FTR reports that Class 8 orders for October came in at 28,000 units, down 10% from September and 35% from October 2022. FTR says that the weaker comparisons were well within its expectations given the weakness in freight transportation and the ongoing normalization of equipment markets following exceptional demand in 2022. Class 8 orders totaled 255,000 units over the past 12 months.
The annualized rate over the past six months has been 233,000 units. The annualized rate over the past three months has been much stronger than the 12-month total, but that result is simply a function of the recent opening of 2024 production slots, FTR said.
“Build slots continue to be filled at a healthy rate,” said Eric Starks, FTR’s chairman of the board. “We expected a year-over-year decrease in orders and were not surprised by the month-over-month easing, either. The overall picture for truck demand is steady. Despite freight weakness, fleets continue to be willing to order new equipment, affirming our expectations of replacement demand during 2024.”