April preliminary North America Class 8 net orders were 15,600 units, down 1,800 units from March, but 30 percent higher than a very easy year-ago comparison. Complete industry data for April, including final order numbers, will be published by ACT Research in mid-May

“Even in good years, Q2 typically delivers below-trend orders, while Q4 orders can trigger optimism at the bottom of the cycle,” said Ken Vieth, ACT’s President and Senior Analyst. “With the long bottom in freight volumes and rates continuing in the most recent data from DAT amid lingering market overcapacity, carrier profitability as illustrated by the publicly traded for-hire carriers’ financial performance was dismal in Q1. Entering the historically worst time of the year for orders, at the bottom of on-highway tractor buyers’ profitability cycle, is producing results in-line with expectations.”

With April’s seasonal factor being positive, the month’s intake is boosted to 16,600 units (200k SAAR). Despite the 12-month SAAR at 290,000, demand in the near-term is decelerating.