FTR Reports North American Class 8 Orders Fall Unexpectedly in February to 14,100 Units

Bloomington, IN  - FTR reports preliminary North American Class 8 orders for February fell an unexpected 20% from January, to a total of 14,100 units.  This is the lowest order activity for the month of February since 2010 and down 18% y/y.  Fleets were already being very cautious in equipment purchases due to the flat freight market and slowing economy; now the COVID-19 virus has added to that uncertainty.  Orders had been right at replacement levels for four months but now it appears fleets will take a pause in replacing older trucks until current anxiety dissipates.  Class 8 orders have totaled 177,000 over the past twelve months. 

Don Ake, vice president commercial vehicles commented “This is not good news for the trucking industry or the economy. It appears fleets have decided to delay some orders until the health crisis has passed. There is no pressure for fleets to order more trucks since most carriers have enough capacity to handle current freight volumes.

“The market was already in a wait-and-see mode before the virus spread. Now, fleets are just waiting for things to calm down before returning to normal ordering patterns. The industry was already taking a pause after two years of great sales. The current uncertainty has just made more fleets leery of taking on additional risks.”