Though not quite at the level of October, November’s orders still an indication freight demand remain elevated and is encouraging the purchase of new equipment.
According to data tracked by FTR Transportation Intelligence and ACT Research, net Class 8 North American orders remained strong in November, with that pace indicating order activity should remain strong well into 2018.
FTR said its numbers indicated North American Class 8 net orders reached 32,400 units in November – the second consecutive month that Class 8 orders have surpassed 30,000 units.
The firm noted, however, that distribution of orders in November was not uniform across all OEMs, while Canadian truck orders did fall back somewhat after three strong months.
Still, North American Class 8 orders for the past twelve months have now totaled 274,000 units, noted Don Ake, FTR’s vice president for commercial vehicles, which is “in line” with the firm’s forecast of stronger production and sales in 2018.
“Freight growth is robust right now and fleets will need to expand capacity to keep pace,” he added. “Still, for now, fleets are being more careful managing their orders and not being overly aggressive placing them this fall. OEMs should be able to increase production modestly next year when needed.”
Kenny Vieth, ACT’s president and senior analyst, said his firm’s numbers indicated preliminary North American net Class 8 orders hit 32,900 units, while net orders for Class 5-7 units inched higher, rising to 20,100 units.
“At plus 15%, November’s order volume generated the best year-over-year performance in six-months,” he said. “When adjusted, the medium duty net order volume rises to 20,400 units, up 16% sequentially and 17% year over year.”