Poor road infrastructure and a shortage of haulage vehicles is holding back the US recovery. However, growth in other modes of transport has proved a profitable play for some investors, explains WHEB's Edward Franks.
Stretched capacity The US recovery is now well established but compared to previous recoveries, this one looks pretty anaemic. One of the factors holding it back is a road transport network at full stretch. Despite a long policy preference for road transport, the building of infrastructure did not keep up pace with driver numbers. In the last 20 years of the 20th century, route miles of highway increased 1.5% while vehicle miles travelled increased 76%. Now government budgets are stretched and 21% of major US highways are officially in poor or mediocre condition. Compounding th...
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