• Our offices are closed Thursday, July 4 in observance of Independence Day. No electronic transactions are processed on the holiday.

Is the Agriculture Sector Charged for Transportation Change?

semi-truck on highway

Report Snapshot

Situation

A wave of memorandums, state-level regulation, executive orders and statements have driven significant momentum behind transitioning the transportation fleet of medium- and heavy-duty vehicles (MHDVs) to zero-emission vehicles (ZEVs).

Impact

Transportation is a vital piece of the agricultural supply chain, and any changes to the transportation fleet and infrastructure will have an impact on farmers and the food supply chain. For agricultural producers in California, the transition to zero-emission medium- and heavy-duty vehicles (ZE-MHDVs) is likely to cause some initial disruptions in the supply chain. Larger agricultural producers and processors, and smaller producers that contract with large fleets, in California will begin to phase out traditional MHDVs for ZE-MHDVs and develop the needed infrastructure and logistics for timely charging. In addition to initial supply chain disruptions, the upfront financial costs could be very cumbersome for smaller players and create a geographically tighter supply chain. 

Continue reading report at TerrainAg.com.

Terrain content is an exclusive offering of Farm Credit Services of America, Frontier Farm Credit and American AgCredit.

While the information contained in this site is accurate to the best of our knowledge, it is presented “as is,” with no guarantee of completeness, accuracy, or timeliness, and without warranty of any kind, express or implied. None of the contents on this site should be considered to constitute investment, legal, accounting, tax, or other advice of any kind. In no event will Terrain or its affiliated Associations and their respective agents and employees be liable to you or anyone else for any decision made or action taken in reliance on the information in this site.

Tags: