While Australia’s heavy duty truck market remains strong, US orders have hit their lowest rate since 2010.
A total of 13,100 Class 8 trucks were purchased in June, 30 per cent down on last year and the lowest in six years.
Meanwhile, orders of Class 5 to 8 trucks, which includes medium duty vehicles, are also down to 31,500 – the lowest since 2012.
According to research by the industry data specialist ACT, the strong US dollar, high inventory levels and freight volumes have created overcapacity.
President of the ACT Kenny Vieth warned it is unlikely fleets will add new trucks anytime soon.
“In a nutshell, Class 8 sales far outpaced freight creation through 2015 and early 2016, causing a capacity glut, which the industry is now paying for,” Vieth said.
Vice president of commercial sales at FTR Don Ake confirmed the wariness of the market.
“Fleets are cautious as freight demand has cooled off this year. There are enough trucks to handle freight right now with carriers [in] a wait-and-see mode before adding trucks or replacing older units,” Ake said.