Preliminary March North America Class 8 net orders see declines
Preliminary March North American Class 8 net truck orders were down annually and sequentially, according to data recently issued by freight transportation consultancy FTR and ACT Research, a provider of data and analysis for trucks and other commercial vehicles.
FTR reported that preliminary March net orders, at 18,200 units, were down 34% compared to February and off 4% annually, with orders over the last 12 months through March coming in at 264,800 units.
The firm explained that as was the case in February, March’s Class 8 orders were consistent with recent demand trends and remain in line with seasonal expectations. And it added that after maintaining an average level of around 27,000 units for the last three months, orders appear to be slowing at a seasonally typical rate. It also observed that build slots continue to be filled at a healthy rate, and with March orders comparable to the March 2023 level, the market is still performing at a solid level.
“Despite weakness in the freight markets that has persisted for more than a year, fleets continue to be willing to order new equipment,” said Eric Starks, FTR chairman of the board. “Order levels in March were below the historical average but remained in line with seasonal trends. Demand is not declining rapidly, but neither is the market doing significantly better than replacement level demand. Our expectation for replacement output by the end of this year is unchanged.”
ACT data: ACT reported that March preliminary North America Class 8 orders, at 17,300 units, were off 10,400 units, or roughly 40%, compared to February, and off 8.7% annually. The firm added that “a very middling seasonal factor,” at 1.3%, reduces March’s intake to 17,100 units (206k SAAR), down 8.6% from February. March marks the first month since May 2023 for seasonally adjusted activity below 20,000 units.
“Nascent improvements in the freight market and select OEMs’ efforts to smooth demand, notwithstanding forced conservatism among a portion of the truck buying populace, capped Class 8 order activity in March,” said Steve Tam, ACT’s Vice President and Analyst. “While we will have to wait for the details of the month’s order volumes, logic suggests waning demand for tractors in the market retrenched in March.”
