Truck orders last month beat expectations, was worst August for orders since 2010

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Updated Sep 8, 2016

IMG_3572Class 8 net orders for August hit 14,000 units, slightly above expectations and a 36 percent improvement over July, according to FTR.

All news wasn’t rosy last month, as August 2016 order activity was the weakest for that month since 2010 and fell 35 percent from August 2015.

“We expected orders to average around 12,000 per month in the July-August period and taken as a whole, they did,” says Don Ake, vice president of commercial vehicles at FTR. “There were less cancellations in August, making the month look a little better than July. July will be the lowest order month of the year, which is typical.”

Market conditions did not deteriorate nor improve in August, Ake says noting Class 8 orders for the last 12 months have totaled 206,000 units.

“Fleets are now busy evaluating their truck requirements for 2017 in an uncertain freight environment,” he says. “September orders should remain moderate, with October orders giving the first indication of expected market conditions for next year.”

Kenny Vieth, president & senior analyst for ACT Research, says while orders climbed from July, August demand failed to meet the year-ago order volume for an 18th consecutive month.

Jason Cannon has written about trucking and transportation for more than a decade and serves as Chief Editor of Commercial Carrier Journal. A Class A CDL holder, Jason is a graduate of the Porsche Sport Driving School, an honorary Duckmaster at The Peabody in Memphis, Tennessee, and a purple belt in Brazilian jiu jitsu. Reach him at [email protected]