Near-record backlogs have filled 2019 build slots for many OEMs, and there continues to be some resistance toward booking orders into next year.
“While some fleets have fulfilled investment plans for the year, others reportedly are seeking more equipment this year,” said Frank Maly, director–CV Transportation Analysis and Research at ACT Research. “However, their efforts will likely be in vain, with dry van and reefer orderboards consuming most available production slots for the year.”
Maly continued, “Factory inventory was a mixed bag across categories, but most unusual was reefers, up 60% year-over-year and at the highest level in our historical database, which started in 1990.” Further, the report noted that while the cancellation rate continued at acceptable levels, the high backlog, at 7.5 months, helped disguise higher cancellation volume. Cancellations have averaged more than 2,300 per month for the last four months, the longest string of higher volume months since the mid-year 2016 market inflection.
Monitor’s Top 25 Vendor Players broke the $40 billion mark in new originations this year, but while most saw positive growth, the overall percentage increase slipped slightly from 6.4% in 2017 to 6.1% in 2018. The top eight companies from... read more
Up until I spotted the iceberg looming ahead, it had been a perfectly nice voyage. The CEO and I were both excited to launch a new product in a growing field. However, after my repeated requests to find more beta... read more