ASTAG Reminds of Upcoming Cost Increase for 2025

In the road transport industry, a significant cost increase is expected again in 2025. The main reason is the 5 percent increase in LSVA tariffs, which the Federal Council has decided to implement from January 1, 2025. Additionally, there are higher personnel costs, extra expenses due to a mandatory LSVA device change required by legislation, and investments in “Green Logistics.”

(Bern) The cost burden in the Swiss road transport industry will increase significantly again in 2025. The Swiss Commercial Vehicle Association ASTAG considers the ongoing acute traffic congestion problem to be extremely critical. Unfortunately, politics has failed to initiate the urgently needed adjustments in a timely manner over the past decades. Fortunately, in November, with a YES in the referendum on securing national roads (STEP), there will be an opportunity to make a correction here. However, this will not result in any immediate relief. On the contrary – further negative records in traffic congestion hours are to be expected. This leads to massive productivity losses in road transport; all efficiency gains achieved so far and in the future will be immediately and unjustly lost again.

Cost Increase of 2 to 3 Percent

Nevertheless, the Federal Council has decided to increase the tariffs for the performance-dependent heavy vehicle charge (LSVA) by 5 percent from January 1, 2025. This results in additional expenses for the industry totaling around 80 million francs per year – the main driver of cost increases for the next year. Furthermore, the LSVA devices for recording driven kilometers must be changed at the request of the Federal Government starting next year. This results in vehicle downtime and certain expenses for installations, service, and training. In general, personnel costs are also rising due to youth promotion, recruitment issues, and employee retention. At the same time, customers are increasingly demanding environmentally and climate-friendly solutions, which can only be achieved through significant investments.

Against this backdrop, ASTAG expects a total cost increase of 2 to 3 percent in road transport for 2025. In summary, the following factors contribute to this:

• Increase in LSVA tariffs by 5 percent
• Increase in personnel costs (youth promotion, recruitment/retention)
• Additional costs due to congestion and traffic overload
• Expenses for LSVA device changes (downtime, training, etc.)
• Rising costs for politically desired solutions for “Green Logistics.”

Change in Transport Prices in the Same Magnitude

As the experience of recent years shows, transport prices are expected to change in the same magnitude. For nationwide freight and long-distance transport, ASTAG estimates an increase of 2 to 3 percent. The specific increases, depending on the transport sector, company, and self-costs, must be negotiated individually with customers.

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