According to ACT Research’s (ACT) latest State of the Industry: NA Classes 5-8 report, December Class 8 net orders were healthy, bringing total year-end ordering activity to a strong 159,000 (Sept.-Dec.). Classes 5-7 orders declined 3 percent year over year to 17,464 units (-21 percent month over month), with seasonal adjustment trimming orders to 16,100.

According to Eric Crawford, ACT Research’s Vice President, Senior Analyst, “For now, business activity in the truck industry rolls on, also seemingly unphased by higher interest rates, as pent-up demand remains for now.” He continued, “We expect this dynamic to shift in 2H’23, as the Fed continues its aggressive push to subdue inflation. Although there have been recent signs of inflation slowing, we do not expect the Fed to begin cutting rates in 2023.”

Regarding retail sales, Crawford added, “Class 8 retail sales in December rose 19 percent year/year to an all-time record 34,415 units. The strong finish to the year led to a total of 309,615 units sold in 2022.” He concluded, “Classes 5-7 retail sales (SA) rose 3.6 percent year/year to 19,000 units. Full year retail sales were 229,821.”