We use cookies to provide you with a better experience. By continuing to browse the site you are agreeing to our use of cookies in accordance with our Cookie Policy.
  • INDUSTRY PRESS ROOM
  • ABOUT
  • CONTACT
  • MEDIA FILE
  • Create Account
  • Sign In
  • Sign Out
  • My Account
Free Newsletters
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
    • Mobile Apps
  • TRANSPORTATION
  • MATERIAL HANDLING
  • TECHNOLOGY
  • LIFT TRUCKS
  • PODCAST ETC
    • Podcast
    • Webcasts
    • Blogs
      • One-Off Sound Off
      • Global Logistics and Risk
      • Empowering Your Performance Edge
      • Analytics & Big Data
      • Submit your blog post
    • Events
    • White Papers
    • Industry Press Room
      • Upload Your News
    • New Products
      • Upload Your Product News
    • Conference Guides
    • Conference Reports
    • Newsletters
    • Mobile Apps
  • DCV-TV
    • DCV-TV 1: News
    • DCV-TV 2: Case Studies
    • DCV-TV 3: Webcasts
    • DCV-TV 4: Viewer Contributed
    • DCV-TV 5: Solution Profiles
    • MODEX 2022
    • Upload Your Video
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
    • Mobile Apps
  • TRANSPORTATION
  • MATERIAL HANDLING
  • TECHNOLOGY
  • LIFT TRUCKS
  • PODCAST ETC
    • Podcast
    • Webcasts
    • Blogs
      • One-Off Sound Off
      • Global Logistics and Risk
      • Empowering Your Performance Edge
      • Analytics & Big Data
      • Submit your blog post
    • Events
    • White Papers
    • Industry Press Room
      • Upload Your News
    • New Products
      • Upload Your Product News
    • Conference Guides
    • Conference Reports
    • Newsletters
    • Mobile Apps
  • DCV-TV
    • DCV-TV 1: News
    • DCV-TV 2: Case Studies
    • DCV-TV 3: Webcasts
    • DCV-TV 4: Viewer Contributed
    • DCV-TV 5: Solution Profiles
    • MODEX 2022
    • Upload Your Video
Home » Heavy-duty truck orders hit 12-year seasonal adjusted high in June, ACT said
transportation

Heavy-duty truck orders hit 12-year seasonal adjusted high in June, ACT said

July 18, 2018
DC Velocity Staff
No Comments

Want more data points reinforcing the strength in U.S. trucking? Here's another.

Net "Class 8," or heavy-duty, truck orders—defined as firm orders minus cancellations--rose to 42,224 units in June, according to consultancy ACT Research. On a seasonally adjusted basis, it is the highest monthly net order volume since March 2006, the consultancy said yesterday. It came during what is typically one of the year's weakest months, and is the fourth month so far this year that net orders surpassed 40,000 units, ACT said.

The Class 5-7, or medium-duty market, which includes vehicles like large package delivery vans, rose in June to a three-month high, ACT said. The strength in the medium-duty segment was also reminiscent of 2006 activity, according to the firm.

Today's new trucks appeal to fleets and drivers because they offer top-tier technologies and excellent fuel economy, the latter being of greater importance with the relentless rise in diesel fuel costs, according to Kenny Vieth. In addition, new truck purchases will help truckers offset the bite of what will likely be an elevated 2018 tax bill as carriers will report higher profits due to stronger demand and higher freight rates, Vieth said today.

In a tight market for qualified drivers, fleets will find it harder to compete for labor unless they can make the latest equipment available, he added.

Yet as has been the case for many years, virtually all of the new equipment will replace existing rigs rather than add to existing fleet sizes. The main reason is the lack of drivers, at least in the for-hire category, Vieth said. According to employment data tracked by the U.S. Bureau of Labor Statistics (BLS), 17,000 for-hire drivers were added through June, following a relatively paltry 9,000 driver jobs that were added in all of 2017. The BLS data does not capture driver hiring data from private fleets.

"From that data, we can infer that if there are for-hire fleets that are growing capacity this year relative to freight growth, they are likely doing it at another fleet's expense," Vieth said in an e-mail.

As for private fleets, Vieth said anecdotal evidence suggests that they are growing their operations to reduce their exposure to the rapid rise in for hire cartage costs. The company has no practical way of measuring the growth of private fleet capacity, he added.

Transportation Trucking Truckload Private Fleet
KEYWORDS ACT Research Co.
  • Related Articles

    Heavy-duty truck orders in January hit highest monthly levels in nearly 12 years

    Heavy-duty truck orders in July to set all-time record, ACT data predict

    Net heavy-duty truck orders climb to first year-on-year gain since early '15

Recent Articles by DC Velocity Staff

Geek+ plans increased R&D in warehouse robots following $100 million funding

Carrier app streamlines freight procurement

UPS continues investments in lucrative healthcare arm

You must login or register in order to post a comment.

Report Abusive Comment

Most Popular Articles

  • FedEx agrees to buy 10% stake in Berkshire Grey

  • The robots are here. Now what?

  • No vacancy at the warehouse

  • XPO says planned spin-off will be called RXO

  • Shippers, battling escalating packaging costs, look for answers

Now Playing on DCV-TV

B733ed1b 0136 43ce af0c 290a6166b91b

With a freight recession likely, should your freight costs be going down?

DCV-TV 4: Viewer Contributed
With recent reports that the freight market appears to be softening, I’ve received some interesting emails and calls from logistics executives. They've shared some questions they've fielded from other C-Level executives who have seen reports from consultants or news articles and now are asking: “Why haven’t our...

FEATURED WHITE PAPERS

  • Choose the Best Auto ID Technology for Tracking RTIs

  • 8 ways your facility can benefit from Hyster Reaction

  • Why Use RFID to Track RTIs

  • THE NEW WAY TO WAREHOUSE: 4 Innovations in Automation & Robotics to Boost Warehouse Productivity

View More

Subscribe to DC Velocity Magazine

GET YOUR FREE SUBSCRIPTION
  • SUBSCRIBE
  • NEWSLETTERS
  • ADVERTISING
  • CUSTOMER CARE
  • CONTACT
  • ABOUT
  • STAFF
  • PRIVACY POLICY

Copyright ©2022. All Rights ReservedDesign, CMS, Hosting & Web Development :: ePublishing