It looks like July was another off month for Class 8 truck orders as industry analysts are predicting some of the lowest numbers since 2010, according to preliminary numbers from ACT Research and FTR.
FTR is predicting Class 8 truck orders will come in at around 10,400 units while ACT Research is projecting 10,500 units for the month. Both forecasts are well below July 2015 orders and mark one of the weakest months since 2010. Compared to June, orders were down 19%, which FTR attributed to higher than normal order cancellations in the month.
“Usually there are a low number of cancellations in July, but not this year," said Don Ake, FTR's vice president of Commercial Vehicles. "The high cancellations are likely the result of fleets placing large orders at the end of 2015, for delivery a year out. OEMs are trying to confirm Q4 production, with some orders shaking out of the backlog as a result.”
Class 5-7 medium duty truck orders remained “on trend” according to ACT Research, which projects July’s orders to hit 14,500 units. This is down from June’s order numbers, which hit 15,200 units.
“In line with the two-speed U.S. economy of healthy consumers and weak industrial activity, the two-speed commercial vehicle story continued to unfold in July,” said Kenny Vieth, ACT’s president and senior analyst. “Medium duty orders remained on trend, while Class 8 orders continued to soften.”