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
Unlock the Value of Your Supply Chain Through Embedded Analytics
Learn how embedded analytics can provide deeper supply chain intelligence and help you extract maximum value from data for your supply chain operations
Download Today!
From the May 2017 Issue
Everyone is talking about terms like digitization, Industry 4.0 and digital supply chain management, but what sort of technologies fall under these broad terms, and how will they change the management capabilities at our disposal? To find out, we talked to some noted supply chain analysts, consultants and technology executives and gathered six digital trends to watch.
Transportation Trends and Best Practices: The Battle for the Last Mile
2017 Technology Roundtable: Are we closer to “Intelligent” Logistics?
View More From this Issue
Subscribe to Our Email Newsletter
Sign up today to receive our FREE, weekly email newsletter!
Latest Webcast
Going Beyond Rate Negotiations for Logistics Cost Savings
The pressure to reduce cost is a fundamental part of every organization today leaving many supply chain professionals constantly renegotiating rates. This webcast examines four areas that may hold untapped savings potentials and even help organizations negotiate better rates.
Register Today!
EDITORS' PICKS
The Evolution of the Digital Supply Chain
Everyone is talking about terms like digitization, Industry 4.0 and digital supply chain management,...
2017 Salary Survey: Fresh Voices Express Optimism
Our “33rd Annual Salary Survey” reflects more diversity entering the logistics management...

LM Exclusive: Major Modes Join E-commerce Mix
While last mile carriers receive much of the attention, the traditional modal heavyweights are in...
ASEAN Logistics: Building Collectively
While most of the world withdraws inward, Southeast Asia is practicing effective cooperation between...