Companies should prepare for negotiations with logistics providers
The changes to truck toll charges in Germany decided by the German government already made companies sit up and take notice a few weeks ago. While the government wants to raise additional funds for transport infrastructure, many are expressing concerns about the threat of competitive disadvantages.
It is important that companies prepare for the upcoming changes in order to minimize the impact on their business. On October 20, the Bundestag passed the federal government’s bill to change tolls. Here are some important information and steps you should consider:
The first changes to the truck toll will come into force on December 1, 2023. More will follow by 2026. These changes include, among other things
- Introduction of a partial toll rate for CO2 emissions.
- New axle classes for vehicles.
- Extension of the toll obligation to vehicles with a gross vehicle weight of more than 3.5 tons.
The CO2 toll will have a significant impact on costs. From as early as December 2023, a CO2 surcharge of 200 euros per ton of CO2 will be levied, which will lead to an extreme increase in the existing toll prices for heavy goods vehicles. For example, a haulage contractor with a Euro VI standard truck, CO2 class 1 and a gross vehicle weight of 18 tons or more with five or more axles will pay 34.8 cents per km instead of 19 cents per km previously. This represents an increase of 83 percent.
Negotiations with logistics providers
The freight forwarding industry is warning of additional costs and possible price increases that will also affect end consumers along the supply chain. It is to be expected that logistics providers will attempt to increase their prices due to the toll changes on all domestic German and European routes. This will lead to intensive negotiations. Companies should prepare for these talks.
Freight cost optimization projects, help from Kloepfel Consulting
The evaluation of the increase proposed by freight forwarders is often complex and multi-layered. It depends on many factors, including the proportion of domestic and international routes, different rate structures and other influencing factors. In such a dynamic and ever-changing environment, it can be difficult to adequately assess the impact of toll adjustments.
This is precisely why professional support is crucial. At Kloepfel Consulting, we understand the nuances and challenges companies face. We can help you conduct an informed analysis of the impact of toll increases on your freight costs. Our experts in procurement and supply chain management can consider the complex factors and develop solutions that will increase your competitiveness, even in times of changing toll rates and complex supply chain structures.
If you are looking for professional support in coping with the upcoming truck toll changes, do not hesitate to contact Kloepfel Consulting.
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