United States truck trailer net orders totaled 9,500 units in July 2016, a 20 percent decline from June and a 55 percent drop from the same 2015 period, according to freight transportation analyst FTR.
United States truck trailer net orders totaled 9,500 units in July 2016, falling short of already low seasonal expectations for the month, according to the latest figures from the freight transportation analyst FTR.
The July order activity was down 20 percent from June and 55 percent from the same 2015 period. Trailer orders have totaled 260,000 units the last twelve months with backlogs falling another 9 percent compared with the previous month and 21 percent year-over-year.
FTR Vice President of Commercial Vehicles Don Ake noted activity was lower than expected despite July historically being the weakest month of the year and attributed the low truck trailer orders primarily to sliding manufacturing.
“Freight has been slow to recover from the manufacturing dip and fleets do not need as many trailers as they once forecast,” he said. “Many second-half orders are being cancelled or moved to 2017. This is similar to what happened previously in the Class 8 market.
“Van backlogs remain viable and there are no significant economic factors driving down the market,” added Ake. “The trailer market is highly cyclical and July appears to be the beginning of the decline. Production usually drops somewhat in July due to increased vacation days, so it will be interesting how much the August build numbers recover, if any.”
FTR: Truck trailer orders fall short of expectations in July
