hazardous overloading.

Shippers must implement certified weighing procedures at packing facilities or arrange terminal weighing services. Modified logistics protocols are necessary to incorporate legal weight verifications into the container despatch process.

Secure Truck Parking Expansion

Expanding secure truck parking at roadside rest facilities is an EU priority to reduce cargo crime. New security and surveillance mandates aim to cut freight thefts.

Fleet operators need to factor the utilisation of approved secure parking locations into route planning for drivers in the EU. Public investment aims to multiply secure capability tenfold over the next decade to enable this.

Drug and Alcohol Clearinghouse Laws

The US and Canada have established national driver drug and alcohol testing databases to improve compliance with clearance regulations. These share positive results across employers.

Carriers must implement robust substance testing programs. Checking the clearinghouses for prospective driver violations provides an added layer of scrutiny that is now mandatory. This helps ensure fully compliant staffing.

Environmental Packaging Regulations

Governments globally are introducing new standards for packaging sustainability requiring recyclable materials and recycled content levels in packaging used for consumer goods and freight.

Manufacturers and shippers need to reformulate packaging to comply with emerging environmental regulations. Planning for compliant packaging must become part of product design and distribution considerations. Fines apply for breaches.

Food Safety Modernisation Act

This major reform of US food safety law requires documented hazard prevention and mitigation controls for food importers and transporters. A US agent must verify compliance.

Foreign exporters of food products to the US must implement detailed hazard analysis procedures and controls that are subject to audit. Carriers also need robust food safety protocols.

Labour Regulations

Employment legislation continues expanding across markets with initiatives like minimum wage increases, gig economy protections, leave entitlements and anti-discrimination rules.

Logistics businesses need to track labour regulatory changes to remain legally compliant. Consultation can help shape equitable implementations. There are costs but also potential efficiency benefits.

Cybersecurity Laws

Prescriptive cybersecurity standards are growing fast with proliferating laws mandating data protection, reporting breaches and implementing certified information security management systems.

Logistics firms must implement compliant cyber safeguards like encryption, multi-factor authentication and firewalls. Staff training and testing resilience are also key. Appointing a chief information security officer provides focus.

Summary Freight Industry In 2024

The extensive above developments require freight businesses to adjust strategies and operations to ensure compliance. While demanding, proactive preparation will enable competitive advantage as regulatory adherence becomes mandatory. Company sustainability and resilience depend on astutely adapting to evolving standards. Constructive industry participation in policy shaping can help balance objectives. Through savvy leadership and preparation, regulations become navigable developments.