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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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In September, trailer orders improved over 100% month-over-month to between 28,127 and 28,300 units, ACT Research and FTR reported.
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September’s Class 8 order number is not a true indicator of 2022 truck demand, FTR’s Don Ake said, because OEM are delaying entering order until the health of the supply chain improves.
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Given the ongoing kinks in the global supply chain and the rise in domestic freight demand, OEMs won’t catch up with demand until 2023, according to FTR's Don Ake. That’s why FTR’s equipment outlook calls for pent-up demand to continue into 2022 — and possibly into 2023.
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In place of FTR’s cancelled in-person 2021 Transportation Conference, FTR will host a virtual conference beginning Sept. 13.
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Economic growth and freight rates are expected to remain solid well into 2022, according to transportation analysis firm FTR, but the struggle to find drivers is expected to continue to plague the industry.
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With fleets "desperate for new dry vans," trailer makers continue to struggle to increase production rates to meet high demand in the face of supply chain, staffing, and material shortage issues.
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