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FTR’s Trucking Conditions Index for November 2021 rebounded from October due to steadier diesel prices, and firmer freight volumes and rates.
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The decline in trailer orders is attributed to supply chain disruptions, a labor shortage, and OEMs having to continue to manage backlogs.
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After hitting a Class 8 cancellation speed-bump in November, orders rebounded to a level just above the second half of 2021 production trend in December, ACT Research reported.
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Trailer net orders rebounded in November, as large fleets place orders and OEMs began to solidify their 2022 production plans.
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The low order total in November is not due to any lack of demand, but rather due to the uncertainty in the supply chain.
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For trucking companies struggling to find drivers, these numbers might sound like nonsense. And in fact, the truth is far more complicated.
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Strong market conditions and extraordinary financial assistance from Washington have sparked an unprecedented surge in the number of newly authorized trucking companies — especially small ones.
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October is the traditional start of the fall ordering season for the following year. However, this is far from a normal year, as October trailer order numbers show.
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Freight rates continued to strengthen in September, but freight volume and capacity utilization numbers were weaker, according to FTR’s Trucking Conditions Index.
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Supply chain constraints and component shortages continue to put pressure on North American Class 8 orders, with orders down about 39% year-over-year.
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