Subscribe to our free, weekly email newsletter!


Trucking news: ACT reports August Class 8 preliminary orders show improvement

By Jeff Berman, Group News Editor
September 08, 2011

Data from ACT Research, a provider of data and analysis for trucks and other commercial vehicles, released this week indicated that commercial vehicle net orders saw improvement in August.

According to its preliminary reading of the North American medium and heavy-duty vehicle markets, North American Class 8 orders are projected to hit 20,800 units.

This output represents a 10 percent improvement over July’s 18,700 orders and a 40 percent improvement over July 2010’s 12,400 orders.

ACT President and Senior Analyst Kenny Vieth said that while waiting for these preliminary orders to come in ACT had some early concerns about how they 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.

Final July order numbers are expected by Friday, September 16.

About the Author

Jeff Berman headshot
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. .(JavaScript must be enabled to view this email address).


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!

Recent Entries

Almost all companies today are aware of their labor or material costs... but what about energy consumption? It all comes down to having the energy data needed to determine what actions you must take to improve. The payoff is worth it, as insight into energy data allows you to make more valuable, relevant operating decisions.

With lower energy prices sparking domestic economic gains, coupled with solid manufacturing and industrial production activity, improving jobs numbers, and a GDP number that shows progress, there is, or there should be, much to be enthused about when it comes to the economy and the economic recovery, which has been raised and discussed and dissected from basically every angle possible, it seems. But that enthusiasm regarding the economy needs to be tempered, because big headline themes seldom tell the full story at all really.

The annualized turnover rate for large truckload carriers in the third quarter rose one percentage point to 97 percent, according to the ATA.

The Pacific Maritime Association (PMA), representing employers at 29 ports, and the International Longshore and Warehouse Union (ILWU), which represents 20,000 dockworkers, have come to a tentative agreement on a key issue in ongoing contract negotiations.

Diesel prices continued their ongoing decline, with the average price per gallon falling 6.7 cents to $2.866 per gallon, according to data issued this week by the Department of Energy’s Energy Information Administration (EIA).

Comments

Post a comment
Commenting is not available in this channel entry.


© Copyright 2013 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA