Size, segmentation, competition, growth and trends underlying the manufacture of heavy duty hauling or lowboy semi trailers for construction, oil field and agricultural use in North America.
The manufacture of heavy hauler, or lowboy, semi trailers in North America is a unique product segment in the semi trailer industry. These units can be very simple, from fixed gooseneck double-drop decks for hauling agricultural and construction equipment, to very complicated, with multiple axles to haul components for large windmills. 56 players have been identified manufacturing these types of trailers. Among these companies, heavy hauler trailers are the predominant product line for nearly half of the players. Based on the approximate number of final units, this application represents an activity of around $700 million for trailer fabricators in this segment.
Going forward, the key factors for success increasingly will be production of either standardized or more customized units. Few companies manufacture standardized units, although a couple of manufacturers, such as Trail King and Fontaine, focus on standardized manufacturing. Standardization allows builders to achieve economies of scale, but most manufacturers focus on customized designs. Customization is a more involved process from a design standpoint, and customers are willing to pay extra for a specific design. This allows the manufacturer to charge a higher price and achieve higher profit margins. Additionally, the complexity of customized trailers means that manufacturers commonly export these products, according to the report.
Heavy hauler semi trailer manufacturing is still a very regional market, with Trail King, Pitts Trailers, Dakota Mfg., Holden Industries Inc. and Peerless Ltd. as the only manufacturers with multiple manufacturing facilities. SVN believes that there may be opportunities for consolidation in this product segment, but with relatively few barriers to entry other than design capabilities, there will always be unforeseen competitors entering this segment.
This report has broken out production by region. It also displays estimated unit production and sales for each manufacturer within the heavy hauler markets. SVN feels that this information will be invaluable to suppliers and semi trailer manufacturers involved in this segment.
These and other issues are analyzed in this report, providing a perspective on the industry structure and dynamics of this specialized trailer segment
More info: www.researchandmarkets.com/research/cb3ab8/heavy_hauler_semi