Class 8 Truck Orders Up Over 45% in October 2011

Is the trucking industry starting to rebound and expand? Could be! The number of customer orders on new Class 8 trucks last month was 27,700 compared to the 18,891 ordered in this same time frame last year.  A truck is considered Class 8 if the gross vehicle weight rating (GVWR) is anything above 33,000 lbs, which includes all tractor trailer trucks.  These Class 8 truck orders rose by 46% in October of 2011 compared to the number sold in October 2010. In the first 10 months of 2011 trucking companies ordered over 250,000 Class 8 vehicles compared to the 127,000 in all of 2010 combined.  That is over a 95% increase in a one year period.

Will these new truck orders provide the capacity needed for transportation services?  Reports have stated that midsize fleets began adding trucks last spring to increase their freight capacity.  Smaller fleets have also started looking to add to the number of their trucks.  This trend has continued throughout the 2011 calendar year.  Experts state that the heightened used truck values and reduced availability are pushing buyers to purchase new trucks.  There are also anticipated price hikes for 2012, which may be motivating potential new truck buyers to purchase now instead of waiting.  Another reason for the hike in orders of new trucks is the need to keep trucks at the highest safety level possible forcing many of the older trucks in fleets to be replaced.

What does all of this mean for the trucking and transportation industry?  Hopefully it is telling us that the amount of freight is slowly starting to increase and the market is changing for the better.  Only time will tell in this ever changing industry that we work in called “transportation”.