Truck Orders Still Looking Good
COLUMBUS, IN. — Both medium-duty and heavy-duty truck net orders are still strong in October, rising to their “highest level” since the start of the cycle, said ACT Research.
Final numbers rose to 23,431 units for Class 8 net orders, with medium-duty Class 5-7 vehicles rising to 19,285 units, up 35 percent month-to-month and year-to-year.
“With housing related activity surprising on the high-side the past several months, medium-duty truck orders rose to their highest level since the start of the cycle,” said Kenny Vieth, ACT’s president & senior analyst.
Vieth also said that other circumstances during the October period may have added to the change of pace.
“Underscoring the increase in activity was the fact that the improvement occurred in the face of electoral and fiscal uncertainty and despite Hurricane Sandy disrupting business up and down the East Coast at month’s end,” Vieth said.
Trailer Orders Up Too
Tractors weren't the only ones to enjoy a positive surge in popularity, as new trailer orders rose by nearly a third from September to 24,707 units in October, according to ACT.
“Dry vans were responsible for much of the month-over-month industry gain," said Frank Maly, director-cv transportation with ACT Research.
“Another welcome move for the industry was the gain in backlogs, the first backlog increase since April. Quotation activity is reportedly strong, suggesting that peak order season should unfold as expected over the coming months," he said.
Maly also added that rising orders and subsequent backlog gains through the first quarter will sustain the industry though the period of soft orders that should begin in the late second quarter.