By Andrew Miller
Diesel prices have hit record highs across the nation. Fuel costs have soared nearly 50% in the past month due to the war in Iran.
California, home to some of the busiest container ports in the country, saw a record high $7.17 per gallon on Friday. Nearby in Washington, prices hit another record high of $6.55.
Skyrocketing fuel costs come at a time when the trucking industry has been in a four-year slump. High inventory levels, tariff uncertainty, and low demand in many sectors like manufacturing has slowed the industry down.
While larger firms like FedEx can absorb the costs and negotiate lower fuel prices, smaller independent trucking firms are getting crushed. This isn’t just a trucking problem, it’s a small business problem.
Independent owner-operators running their own smaller trucking fleets typically own their rigs and pay for their fuel and maintenance. They don’t have access to fuel depots and locked-in wholesale fuel prices like large carriers do. So when fuel costs rise, their margins are left thinner and thinner.
However, there may be an emerging technology available for independent truckers.
This month, Tesla began production on their fully-electric semi-truck, the Semi. Tesla is expected to deliver between 5,000 to 15,000 trucks this year before ramping up to 50,000 per year.
EVs are nothing new in the trucking space, but the latest real-world test results look promising.
Mone Transport, a logistics firm focused on freight operations between Mexico and the US, tested the Semi across a 4,700 mile stretch known for extreme heat and heavy traffic throughout Texas and the southern border.
The Semi reported an energy consumption rate of 1.64 kilowatt-hours (kWh) per mile over 4,700 miles. To put this into perspective, conventional Class 8 diesel trucks average 6 to 7 miles per gallon. Converted, that number is around 5.5 kWh for a single mile.
So, Tesla’s Semi is three to four times as energy-efficient.
The data matches up with tests done by PepsiCo, DHL, and Saia too. All found that Tesla’s electric truck matched the performance of its diesel counterparts while using significantly less energy.
Despite promising numbers, truckers have always been hesitant to invest in electric trucks. They take hours to charge and fueling stations are limited.
Here’s where that’s changing…
Pilot, the largest operator of travel centers in the US, recently partnered with Tesla to install Semi Chargers at select locations along I-5, I-10, and other major corridors where truckers pass through. Construction will begin in the first half of 2026 at Pilot centers across California, Georgia, Nevada, New Mexico, and Texas.
Each location will host four to eight charging stalls. The Semi can be charged to 60% in just 30 minutes, matching the length of a standard mandated break for drivers. Compared to options from Volvo and Nikola with a range of 225 miles, the Semi goes 500 miles on a single charge.
One problem still remains. The Semi is still double the cost of a diesel truck. That’s a significant investment for any small business owner.
Securing a loan from a traditional bank typically means strong credit, over two years in business, and clean financials. That’s a tough bar for owner-operators dealing with stagnant freight demand and fuel costs adding an extra $300-400 to their weekly expenses.
That’s where alternative lenders come in. Unlike traditional banks, they underwrite based on cash flow and business performance… not just credit scores and balance sheets. For an owner-operator with steady freight volume who doesn’t fit a bank’s checklist, that distinction matters.
Signet Capital Group works with small fleet operators navigating exactly this kind of equipment decision. If the math is starting to make sense but the capital isn’t there yet, that’s the conversation to have. Contact us now to explore your options.
The operators who come out ahead in a market like this are the ones making capital decisions now, before everyone else is forced to.