ECONOMIC WATCH: Trailer orders remain at historic lows – Truck News

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COLUMBUS, Ind. – May trailer orders improved from April, but were
still the second weakest month ever, reported ACT Research in its State of
the Industry: U.S. Trailer Report.

Net orders totaled 3,107 units. Before accounting for
cancellations, orders totaled 7,400 units, a 29% increase from April but net
orders were down 71% year-over-year.

(Source: ACT Research)

“Although up from April’s record low, May’s net orders will still
rank as the second weakest in industry history,” said Frank Maly, director,
commercial vehicle transportation analysis and research at ACT Research.

“There is little incentive for fleets to invest in new equipment
right now. While there has been a general re-opening of the U.S. economy and
some post-quarantine consumer-generated surges have been reported, caution
continues to be the watchword. Significant apprehension is being expressed
about small-to-medium fleets, and the concern is that the PPP lifelines many
may have grasped will run out before a post-lockdown economy generates freight
at sufficient volumes and profitable rates, which will have serious
implications for both trailer OEMs and dealers.”

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