FTR Reports Preliminary North American Class 8 Net Orders for June Rebound to 15,500 Units

FTR reports preliminary North American Class 8 net orders rebounded in June to 15,500 units, up 130% from May, as well as, up y/y by 20%.  Class 8 net orders for the last twelve months now total 158,000 units.

Fleets’ confidence is improving gradually, as the economy and freight markets recover from the pandemic-related restrictions.  The June order volume may not be sustainable in July, however, because some of the larger fleet orders may be difficult to replicate in the short term.  Order volume should exceed the 10,000-unit mark throughout the summer as freight volumes continue to improve.

Don Ake, vice president commercial vehicles, commented, “June’s order activity is good news, after last month’s disappointing number. We expected orders to average around 10,000 units for a few months, and now they have averaged 11,000 for the past two months. The Class 8 market is on the slow, steady recovery that matches our forecast.  It is also encouraging that fleets are showing enough confidence in the economy to begin placing some viable orders. The trend should continue, but a significant increase is not expected until October when the big fleets begin placing orders for 2021 delivery.

“The great thing about the order improvement in June is that it should permit OEMs to continue to produce at a steady, but still reduced rate, for a couple of months. However, some of the OEMs need higher order volumes in July to keep the industry moving out of the mire caused by the virus.”