BREAKING: STG Logistics Inc., a major player in the trucking industry, has officially filed for Chapter 11 bankruptcy, marking a monumental shift in the shipping landscape. This urgent announcement was made on Monday in the US Bankruptcy Court for the District of New Jersey, driven by a crippling freight recession impacting the sector for nearly four years.
With an alarming $1.16 billion in debt and assets between $1 billion to $10 billion, STG’s filing underscores the severe challenges facing the industry, which began in March 2022 after a pandemic-driven boom peaked in 2021. CEO Geoff Anderman expressed confidence in the restructuring process, stating, “Today’s announcement marks an important milestone in our efforts to strengthen STG amidst one of the most severe freight recessions in history.”
The bankruptcy comes at a time when major retailers like Dollar General and Home Depot are launching private in-house shipping fleets, significantly impacting traditional shipping companies. These private fleets now account for a staggering 70% of all outbound shipments in the United States, drastically affecting STG’s revenue and market share.
CFO Tyler Holtgreven highlighted that “softening freight demand, along with lingering excess capacity in the market” has pushed STG towards this critical decision. The company is also grappling with rising inflation and increasing insurance rates, further straining its operational budget.
This development reflects broader economic pressures, including a 14% decline in import volumes due to tariffs imposed during the Trump administration, which have compounded the challenges for the trucking sector. As a result, STG’s revenue has plummeted by 7% in 2025 compared to 2024, signaling a significant downturn.
The ramifications of STG Logistics’ bankruptcy extend beyond the company itself, potentially affecting supply chains across the nation. This urgent situation highlights the fragility of the logistics sector in a rapidly changing economic environment.
As the situation develops, industry experts and stakeholders will be closely monitoring how STG navigates this restructuring process and what it means for the future of shipping in the United States.
Stay tuned for more updates on this unfolding story as the impact of these changes becomes clearer.
