Class 5-8 truck orders ‘good’ in August
According to data from ACT Research, August was a good month for Class 5-8 truck orders.
The absence of sustained economic strength remains a limitation for Class 8 demand, and build expectations have been sharply curtailed over the past two months. Orders continue to be placed with short lead times.
“An added short-term challenge for the economy is the upcoming budget and debt ceiling negotiations in Congress,” says Kenny Vieth, president and senior analyst at ACT Research Co., LLC. “Heightened political uncertainty leads to corporate risk aversion. Until Congress works through these issues, business investment is likely to be cautious.”
For the medium-duty sector, strong orders in August coupled with a pullback in production pushed the backlog/build ratio to its highest level in nearly two years at 2.6 months.
Class 8 orders climbed to their highest level in three months in August with a preliminary reading of 19,500 units – a 20 percent gain over August of last year.
Classes 6-7 orders for August were the best in more than five years, according to ACT.