Final March Class 8 net orders totaled 17,410 units (17.2k seasonally adjusted), down 8.4% y/y. Total Classes 5-7 orders rose 23% y/y to 25,359 units (23.4k seasonally adjusted), as published in ACT Research’s latest State of the Industry: NA Classes 5-8 report.
“March orders may finally indicate a slowdown in capacity additions, a requisite for the freight market to turn, after a year of growth that defied typical fundamentals. Though we note, Q2 and Q3 are the weakest points in the calendar for orders, so the call is not prescient” according to Kenny Vieth, ACT’s President and Senior Analyst. “US tractor orders totaled 10,400 units, down 1.3% y/y. In the vocational market, total NA Class 8 truck orders fell 2.0% y/y to 5,300 units.”
“Between strong production and softening US tractor sales the past six months, Class 8 inventories have risen substantively. Since last September, Class 8 inventories have risen nearly 15,000 units, hitting another four-year high in March,” Vieth continued. “Class 8 build totaled 29,854 units in March, down 5.0% y/y, but due to Easter, had three less production days this year. Total Class 8 retail sales were 25,942 units, down 13% y/y.”
Regarding Classes 5-7, he concluded, “Classes 5-7 inventories remained highly elevated in March, as medium-duty bodybuilder labor and supply-chain challenges persist. Inventory totaled 89,360 units on a nominal basis, up 22% y/y. Retail sales remained healthy at 20,320 units.”
State of the Industry: NA Classes 5-8 Report Overview
ACT’s State of the Industry: NA Classes 5-8 report provides a monthly look at the current production, sales, and general state of the on-road heavy and medium duty commercial vehicle markets in North America. It differentiates market indicators by Class 5, Classes 6-7 chassis and Class 8 trucks and tractors, detailing measures such as backlog, build, inventory, new orders, cancellations, net orders, and retail sales. Additionally, Class 5 and Classes 6-7 are segmented by trucks, buses, RVs, and step van configurations, while Class 8 is segmented by trucks and tractors with and without sleeper cabs. This report includes a six-month industry build plan, backlog timing analysis, historical data from 1996 to the present in spreadsheet format, and a ready-to-use graph package. A first-look at preliminary net orders is also published in conjunction with this report.
ACT Research Overview
ACT Research is recognized as the leading publisher of commercial vehicle truck, trailer, and bus industry data, market analysis and forecasts for the North America and China markets. ACT’s analytical services are used by all major North American truck and trailer manufacturers and their suppliers, as well as banking and investment companies. ACT Research is a contributor to the Blue Chip Economic Indicators and a member of the Wall Street Journal Economic Forecast Panel. ACT Research executives have received peer recognition, including election to the Board of Directors of the National Association for Business Economics, appointment as Consulting Economist to the National Private Truck Council, and the Lawrence R. Klein Award for Blue Chip Economic Indicators’ Most Accurate Economic Forecast over a four-year period. ACT Research senior staff members have earned accolades including Chicago Federal Reserve Automotive Outlook Symposium Best Overall Forecast, Wall Street Journal Top Economic Outlook, and USA Today Top 10 Economic Forecasters. More information can be found at www.actresearch.net.
Additional Resources
March preliminary North America Class 8 net orders were 17,300 units, down 10,400 units from February and 8.7% from a year ago. Complete industry data for March, including final order numbers, will be published by ACT Research in mid-April.
“Nascent improvements in the freight market and select OEMs’ efforts to smooth demand, notwithstanding forced conservatism among a portion of the truck buying populace, capped Class 8 order activity in March,” shared Steve Tam, ACT’s Vice President and Analyst. “While we will have to wait for the details of the month’s order volumes, logic suggests waning demand for tractors in the market retrenched in March.”
A very middling seasonal factor, 1.3%, reduces March’s intake to 17,100 units (206k SAAR), down 8.6% from February. March marks the first month since May 2023 for seasonally adjusted activity below 20,000 units.
Class 8:
Net Orders: 17,410 units, -8.4% y/y
Build: 29,854 units, -5% y/y
Retail Sales: 25,942 units, -13% y/y
Classes 5-7:
Net Orders: 25,359 units, +23% y/y
Inventory: 89,360 units, +22% y/y
Retail Sales: 20,320 units
Click here to learn more information about ACT's State of the Industry: NA Classes 5-8 Vehicles data.
ACT Research is featured regularly by major news outlets for our work covering Class 8 truck orders, sales, forecasting, used truck sales, freight rates, trailer sales, and much more. Get more trends, HERE.
Save time with ACT Research’s media kit. Access ACT Research’s analyst bio, logos, press releases, video library, and more at your convenience. Our analysts are committed to delivering the most accurate data and forecasts. Looking for a speaker? Each analyst is available to speak at your conference or event. Access Media Kit Here.