In recent months, gas prices have been rising exponentially across the country. The current national average price per gallon is $3.54 and rising, that is a 37 cent increase just since February 22nd of this year. The reasons for the recent price increase are debatable, but one thing is for sure; nearly every industry has been affected in one way or another by these outrageous gas prices.

One industry being hit incredibly hard by these skyrocketing gas prices is the auto transport industry. The entire pricing system for auto transport relies heavily on the price of gas. Auto transport companies are usually forced to modify their car shipping rates in accordance with their costs of operation (such as fuel), in order to stay afloat. In times of economic stability, this is usually not an issue. In times such as this though, where gas sits just 14% below the highest recorded price in our nation’s history ($4.114 on July 17th, 2008), it becomes somewhat of a common practice.

However, depending on the size and quality of the company, the amount of fluctuation in service rates will be different from company to company. In order to remain competitive, larger auto transport companies will change their prices as little as possible, taking a cut in profit rather than customer satisfaction. Companies such as A-1 Auto Transport, an industry leader for over two decades, are able to maintain a steady flow of business by cutting their profits rather than raising their prices.

Other auto transport companies, however, take big hits by making low bids months prior to the actual transport, and then realize that gas prices have risen and it’s now going to cost them more to ship a vehicle. Sometimes, a company might hold onto a vehicle, waiting for gas prices to drop to what they were at the time the contract was created.