ACT Research: Industry Books 25,800 Net Orders in January 2019
FEB 21, 2019 - 6:40 am
ACT Research’s preliminary estimate for January 2019 net trailer orders was 25,800 units. Final volume will be available later in February.
“While the industry had the weakest January order volume since 2016, it was still sufficient enough to generate very minor orderboard growth. January net orders were off 7% versus December and 35% down year-over-year. Slower dry van and reefer trailer volume contributed to the declines. Indications are lower orders were not the result of weak fleet demand, as some OEMs report unwillingness to accept additional orders that would extend orderboards that, according to some reports, already fill available 2019 build slots,” said Frank Maly, ACT director of CV Transportation Analysis and Research.
He added, “That slight gain in the orderboard means that January was the third consecutive month that the industry posted an all-time record backlog, although the pace of improvement is beginning to wane. With backlogs extending through the year for dry vans and reefers, OEMs would likely need to quickly open 2020 orderbooks to allow for further backlog growth in the near-term. Also, although the industry reported the highest monthly cancellations since August 2016, the rate of cancellations versus the orderboard remains well within acceptable limits.”
ACT’s methodology allows it to generate a preliminary estimate of the market that should be within +/- 3% of the final order tally.
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