Economic Watch: Durable Good Shipments and Orders Leap
Shipments and new orders for manufactured durable goods in the U.S. both posted solid gains in March, according to a new U.S. Commerce Department report.
Shipments and new orders for manufactured durable goods in the U.S. both posted solid gains in March, according to a new U.S. Commerce Department report.
Shipments increased 1.1% from February, the second consecutive monthly increase, following a 1% gain the month before. Transportation equipment, also up two consecutive months, led the increase, adding 1.5%.
Durable goods are manuctured items designed to last three years or more.
New orders for manufactured durable goods in March increased 2.6% The hike, up two consecutive months, followed a 2.1% February gain. Transportation equipment, also up two consecutive months, led the increase, adding 4%. Excluding transportation, new orders increased 2%.
Compared to a year ago, shipments are up 3.4% with new orders 3.6% higher.
Capital goods orders surged 8.5% in March after three consecutive months of declines due to a 21.6% increase in defense orders. Capital goods orders are up 12.4% over the last 12 months with defense orders up 32.7% over the same period.
Non-defense orders were also up, jumping 7.1% in March after a 2.8% drop in February. Also capital goods orders, minus those for defense and aircraft, rebounded in March, although to a lesser extent, up 2.2%, a four-month high.
The overall gains in both March and February, followed significant declines in December and January, raising concerns about the health of the U.S. economy.
“This morning's report marks the second consecutive month of plus 2% growth in orders after outsized weakness at the end of 2013 and the start of 2014, suggesting a return of at least some momentum in capital spending,” said Lindsey Piegza, chief economist with the investment firm Sterne Agee. “Although, looking at a longer-term trend it is clear business investment remains tepid relative to 2010 and even the lesser peak levels in early 2013,”
She said while this a welcomed step in the right direction, the general activity level in business spending remains unclear and uneven. “There are still clearly barriers and hesitancy on the side of businesses to invest in equipment, structures and most importantly, employees.”
More Fleet Management

Does Your Trucking Fleet Need a New TMS? [Video]
Cloud technology, AI and new integrations are changing what transportation management systems can do. But does taking advantage of those advances mean replacing your existing TMS?
Read More →
Road Ready Becomes Saegic, Launches New Trailer Telematics Gateway
Clarience Technologies is rolling out new hardware and expanding its plans for connecting trailer telematics, maintenance data, and video.
Read More →
Give Your Trucking Fleet a Cybersecurity Walkaround
Your fleet's cybersecurity policies may look good on paper. These seven checks can help you find out whether they’re working.
Read More →
Kodiak Lines Up Fleets for Driverless Trucking
An agreement for 75 trucks, a new Texas freight lane, and progress on safety validation move Kodiak closer to its planned driverless highway launch.
Read More →
ITS Logistics Settles Religious Harassment Case
The Nevada-based logistics firm agreed to pay more than $396,000 to settle a religious harassment charge involving an employee's Jewish identity.
Read More →
Your Trucks Are Busy. That Doesn’t Mean They’re Winning.
High utilization doesn’t always mean strong margins. Looking beyond the current load can help fleets make better dispatch decisions and get more value from each truck’s time.
Read More →
Why This Trucking Recovery Is Different
Freight demand remains sluggish, but rising costs and tougher enforcement have taken enough capacity out of the market to change the outlook for motor carriers.
Read More →
Platform Science Adds Dispatch and Safety Tools
Four additions to PS Fleet help fleets monitor loads, manage driver coaching, share truck locations and adjust video system settings.
Read More →
PrePass Intelligence Mines Fleet Bypass, Toll and Safety Data
PrePass Intelligence helps fleets measure bypass savings, flag potential toll overcharges, and spot suspicious transactions by combining data from separate systems.
Read More →
Motive Adds AI Agents for Fleet Operations
New tools automate follow-up on fleet data, from maintenance work orders to driver alerts, with two-way voice conversations planned for later this year.
Read More →
