ACT Research: U.S. Trailer Production Slowed by Capacity Issues
AUG 16, 2021 - 6:25 am
According to this quarter’s issue of ACT Research’s Trailer Components Report, trailer manufacturers continue to seek increased production rates but are struggling to achieve that goal.
“Material and component supplies, as well as staffing issues, continue to generate headwinds for U.S. trailer OEMs,” Frank Maly, director of commercial vehicle transportation analysis and research at ACT Research, said. “There are some indications that staffing challenges may be easing slightly and that the upcoming end of supplemental unemployment benefits could further improve workforce availability. That said, pricing and availability of components and materials are resulting in higher trailer prices and a build-up of red-tag units, with the volume of these units expected to continue growing during the upcoming months.
“Concerns about future availability and pricing are major factors in the unwillingness of OEMs to accept future orders, which is causing uncertainty about the timing of the ‘official’ opening of the 2022 orders. In turn, meaningful pent-up demand is occurring due to the reluctance to accept dry van and reefer orders at this time, with the average industry backlog-to-build ratio extending to the end of Q1/22 at June 2021 build rates.”
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