Fleetowner 5501 Sales
Fleetowner 5501 Sales
Fleetowner 5501 Sales
Fleetowner 5501 Sales
Fleetowner 5501 Sales

Class 8 orders tick up in July

Aug. 5, 2015
Though Class orders slipped in July on a year-over-year basis, they jumped 21% compared to June – a surprising increase that analysts attribute in part to the “confidence” by larger fleets in continued North American freight market growth. FTR Transportation Intelligence noted that its preliminary data indicates North American Class 8 truck net orders increased to 23,920 units in July, up 21% month-over-month, but down 19% versus last July. 

Though Class orders slipped in July on a year-over-year basis, they jumped by a double-digit percentage compared to June – a surprising increase that analysts attribute in part to the “confidence” by larger fleets in future growth of the North American freight market.

FTR Transportation Intelligence noted that its preliminary data indicates North American Class 8 truck net orders increased to 23,920 units in July, up 21% month-over-month, but down 19% versus last July. 

Don Ake, FTR’s VP of commercial vehicles, said in a statement that orders “were much higher than expectations” as a few big fleets placed 2016 requirement orders early.

“This is a strong order number for July. Even though most of the market was subdued, the fact that some big fleets have the confidence to place huge orders right now is a great sign for the Class 8 market going forward,” he added. “Fleets are positive because freight markets continue to grow. We may see more of this early ordering trend the next

In a broader measure of commercial vehicle demand, ACT Research said its preliminary figures indicated Class 5 through 8 orders reached 39,400 units in July, up 10% from June but down 14% compared to last July.

“We continue to believe the recent order decline is a reflection of meaningfully larger backlogs and tough comps rather than any structural change in demand,” noted Kenny Vieth, ACT’s president and senior analyst, in a statement.

“Class 8 orders were stronger than expected at 24,100 units [at] 19% above June orders,” he added, though those numbers are down 20% by ACT’s figuring compared to the same month in 2014.

“Seasonally adjusted, July’s net order volume rises to 28,900 units, the best order month on a seasonally adjusted basis since February,” Vieth pointed out.

Yet when Class 8 orders are removed from the mix, commercial vehicle demand overall “remained in the doldrums overall” for the second consecutive month, he said.

In terms of raw number, North American Class 5 through 7 vehicle orders dropped 1% month over month and 4% year over year to 15,300 units, Vieth noted.

“Some of this decline is attributable to seasonality,” he explained. “When seasonally adjusted, July’s medium duty orders rise to 17,600 units, up 4% from June.”

About the Author

Sean Kilcarr | Editor in Chief

Sean reports and comments on trends affecting the many different strata of the trucking industry -- light and medium duty fleets up through over-the-road truckload, less-than-truckload, and private fleet operations Also be sure to visit Sean's blog Trucks at Work where he offers analysis on a variety of different topics inside the trucking industry.

Sponsored Recommendations

Tackling the Tech Shortage: Lessons in Recruiting Talent and Reducing Turnover

Discover innovative strategies for recruiting and retaining tech talent in the trucking industry at our April 16th webinar, where experts will share insights on competitive pay...

Stop Sweating Temperature Excursions

Advanced chemical indicators give you the peace of mind that comes from reliable insights into your supply chains. Compromised shipments can be identified the moment they arrive...

Stop Sweating Temperature Excursions

Advanced chemical indicators give you the peace of mind that comes from reliable insights into your supply chains. Compromised shipments can be identified the moment they arrive...

How Electric Vehicles Help You Prolong the Life of Your Fleet

Before adopting electric vehicles for commercial/government fleets, prioritize cost inquiries. Maintenance is essential; understand the upkeep of EV fleets. Here’s what you need...

Voice your opinion!

To join the conversation, and become an exclusive member of FleetOwner, create an account today!