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The FTR Trucking Conditions Index fell 9% to a reading of 6.7 in April, weakened by more available capacity and less pressure on rates.
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Class 8 truck orders hit their lowest monthly level since late 2013 with around 20,000 units ordered while medium-duty orders rebounded.
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Trailer orders saw a large decrease in April with just 17,700 units, dropping 19% compared to March and down 30% year-over-year, according to the latest numbers from FTR.
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The FTR Trucking Conditions Index fell slightly in March to a reading of 7.3, reflecting lessened demand for truck services and normalizing fuel costs.
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April Class 8 truck orders were down compared to March as well as to the previous year, according to preliminary data, but the drop was not unexpected.
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Net trailer orders in March saw an incremental increase over February as OEMs are still increasing build to meet the surge in orders from late last year.
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The FTR Trucking Conditions Index for February fell slightly in February to a reading of 7.4, reflecting a softening capacity utilization caused by fluctuating diesel prices and the suspension of controversial provisions of the 34-hour restart.
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While some may complain that truck freight levels haven’t taken off like a rocket since the end of the Great Recession, the fact is they have posted solid improvements, according to Jonathan Starks of the freight forecasting firm FTR -- and could be headed for a new peak.
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Net orders for Class 8 Trucks hit a six-month low, recording 24,780 units, in March, according to preliminary data from FTR. This is the lowest level since September 2014 and the first time Class 8 orders have fallen year-over-year since January 2013.
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Refiners are buying trucks to fetch more desirable crude oil than what they’re getting through pipelines.
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