Preliminary Class 8 orders for May fell below 20,000

FTR reports preliminary data shows May Class 8 truck orders fell below 20,000 units, which is a 23% decrease from a year ago.

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FTR has released preliminary data showing May 2015 North American Class 8 truck net orders at 19,714 units, an 11% month-over-month decline and 23% lower than a year ago. Orders fell in May for the third consecutive month and dipped below the 20,000 threshold for the first time since September 2013. All major OEMs were affected by the drop in orders, with some experiencing larger than expected declines.

Class 8 orders over the last six months annualize to 352,000 units. FTR expects Class 8 orders to fall back into more seasonal patterns for the balance of the year. Backlogs remain strong with no expectation, currently, of any reductions in build rates.

Don Ake, FTR Vice President of Commercial Vehicles, comments, “The Class 8 market continues to stabilize, and the overall market remains healthy at this point. At the current rate, we expect orders to bottom out in July in the 16,000 unit range, which will be sufficient to maintain production levels this year. However, some individual OEMs may need orders to improve to maintain their build rates.”