Trucking news: ACT data says August commercial vehicle orders hang tough

Data from ACT Research, a provider of data and analysis for trucks and other commercial vehicles, showed that commercial vehicle orders did fairly well in August in light of the increasing amount of economic turmoil in recent weeks.

By ·

Data from ACT Research, a provider of data and analysis for trucks and other commercial vehicles, showed that commercial vehicle orders did fairly well in August in light of the increasing amount of economic turmoil in recent weeks.

LM reported last week that in ACT’s preliminary reading of the North American medium and heavy-duty vehicle markets, North American Class 8 order hit 21,200 units, which was ahead of the preliminary tally of 20,800 units.

August is up 13 percent improvement over July’s 18,700 orders and 71 percent improvement over July 2010’s 12,400 orders.

“The events that caused confidence to wane are still in play and are likely to haunt the economy in coming quarters” stated Kenny Vieth, president and senior analyst at ACT, in a statement. “However, there was not any perceptible impact on the front-end of the commercial vehicle demand continuum. Medium duty and heavy duty vehicle orders rose above expectations during the month and cancellations remained modest.”

ACT President and Senior Analyst Kenny Vieth told LM in a recent interview that ACT had some early concerns about how the August numbers would turn out due to political turmoil and faltering consumer confidence numbers, among other things.

“We were a little bit leery as to how things would look,” said Vieth. “July and August represent the two weakest order months of the year. The fact that we approached 21,000 orders in August, given the backdrop of [negative] headlines made these numbers a pleasant surprise.”

The underlying fundamentals in the marketplace remain strong, said Vieth, explaining that there is more freight relative to trucks on the road. Pricing remains healthy, and that was reflected in the second quarter as carriers reported strong profit margins.

Another factor influencing higher orders is that used equipment prices are continuing to rise, said Vieth.

“There is enough freight out there and truckers are making money hauling that freight,” he said.  “Used asset evaluations are strong so it is facilitating a continued ability to replace older trucks with newer trucks.


About the Author

Jeff Berman, Group News Editor
Jeff Berman is Group News Editor for Logistics Management, Modern Materials Handling, and Supply Chain Management Review. Jeff works and lives in Cape Elizabeth, Maine, where he covers all aspects of the supply chain, logistics, freight transportation, and materials handling sectors on a daily basis. Contact Jeff Berman

Subscribe to Logistics Management Magazine!

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your entire logistics operation.
Start your FREE subscription today!

Latest Whitepaper
B2B Sellers Prefer a Unified Approach for Ecommerce
A new study from Forrester Consulting, commissioned by NetSuite, found that many midmarket, B2B sellers say their ecommerce solutions have contributed to their growth in sales, new customer acquisitions and improved customer relationships.
Download Today!
From the August 2016 Issue
A growing number of low-cost lift trucks offer new avenues for pairing equipment and applications, but less cautious buyers might find that small up-front costs come at a steep price. Selecting the proper lift truck, lift truck tips 2016, Choosing the right Lift Truck
Megatrends in ocean freight
Ocean Cargo Roundtable: What’s in store for 2017?
View More From this Issue
Subscribe to Our Email Newsletter
Sign up today to receive our FREE, weekly email newsletter!
Latest Webcast
Getting the most out of your 3PL relationship
Join Evan Armstrong, president of Armstrong & Associates, as he explains how creating a balanced portfolio of "Top 50" global and domestic partners can maximize efficiency and mitigate risk.
Register Today!
EDITORS' PICKS
2016 Quest for Quality: Winners Take the Spotlight
Which carriers, third-party logistics providers and U.S. ports have crossed the service-excellence...
Regional ports concentrate on growth and connectivity
With the Panama Canal expansion complete, ocean cargo gateways in the Caribbean are investing to...

Digital Reality Check
Just how close are we to the ideal digital supply network? Not as close as we might like to think....
Top 25 ports: West Coast continues to dominate
The Panama Canal expansion is set for late June and may soon be attracting more inbound vessel calls...