Improvements in industrial production and housing may help drive a truck freight recovery, but spikes in COVID-19 cases in many parts of the country and questions about what Congress may or may not do leave a lot of uncertainty in the forecast, according to analysts at FTR.
According to ACT Research, June’s preliminary North American Class 8 net orders rose 139% over May with 16,000 units. Compared to last June, orders were also up by 23%.
The COVID-19 pandemic continues to affect all aspects of the industry, and while one conference is going virtual, another has decided to move forward with an in-person meeting.
May orders for Class 8 trucks, while up significantly from the dismal April levels, were still down nearly 40% compared to last year, according to preliminary figures from ACT Research and FTR.
March’s Trucking Conditions Index (TCI) of -8.69 is just the start for industry, according to FTR, which predicts it will lead to the worst quarter on record.
Trucking conditions likely bottomed in mid-April, but a speedy recovery isn’t anticipated, according to FTR.
According to preliminary reports from both FTR and ACT Research, trailer orders for April have dropped to a historic low.
More than 88,000 jobs disappeared in the truck transportation sector in April, a 5.8% drop from March, both the steepest drops on record – part of a record-setting 20.5 million job loss across the country, as the nation’s unemployment rate rose to 14.7%.
North American Class 8 orders took another plunge in April to an unprecedented level of 4,000 units, according to new reports from FTR and ACT Research.
A new index provides visibility on the state of the trucking market as anticipation of an economic restart grows.