Heavy Truck Orders Surge 21 Percent from May

Heavy Truck Orders Surge 21 Percent from May

Net orders for heavy trucks hit a new peak for the year in June, climbing 21 percent over May to reach 15,999 orders, according to ACT Research.

"Overall orders are still below normal replacement levels, but momentum is building as trucker profitability improves," said Steve Tam, ACT vice president.

The June orders represent a 95 percent leap over the same month a year ago, when heavy truck and other equipment sales were at a recessionary low.

Heavy truck net orders rose 84 percent in May and 91 percent in April, ACT said.

The surge in freight shipping and in trucking profits in the first half of 2010 is leading carriers to replace older equipment they held onto during the recession.

Net orders of medium-duty vehicles rebounded in June after lagging Class 8 orders this year. Class 5-7 orders were up 74 percent from a year ago, ACT said.

In the first six months of 2010, net orders for Class 8 trucks were up 50 percent, while orders for Class 5-7 medium-duty trucks rose 26 percent.

ACT forecasts a 26 percent year-over-year increase in heavy truck production.

-- Contact William B. Cassidy at wcassidy@joc.com.