Trailer orders fell nearly 14% month over month in May, coming close to earlier projections for a seasonal slowdown, according to ACT Research.
Earlier this month, ACT projected a downturn of 16% compared to May as the expected summer slowdown approached. Compared to this month in 2015, trailer orders are down by 10%.
“Although commercial trailer orders have been progressing at a better pace than Class 8 volumes, the expected seasonal slowdown in order placement has begun,” said Frank Maly, ACT’s director of commercial vehicle transportation analysis and research.
Fleets are continuing to bias their investments toward the trailer market over the tractor market but with a weaker economy and poor freight environment, orders have waned.
“The market is being driven by large fleets, as small to medium fleets are tending to remain on the sidelines,” said Maly. “That said, large players are not immune to market pressures, as anecdotal information indicates that negotiations for the upcoming order season are starting to bog down.”