June trailer orders continue skid, hit lowest point in 7 years

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Updated Jul 21, 2016

Mac Trailer Lo-Pro Elite Flatbed With CurtainsideNet trailer orders for the U.S. hit 11,900 units in June, the weakest June since 2009.

Down 10 percent month-over-month and 56 percent year-over-year, orders came in below expectations due to elevated dry van cancellations, according to FTR Vice President of Commercial Vehicles, Don Ake.

“It appears that Q4 backlog has begun to soften because of moderating freight demand, with fleets reevaluating their second-half requirements,” he adds. “Monthly trailer orders have averaged only 13,700 units, so the market is cooling.  Backlogs fell 15,000 units, likely a record drop for one month.”

Orders have totaled 271,000 units the last 12 months with backlogs falling to their lowest level since September 2014. Orders in all trailer segments were similar to May’s totals with the exception of dry vans, which were down by 2,000 units from the previous month, FTR reports.

“The good news is that production remains strong in the van segments,” Ake adds. “Backlogs are still decent and production should fall only moderately in the coming months. However, flatbeds and tankers are not expected to improve any time soon.  Dump trailer orders have weakened, so production cuts are probably on the way.”