The number of Class 8 tractors coming off the assembly line of truck manufacturers continues to climb faster than demand for commercial trucks according to the most recent ACT For-Hire Trucking Index from ACT Research (ACT).
“December’s capacity index [supply] rose faster than the freight index [demand] for a fourth consecutive month and the 10th time in the past 12 months,” said Steve Tam, ACT’s vice president of the commercial vehicle sector. “We have to go back to the second half of 2012 to find a comparable period of imbalance — a period marked by anemic economic growth and strong U.S. Class 8 retail sales.”
Tam said, “Truckers have caught on to the fact that there is excess freight-hauling capacity in the market and have started curtailing their purchases accordingly. Sales are likely to continue on a downward trajectory until the oversupply of trucks is consumed.”