Trailer net orders fell 7% month over month, and contracted a staggering 52% year-over-year, according to the most recent report published by ACT Research.

“June net orders were the lowest monthly volume since July 2012, amid weak Q2 fleet financial projections, lower freight rates and disappointing freight demand,” said Frank Maly, director of CV Transportation Analysis and Research at ACT. “Perceptions are that none of these factors will reverse course in the short to medium term, and this does not position the industry well for the remainder of the summer.”

Maly added that this is particularly concerning because seasonal patterns already label July and August as the weakest order months of the year.

Maly also noted, “Increased production capacity, with multiple facilities coming on line, will challenge OEMs to balance that new capacity with possible fleet investment restraint. Additional capacity and willingness to aggressively continue replacement programs will come under close evaluation.”