Trucking news: ACT reports trailer net orders up nearly 60 percent

The market for Class 8 vehicle equipment continues to resonate with good news for orders and production. The most recent news comes from ACT Research Co., a provider of data and analysis for trucks and other commercial vehicles, whom reported that commercial trailer net orders in May were up 59 percent year-over-year.

By ·

The market for Class 8 vehicle equipment continues to resonate with good news for orders and production. The most recent news comes from ACT Research Co., a provider of data and analysis for trucks and other commercial vehicles, whom reported that commercial trailer net orders in May were up 59 percent year-over-year.

On a year-to-date basis, net orders for trailers are up 69 percent, said ACT, coupled with order cancellations running low as truck fleets continue to see increased demand for services.

“All signs are indicating that freight growth is rapidly absorbing excess truck capacity,” said Kenny Vieth, senior analyst and partner with ACT Research, in a statement.

“With capacity tightening, trucker profits should begin to improve and swing the pendulum in favor of replacing and growing an aging trailer fleet.”

Last week, ACT reported that net orders for heavy-duty Class 8 commercial vehicles were up 84 percent in May year-over-year.

In its “State of the Industry: Classes 5-8 Vehicles,” ACT reported 13,231 net orders of Class 8 vehicles.  They said that more than half of the orders are scheduled for delivery in the third quarter, which is a strong sign that truck fleets are looking to get new units on the road before the peak fall shipping season.

This report follows a recent ACT forecast which cited a strengthening North American economy and improving supply/demand balance of freight hauling truck capacity, serving as the catalysts for a continuing rebound of orders and production of commercial vehicles is underway.

In its ACT North American Commercial Vehicle Outlook that its 2010 forecast for Class 8 vehicle production was increased by 4,500 units. This brings to total projection to 146,000 units, according to Vieth. Despite the increase, Vieth told LM in a recent interview that a typical unit replacement figure is about 200,000.

“The good news is the forecast is going up and also that even though the forecast is going up it is still well below replacement levels for equipment so capacity continues to bleed out of the market, with incremental improvement in demand,” said Vieth.

 


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!

Article Topics

ACT Research · Motor Freight · Shipping · All Topics
Latest Whitepaper
Private Fleet vs. Dedicated: Which one is right for you?
Having the right fleet for your business can give you an advantage over the competition and lower transportation costs.
Download Today!
From the April 2017 Issue
While adoption rates have remained relatively flat, yard management systems (YMS) are helping logistics operations turn that important space between the loading dock and the gate into a vital link in the supply chain.
Information Management: Wearables come in for a refit
2017 Air Cargo Roundtable: Positive Outlook Driven by New Demand
View More From this Issue
Subscribe to Our Email Newsletter
Sign up today to receive our FREE, weekly email newsletter!
Latest Webcast
Maximize Your LTL Driver Adherence with Real-time Feedback
This webinar shows how companies are using real-time performance data to optimize the scheduling of their city fleets, as well as the routing of their standard, accelerated and time-critical shipments.
Register Today!
EDITORS' PICKS
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...
2017 Rate Outlook: Will the pieces fall into place?
Trade and transport analysts see a turnaround in last year’s negative market outlook, but as...