Class 8 Orders Decline in March for First Time in 26 Months
New orders of Class 8 trucks slipped 9% in March, ending a streak of 25 straight months with year-over-year growth in order intake, ACT Research reported.
North American truck manufacturers received about 25,100 net orders during the month, down from 27,487 a year earlier and the lowest level since September.
Orders also fell 19% from February’s total of 31,158.
“Rather than signaling weakness in the market, March’s lower intake is more akin to turning the tap down as the pool nears the full mark,” said ACT Vice President Steve Tam.
The March order total was “still a good number,” he said, but the decline could indicate that Class 8 demand is approaching the height of its current cycle.
ACT has projected that Class 8 sales and production will peak in 2015. At its latest seminar last month, the research firm predicted that Class 8 production in 2015 will reach 340,000 units, which would be the second-most ever after 2006 and represent a 14% gain from 297,000 in 2013. From there, ACT projected that production would gradually decline beginning in 2016 as the industry further satisfies its high demand for replacement vehicles.
Year-to-date, Class 8 orders are virtually flat, edging up 0.3% to 91,541 units in the first three months of 2015.
