Connect with us
trucks-generic

Heavy-duty

Coronavirus makes a dent in March truck order numbers

Advertisement

David Sickels is the Associate Editor of Tire Review and Fleet Equipment magazines. He has a history of working in the media, marketing and automotive industries in both print and online.

Preliminary North American Class 8 net orders in March fell to 7,800 units, down 45% from February and 51% lower than a year-ago comparison, according to ACT Research.

Advertisement
Click Here to Read More
Advertisement

According to FTR, a significant number of fleets canceled orders previously placed due to the sharp and sudden downturn in economic conditions.

Uncertainty over the duration of the COVID-19 crisis is limiting orders to short-term, definite needs. FTR expects orders to stay near the 10,000-truck mark for a few months until economic activity regenerates. Class 8 orders have totaled 170,000 units over the past twelve months.

“The only good news here is that the number was still positive despite the high number of expected cancellations,” Don Ake, FTR’s vice president for commercial vehicles. “The gross order number is probably higher than 10,000 trucks, which means at least some fleets need more vehicles. A few carriers are doing well in the short-term, depending on the region and the type of freight being hauled.”

RELATED: Listen to our recent podcast interview on the state of the truck market with ACT’s Tim Denoyer and FTR’s Don Ake here.

Advertisement

ACT had March’s Classes 5-7 net orders at 14,700 units, down 36% from February and 31% from year-ago levels.

“Supply-side restocking on goods from China and demand-side restocking to support the surge in consumer staples actually created a positive, if temporary, inflection in freight rates,” said Kenny Vieth, ACT’s president and senior analyst. “However, increasingly bad news on the COVID front through the month and manufacturing beginning to shutter at the end of March were a heavy weight on an already over-capacitized industry operating a very young fleet.”

Regarding medium-duty activity in March, he noted, “After a reasonably buoyant February, the medium-duty market felt the impact of COVID-19, if with less severe symptoms than Class 8. It is important to remember that March marks the beginning of the peak order season for medium-duty vehicles.”

Advertisement

Infographic: Major differences in miles between breakdowns between best-in-class fleets and the industry average

ACT Research: April CV data showing full COVID-19 impact, data lowest in decades

How suppliers are shifting support capabilities

How the right engine oil can impact your DPF maintenance costs

Advertisement

POPULAR POSTS

Sponsored Content

Business Intelligence Tools Monitoring & Analyzing M&R Data Keep Fleet Managers In Check

Sponsored Content

Keep your fleet running as efficiently as our engines.

Sponsored Content

The ‘S’ Factors

Sponsored Content

Avoiding Premature Bearing Failure

Connect
Do NOT follow this link or you will be banned from the site!