PHOENIX, Ariz. — Kyle Treadway is a third-generation Kenworth dealer and head of the American Truck Dealers Association.

In a speech to the group on Saturday he pointed to the following five clear signs that the trucking business is improving.

1. Freight volumes are rising. "Freight rates are pushing upward with more industry-leading fleets announcing rate increases, giving our customers breathing room and the ability to generate profits," Treadway said.

"Expertsnow tell us that the manufacturing sector has emerged as our recovery’s leader. That’s good news for [dealers] because that means more freight."

2. The average retail price for used trucks climbed as much as 20% in 2010, largely due to increased demand and the average equipment age continued to rise in the first quarter of 2011, according to R.L. Polk.

3. The parts and service business is improving.  "At the same time [as the used-truck-price increase,] we saw our parts and service business volume gradually improve. The volume was erratic – – two good weeks of higher shop capacity followed by a poor one – -but with each month the good weeks improved and became more consistent," he said. 

4. The next sign of improved fortunes: The rental and leasing arena. "Many dealers saw rental utilization rates defy seasonal declines and hover month-after-month at 90% or higher,” Treadway says.

5. New-truck orders are increasing. Orders for new trucks were up in the first quarter 2011, and manufacturers and suppliers have began recalling furloughed workers, expanding and adding shifts. "Some dealers are cautiously recalling workers, resurrecting technician apprentice programs, adding swing shifts and increasing stock levels," he said.