Subscribe to our free, weekly email newsletter!


Trucking news: ACT reports gain in trailer order activity

By Jeff Berman, Group News Editor
October 24, 2011

Data published this week by ACT Research, a provider of data and analysis for trucks and other commercial vehicles, stated that September Class 8 trailer order activity was up in September, with net orders roughly 31 percent ahead of August and up 22 percent annually.

ACT also reported that total trailer factory shipments were up about 65 percent compared to September 2010.

“Production is still outpacing new order intake, despite the improvement in orders in September,” said Frank Maly, Director CV Transportation Analysis and Research with ACT, in a statement. “This is reducing the backlog. However, we cannot divorce ourselves from seasonality: orders are always weak and backlogs always fall through the third quarter. On a seasonally adjusted basis, total trailer backlogs have been virtually unchanged since May.”

Orders for trucking equipment have been in a relative slowdown occurring since a big order intake in April, caused by some artificial things that were starting to pull demand ahead, said Steve Tam, vice president-commercial sector at ACT, in a recent interview.

Among these “artificial” things are signals from truck OEMs that price increases for parts and components is coming, with discounting starting to cease as pricing is returning their way.

These things all manifested themselves in the form of some type of a price increase, with truckers looking to buy equipment doing so in April, according to Tam.

“Truckers are creatures of habit so their capital investment cycle follows a fairly predictable pattern, which helps us gauge what is going on,” said Tam. “We can expect to see orders remain down at this lower level through at least September and probably October.”

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

Earlier today, the United States Senate signed off on a six-year surface transportation authorization, according to various media reports. The bill, entitled the Developing a Reliable and Innovative Vision for the Economy (DRIVE) Act, passed by a 65-34 margin and comes at a time, when the most recent extension for surface transportation funding expires tomorrow, July 31.

Demand for the $500 million in available funding for the United States Department of Transportation’s TIGER (Transportation Investment Generating Economic Recovery) competitive grant program was easily trumped, with applications for the seventh round of TIGER grants coming in at $9.8 billion, or nearly twenty times the available amount, DOT said this week.

Global logistics managers will be tracking the progress of the controversial Trans-Pacific Partnership (TPP) talks in Maui, Hawaii this week, as negotiating parties hope to finalize the agreement.

As has been noted in recent coverage on this site in regards to Peak Season, one underlying theme has been, and remains, how Peak Season is not what it used to be. That is not to say there will not be any Peak Season-related activity. Make no mistake, there will be and things driving it from the seasonal nature of business activity and cargo flows to higher demand and increased e-commerce activity, among others.

UPS Access Point locations serve as a replacement delivery address when consumers are not at home to receive a package or when consumers want a delivery to go somewhere other than their residence.

Article Topics

News · ACT Research · Class 8 Trucks · Trailers · All topics

Comments

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


© Copyright 2015 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA