TGS Transportation Ceases Operations After 40 Years in Business

TGS Transportation, a drayage trucking company based in Fresco, California, has announced its closure after four decades of operation. The decision, made public on October 19, 2023, comes as the company faces “challenging market conditions” that have significantly impacted the industry. The announcement was shared via a letter from President Peter Schneider on the company’s LinkedIn page.

The letter, which was co-signed by Chief Executive Officer Timothy Schneider and Chief Operating Officer Robert Loya, expressed gratitude to vendor partners and customers for their support over the years. “To Our Valued Customers: We extend our heartfelt thanks for your unwavering trust and partnership over the past 40 years,” the letter stated, highlighting the importance of long-standing relationships that contributed to the company’s success.

In addition to thanking its customers, TGS Transportation acknowledged the dedication of its employees, particularly during the past year and a half, a period marked by increasing operational challenges. The letter hinted that some team members may continue to serve the industry “under a new flag,” indicating potential new opportunities for staff.

Founded on May 1, 1985, by Timothy Schneider, TGS Transportation has provided a variety of logistical services, including the transportation of general freight, building materials, large machinery, and fresh produce. According to data from the Federal Motor Carrier Safety Administration (FMCSA), the company has been an integral part of California’s transportation network, handling diverse loads ranging from chemicals to refrigerated foods.

The closure of TGS Transportation echoes recent trends in the trucking industry. Just over a year ago, another California-based company, Tony’s Express, ceased operations after 70 years, citing similar market difficulties. These closures raise concerns about the sustainability of the trucking sector amidst fluctuating demand and increasing operational costs.

As TGS Transportation wraps up its final operations, it promises to share further information on how customers can continue to receive exceptional service and support in the future. The company’s legacy, built over four decades, serves as a reminder of the challenges facing the logistics industry today, as well as the vital relationships that sustain businesses in this competitive environment.