Shipping and Logistics
Falcon Transport Announces Surprise Closure
Written by Sandy Williams
April 28, 2019
Youngstown flatbed trucking company Falcon Transport announced it is ceasing operations immediately. The estimated 550 employees of the 114 year old company received emails or text messages on Saturday night that Falcon Transport is no longer in business. Drivers and office staff were sent the following note:
“All Falcon Employees: We regret to inform you that Falcon Transport is not able to continue operations and will be shutting down effective today. Please stop any work you are doing for the company effective immediately. You are not expected to return to work. Please be on the lookout for further information we will be sending regarding this situation.”
The unexpected closing left drivers stranded across the country without means for returning home. A sharing of the notice on Facebook resulted in offers of rides and new jobs according to the Youngstown Vindicator.
Falcon Transport operates flatbed trucks serving the automotive supplier Nexteer, Ford, and General Motors–including the now closed Lordstown GM facility–as well as providing carrier service for U.S. Steel and ArcelorMittal. The steel companies have not responded to inquiries on what impact the closure of Falcon may have on steel shipments.
“It is hard to know what caused the sudden closure of Falcon Transport, one of the largest flatbed operators in the country, but the automotive sector has slowed down significantly in recent months and domestic auto manufacturers have shifted from making sedans to large trucks,” said Craig Fuller, chief executive of FreightWaves. “There has also been some consolidation among production plants, as the major car brands struggle to fight changing consumer tastes towards larger trucks and SUVs, less demand among urban dwellers and younger adults, and increasing costs due to tariffs and cross border supply-chain disruptions.”
According to FreightWaves, Falcon Transport was posting job openings on Twitter as recently as April 24 as well as touting a new office in Texas.
Sandy Williams
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