Preliminary trailer orders for May were the lowest total since July 2016 at 11,700 units, FTR reports.
Orders for 2019 production have basically come to a halt, as most build slots for the year are already filled. Trailer builds were hefty for the third straight month and should remain elevated in the short-term; however, production numbers in the second half will likely moderate due to expected slower economic and freight growth, the report states.
The flatbed segment is already showing signs of weakening due to easing in manufacturing and industrial activity. Trailers orders for the past 12 months now total 356,000 units.
“Orders ought to rise in June as OEMs begin taking orders for 2020,” says Don Ake, FTR vice president of commercial vehicles. “June orders will be a good indication of how the larger fleets view the freight market for next year. Carriers may be cautious as long as the tariff situation is disrupting freight flows and creating significant business uncertainty.”
