Fleet maintenance costs saw a surprising reprieve in the final quarter of 2025, driven by a drop in labor expenses that offset ongoing inflationary pressure in the parts market, according to data released by Decisiv and the Technology & Maintenance Council (TMC).
Combined parts and labor costs fell 1.3% in the fourth quarter, a sharp reversal from the 3.8% increase reported in the prior period. The decline was spearheaded by a 2.6% drop in labor expense—"a swing in the positive direction on labor costs for us that we haven't seen in quite a while," said Rob Ziemba, senior director of marketing at Decisiv.
The drop in quarterly costs reflects lower freight volumes and mileage, but also increased efficiency at the shop level, noted Decisiv CEO Tim Hardin.
While labor costs moderated, the cost of replacement parts continued to climb, rising 3.7% year-over-year (-0.4% for Q4 vs. Q3).
Of the 25 major Vehicle Maintenance Reporting Standards (VMRS) systems tracked, 19 saw parts cost increases over the past year, while only 11 experienced labor cost hikes, according to Decisiv's VMRS quarterly cost report released Sunday at the Technology & Maintenance Council Annual Meeting & Transportation Technology Exhibition in Nashville.
The data highlights a divide between seasonal repairs and major system maintenance. While seasonal categories like air conditioning and heating saw expected fourth-quarter declines, costs for critical systems such as powerplants and brakes remained high.
The engine (33.1%), exhaust (13.6%), and cooling (5.9%) continue to rank as the top three cost drivers, according to the report, which includes data from Decisiv’s SRM platform—a system that tracks over 7 million commercial assets and 4 million annual service events.
Despite the quarterly dip, the long-term outlook remains expensive for carriers. Since early 2020, total parts and labor costs have surged 27.4%. The most dramatic increase was in the Cab and Sheet Metal category, which has skyrocketed nearly 64% over the past six years.
Ziemba noted that while fleets are facing immense pressure, they are performing better than broader economic indicators suggest. Maintenance costs have tracked below the specific transportation Producer Price Index (PPI), indicating that fleet managers are successfully leveraging technology and efficiency to moderate their expenses.
