HD Market Showing Continued Strength

March 11, 2011
The fundamentals that support heavy-duty commercial vehicle demand continue to signal the start of an up-cycle for the market, according to ACT Research Co. (ACT). Net orders for Class 8 vehicles continued to surge in January and, despite a modest falloff, commercial trailer orders remained strong.

The fundamentals that support heavy-duty commercial vehicle demand continue to signal the start of an up-cycle for the market, according to ACT Research Co. (ACT). Net orders for Class 8 vehicles continued to surge in January and, despite a modest falloff, commercial trailer orders remained strong. Continued strong demand for equipment indicates trucking fleets are ramping up replacement of vehicles, which has largely been deferred the past two years.

The latest release of the ACT North American Commercial Vehicle OUTLOOK shows a continued economic recovery supporting the current order trajectory. This suggests that ACT’s forecasts for rising commercial vehicle production through 2011 and into 2012 are on track.

“The initial wave of data for February reinforces our assessment of the January figures and enhances our belief that a self-sustaining recovery is underway in the USA,” said Sam Kahan, ACT’s chief economist. We expect 2011 real GDP growth to average 3.5% on a year-over-year basis; this is toward the upper end of the forecasters range.”