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
The Retailer’s Atlas for Omnichannel Returns
Fueled by e-commerce, the new state of retail is truly an omnichannel one, and companies will flourish or flounder based on how well their supply chain can meet customer expectations.
Download Today!
From the November 2017 Logistics Management Magazine Issue
An inside look at how a large pharmaceutical firm transformed its vendor and supplier relationships into true, collaborative partnerships—and greatly strengthened its logistics and supply chain operations in the process.
34th Annual Quest for Quality Awards: 2017 Awards Dinner
Trucking Regulations: Washington U-Turns; States put hammer down
View More From this Issue
Subscribe to Our Email Newsletter
Sign up today to receive our FREE, weekly email newsletter!
Latest Webcast
Logistics Showcase: Rising to the same-day delivery challenge
Today’s delivery puzzles are very different than traditional DC to store or warehouse to DC puzzles. It’s not just the shorter time frame for delivery; the basic requirements are significantly different and more complex as well. In this session you'll learn how to address same day delivery challenges while also driving down costs and increasing customer satisfaction.
Register Today!
EDITORS' PICKS
2017 NASSTRAC Shipper of the Year: Mallinckrodt; Mastering and managing complexity
An inside look at how a large pharmaceutical firm transformed its vendor and supplier relationships...
2017 Alliance Awards: Recognizing outstanding supply chain partnerships
In an era where effective supply chain collaboration is both highly valued and elusive, Logistics...

26th Annual Study of Logistics and Transportation Trends: Transportation at Digital Speed
While a majority of companies strongly agree that transportation is a strategically important...
34th Annual Quest for Quality Awards: Winners Revealed
Which carriers, third-party logistics providers, and North American ports have crossed the service...