There were 33,800 new Classes 5-8 vehicle orders booked in April according to preliminary data from ACT Research. Class 8 garnered 13,700 orders and for Classes 5-7, 20,100 orders were placed.
“Despite increasingly easy year-over-year comparisons, demand for Class 8 vehicles continued to lose traction in April, with orders slipping 39% year over year and 16% sequentially,” said Kenny Vieth, ACT’s president and senior analyst.
Vieth said the drivers of soft Class 8 demand remain intact from previous months including “an ongoing overcapacity narrative, a resulting weak freight rate environment, softness in late-model used truck values and excessive new vehicle stocks.”
“The healthy medium duty order trend, which began in September 2015, continued in April, although at a modestly reduced rate,” said Vieth. “Orders fell 10% sequentially from one of the best order months experienced cycle-to-date, but were up 12% compared to year-ago April orders.”
Vieth said that medium duty demand was bolstered by a decent jobs market and rising incomes, which support discretionary spending and improved housing and automotive sales activity.
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