U.S. Xpress Invests in Autonomous Trucking Technology

Rhea-AI Summary

U.S. Xpress Enterprises (NYSE: USX) has announced a strategic investment in TuSimple, a leader in autonomous trucking technology. This partnership aims to enhance U.S. Xpress's operational capabilities by integrating self-driving solutions into their shipping processes. CEO Eric Fuller will join TuSimple's Executive Advisory Board, furthering collaboration. The company has begun testing TuSimple's technology on select shipping lanes to improve safety and efficiency. This move aligns with U.S. Xpress's goal to evolve from traditional trucking to a technology-driven transportation provider.

Positive

• Strategic investment in TuSimple to enhance operational capabilities.
• Testing of autonomous technology on select shipping lanes.
• CEO Eric Fuller appointed to TuSimple's Executive Advisory Board.
• Efforts to transform into a technology-driven transportation provider.

Negative

• Ongoing industry driver shortages due to reduced CDL school graduates.

U.S. Xpress Enterprises, Inc. (NYSE: USX) has announced an investment in TuSimple, a self-driving technology company bringing to market an autonomous solution for long-haul freight transportation. In addition to a significant financial investment, U.S. Xpress is actively testing the technology on select shipping lanes and President & CEO, Eric Fuller has joined TuSimple’s Executive Advisory Board.

Eric Fuller, President & CEO, U.S. Xpress Enterprises, Inc. (Photo: Business Wire)

“We’re passionate about finding innovative solutions to industry challenges and investing now will give us a clear advantage when this technology matures in the years to come,” said Fuller. “Additionally, the Executive Advisory Board is bringing together market-specific insight from across the industry to help drive the development and adoption of this important technology.”

U.S. Xpress has been working with TuSimple since 2019 and has recently begun testing the autonomous technology on select lanes for some of its major customers. From this testing, TuSimple can gather vital information and benchmark safety and efficiency standards which will help bring the technology to market safely and reliably.

“U.S. Xpress has been a valuable partner in the testing of our autonomous technology and Eric will continue to provide expert guidance in helping drive the adoption of autonomous trucks as a member of our Executive Advisory Board,” said Cheng Lu, CEO, TuSimple.

Although the industry will always have a need for professional drivers, shortages caused by reduced CDL school graduates and the Drug & Alcohol Clearinghouse is impacting the industry in both the near- and long-term (see the company’s recent economic forecast). Autonomous trucks will give U.S. Xpress additional options for its shippers and fold into a robust portfolio of solutions.

Last year, the company introduced its tech-enabled fleet, Variant, and in coming months, will be rolling out a new brokerage offering. U.S. Xpress remains focused on transforming from a traditional trucking company to a true digital transportation solutions provider and this TuSimple partnership is another example of the company’s innovation.

U.S. Xpress Enterprises, Inc.

Through its subsidiaries, U.S. Xpress Enterprises, Inc. (NYSE: USX), offers customers over-the-road, dedicated, and brokerage services. Founded in 1985, the Company utilizes a combination of smart technology, a modern fleet of tractors and a network of highly trained, professional drivers to efficiently move freight for a wide variety of customers. U.S. Xpress implements a range of digital initiatives and technology to drive innovation in the industry, streamline the value chain for customers and improve the overall driver experience. For more, visit usxpress.com.

USX Corporate

View source version on businesswire.com: https://www.businesswire.com/news/home/20210121005905/en/

FAQ

What is U.S. Xpress's investment in TuSimple about?

U.S. Xpress is investing in TuSimple to integrate autonomous trucking technology into its operations.

Who is Eric Fuller in relation to U.S. Xpress and TuSimple?

Eric Fuller is the CEO of U.S. Xpress and has joined TuSimple's Executive Advisory Board.

How will U.S. Xpress benefit from the partnership with TuSimple?

The partnership aims to enhance operational efficiency and safety, providing innovative solutions for freight transportation.

What challenges is U.S. Xpress facing in the trucking industry?

U.S. Xpress is facing driver shortages driven by reduced CDL school graduates and regulatory impacts.