ACT Research: For-Hire Volumes Rebounds in October, US Economy is Strong
NOV 27, 2018 - 6:45 am
The ACT For-Hire Trucking Survey Volume Index (seasonally adjusted) rebounded in October, to 55.9 from 51.8 in September, according to a recent release of ACT Research’s Transportation Digest. However, the report noted that this remains below the year-to-date average. The report, which combines proprietary data analysis from a wide variety of sources to paint a comprehensive picture of trends in transportation and commercial vehicle markets, also showed that the US economy is strong and growth is likely to remain near 3%, an above-trend pace, for several more quarters.
“U.S. economic activity is one of many factors used to assess commercial vehicle market health,” said Kenny Vieth, ACT’s president and senior analyst. “Demand in the Class 8 segment, as measured by net orders and order backlogs, continued at record-setting levels in September, and the medium duty Classes 5-7 market continues to fire on all cylinders.”
Additionally, Vieth said, “After the strongest July and August trailer order volumes in history, the industry set an all-time net order record in September, with more than 58,000 trailers hitting the OEMs’ orderboards.”
Regarding the growing trade war and its impact, he commented, “Our analysis continues to indicate that a wider trade war with China will negatively impact U.S. economic growth, but the data released so far do not corroborate. Though the composition of GDP growth is positive for freight and transportation, there is a vulnerable side because of tariff issues.”
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