ACT Research lowers truck forecast

Truck manufacturers are expected to produce fewer Class 8 trucks in the second half of 2012 than initially thought, the result of continuing softness in demand, ACT Research reports in its June North American Commercial Vehicle OUTLOOK.

Expectations for medium-duty build were unchanged. The trailer industry outlook was basically unchanged as orders and backlogs reached cyclical highs.

“Despite the data that we use to gauge demand being nearly uniformly positive, Class 8 demand, as expressed by incoming orders, has hit a soft patch,” said Kenny Vieth, ACT’s president and senior analyst. “Presently, the rewards of buying a truck are not sufficient to justify the financial risks. We believe the current weakness is centered in the credit-buyer side of the market. A continuation of reasonable freight growth, strong trucker profits, and healthy used truck prices are expected to support demand once the current period of uncertainty is worked through.”

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