|February 13, 2006
2006 forecast to be a challenging year for the transportation industry -
2005 a banner year for Canada's two largest railroads
|This year promises to be a challenging one for the transportation industry, which continues to struggle with soaring energy prices.
One of the key sectors to watch is the railroads, which spent most of 2005 rolling in profits thanks largely to a boom in trade with
Asia. Canada's all-important, but often overlooked trucking sector is gearing up for a difficult year as it looks to a new Conservative
government for help in dealing with several key issues, including a chronic shortage of truck drivers, increasingly clogged border
crossings with the United States and a rising Canadian dollar that threatens exports. One of the bigger stories to watch will be ACE
Aviation Holdings Inc., the parent company of Air Canada. Despite vast restructuring, early indications suggest it may have a tougher
time wowing investors this year, particularly given the threat of a revitalized WestJet Airlines Ltd.
Click on the links below for a sector-by-sector breakdown of Canada's transportation industry and what to expect in 2006:
Railways – CN and CP on track
Trucking – Booming in Alberta & B.C., but traffic slowdown in Eastern Canada
Airlines – Plans to navigate the turbulence ahead
Source: Chris Sorensen - Financial Post