Truck repair shops are trying hard to survive as they try to survive in the state of Oregon after losing millions of dollars in a federal bailout.
But there are also signs that the industry is getting squeezed by the growing demand for its services.
The Oregonian reported Tuesday that a local truck repair shop was forced to close its doors as a result of a federal court ruling.
“We had a lot of customers and people coming to us, but I don’t think we have enough,” said owner David Hennick, who had been operating for a decade.
“It’s tough for a truck repair guy to go to work every day.
It’s a real struggle.”
Hennokick said his truck had a damaged transmission that had been repaired by a local company that was not a part of the loan program.
He said that it took about two months for the repairs to be completed and he lost more than $400,000.
The truck was repaired by the same company, and the company also offered to repair the truck with Hennoks money.
He had to cut his own business and lay off some employees, Hennicks wife said.
Hennock said the decision to close the shop came after he received threats of violence.
“They were telling us that if we don’t go, we’re going to have to start cutting people off,” Hennikk said.
“I think that was a big factor in the decision.”
In addition to the threats of assault, there were calls for the truck repair company to close to get out of debt.
“If you don’t do it, I’m going to start closing down your business,” a caller told Hennikey.
“My business is going to close down,” another caller said.
It is estimated that there are about 500 truck repair stores in the United States, and a growing number of them are struggling to keep up with demand.
A recent survey by the trucking trade group America’s Truck Repair Alliance found that nearly 80 percent of the truck owners surveyed said they were struggling to pay their bills.
“In the past, a lot less people were going to truck repair than they are today,” the trade group’s CEO, Dave Kline, told The Hill.
“Now, that’s changed.”
The industry has been in crisis for years.
In 2008, the Department of Transportation (DOT) announced a $7.8 billion bailout for truck repair companies.
The loan program helped truck repair businesses like Hennokeys to survive, and it helped to stabilize the truck business.
But it left the industry in a precarious position.
“You can’t rely on the truck industry to provide a livelihood for people,” Kline said.
The bailout has been a boon for trucking companies like Hoenick’s.
The DOT, through its loan programs, gave loans to trucking firms to repair older trucks and replace them with newer ones.
The program has been credited with saving thousands of jobs.
But a growing industry is now competing with the truck companies for the best parts.
Truck repair companies are competing with each other for the same parts, and those costs have spiraled out of control.
The National Association of Trucking Companies estimates that the average cost of a new truck is more than double what it was in 2008, when the bailout program was enacted.
“The costs have been so high that if you don, say, put a truck on the road that’s worth $10,000 to $15,000 more, you’re in for a big problem,” Klin said.
Many truck repair firms have closed down their businesses in recent years.
Truck repairs can be costly and require specialized equipment and training.
And while the government provided incentives for truck repairs, some truck repair jobs are not as lucrative as they once were.
“For the truck, it’s kind of like buying a used car,” said Bob Johnson, owner of Johnson Truck Repair.
“People want to buy the best, most reliable truck, and you’re not getting it for a lot more than what you paid for it.”
Johnson said that as the industry has lost money, there has been no real relief for his truck repair business.
“A lot of times, people will tell you, ‘We have to get rid of it,'” Johnson said.
But he said he is not worried about the industry’s future.
“As long as I’m doing what I do, I don and don’t worry about it,” Johnson said, adding that he hopes that his business will stay open for at least another couple of years.
The cost of repair work is a growing part of what it costs to operate a truck.
A 2011 survey by consulting firm Deloitte found that the median truck repair bill in the U.S. is $6,500 per year, but that the costs for repairs have risen significantly in recent decades.
In the early 2000s, the average truck repair fee was $1,200 per year. In 2010