Exploring the Nexus Between Fuel Prices and Auto Shipping Rates

Cost is the primary factor that most individuals consider when looking for an auto shipping company. Many people, however, do not realize that fluctuations in oil prices have a direct impact on shipping costs. In 2016, so far, the oil prices have fluctuated between $27 and $42 per barrel, and therefore, don’t be surprised if the same auto shipper provides two different price in a few week’s gap. Transporting your vehicle when oil prices are low can result in substantial savings on the shipping cost. Let’s explore the details.

Auto Shipping Rates

Understanding the Math
Rising fuel prices burn a hole in your pocket, especially when you need to move to another city or state or country at the time when the price per gallon is at its peak. Higher the fuel price on a route, more expensive it would be for the carrier to run on that route. The lowest price for gasoline, for instance, in the last week of March, 2016 was $1.947 per gallon in Gulf Coast and the highest was $2.570 per gallon in West Coast. Moving from West Coast to Gulf Coast or vice-versa would be more expensive compared to moving from Gulf Coast to Rocky Mountains (where the fuel price was $1.947 per gallon).

A delivery truck has a fuel efficiency of 6.64mpg, if it runs on gasoline and Texas (Gulf Coast) to Denver (Rocky Mountains) one way trip of 880 miles might cost a carrier over $261.61 – provided the price per gallon is $1.947. If the price per gallon increases to $2.570, it would straightforward increase one way transportation cost to $340.60.

Lesser-known Reason Behind Varying Fuel Prices
Some regions in the U.S. have lower fuel prices than others, especially in the South, as the area is fed by numerous oil refineries. Regions where there are more oil refineries or are close to refineries have some stations selling fuel at a cheaper price. A nationwide auto shipping company has knowledge about all these regions and would quote the price accordingly to avoid confusion later. They will also include fuel surcharges (if any) in every quote they send to the client.

How to Save on Auto Shipping?
If you are planning a long distance move, rising fuel prices can burn a hole in your pocket. Low fuel mileage and high fuel price are not a pocket-friendly combination for both – the auto shipping company and those seeking a vehicle shipping service. There’s still a way to save on the shipping cost, by finding an auto shipper who transports multiple cars in a single trailer. Car carriers might have an average of 6.64 mpg, but when they carry ten cars together, it is equal to getting a mileage of 66.4 mpg – saving money for both the sides.

Last Few Words
All in all, being aware of the factors that influence the price of shipping a vehicle help you to save a lot on vehicle transportation cost. If you wish to learn more about auto shipping and the best time to ship your vehicle, feel free to get in touch with EasyHaul at +1 (360) 597-9320 (Monday – Friday, 7am – 4pm PDT). We will be happy to answer any auto shipping related questions you have and provide a no obligation auto shipping quote.

One Ping

  1. Pingback: Seasonal Freight Charge Fluctuations – EasyHaul Weblog – Loadz Pro


Leave a Reply