COLUMBUS, Ind. — Commercial truck orders have slowed significantly to start 2016, according to preliminary figures from ACT Research.
The company reported January Classes 5-8 orders of 36,400 units, the third lowest volume of the past eight moths.
“Economic reports over the course of January were broadly disappointing, with industrial-related data points particularly soft,” said Kenny Vieth, ACT’s president and senior analyst. “Ongoing weakness in the freight intensive manufacturing sector continued to weigh on capacity utilization following a year in which Class 8 tractor retail sales fell just short of an all-time record. As a result of the soft supply-demand environment, the lackluster Class 8 order trend that started in late 2015 continued into 2016.”
Class 8 preliminary orders, at 18,200 units, were down 48% against January 2015. January orders were also 35% lower than a better than expected December, ACT reports.
Medium-duty orders were down 19% from December but up about 3% year-over-year.
“As January is not typically a strong order month, seasonal adjustment boosts the month’s order volume to 19,200 units, a decline of only 10% from December and almost exactly in line with the 12-month order average of 19,300 units/month,” said Vieth.