Final July numbers shows the seventh straight month of year over year Class 8 order declines, ACT Research reports.
In State of the Industry: NA Classes 5-8, the company's analysts say net orders totaled 13,172 units in July, which is down 2.1% year over year.
"Tractor orders increased 6.6% year over year to 8,134 units, but considering July is the weakest month for orders, delayed planning due to tariffs seems responsible for the modest bump in July tractor orders as weak fundamentals remain in place," says Carter Vieth, research analyst. "Vocational orders totaled 4,858 units, down 14% year over year."
[RELATED: July trailer orders show expected dip]
The vocational market faces a trio of headwinds: EPA 2027 low-NOx rules are now uncertain, which most fleets now thinking a complete repeal is happening, removing the need for a prebuy; a slowdown in housing, manufacturing and private construction, plus continued elevated financing costs; and, lastly, tariff-related equipment costs and uncertainty are keeping the fleets out of a buying mood.
"Total Classes 5-7 orders fell 16% year over year to 13,159 units," Vieth says. "Medium-duty orders have slowed notably across the past seven months, with still elevated inventories and a weaker economic outlook. Slowing services momentum is a particular concern for medium-duty demand."
