Year: 2025
Type: article
Abstract: Background: Carbon pricing in the form of fuel taxes is an important tool for abating climate change. This study examines the impact and pass-through of fuel taxes in the truckload freight market. Methods: State-level truckload market data, integrated with retail diesel prices, are analyzed using fixed-effects regression modeling. Results: Taxes and fuel costs are not only passed on by diesel retailers to motor carriers; the results reveal the overshifting of diesel taxes from motor carriers to shippers. Conclusions: The findings are consistent with inelastic short-term demand for long-haul carriage, indicating that relatively large price increases will be necessary to reduce diesel consumption in the trucking industry.
Source: Logistics
Institution: University of Tennessee at Knoxville
Language: English
Field: Energy
Domain: Physical Sciences
SDG: Climate action
Open Access status: gold
Estimated APC paid: $1,689
OpenAlex ID: W4413775254