January HD Net Orders Up 51% Y/Y; MD Up 33%
Class 8 net orders started 2014 with a high-side surprise, up 9% m/m and” 51% y/y; Classes 5-7 also got off to a good start with orders up 14% m/m and 33% y/y, according to ACT Research.
“While orders were strong, one has to read between the lines to appreciate Class 8 retail sales in January. Thanks to year-ending tax and sales incentives, Class 8 retail sales posted a sharp drop in January from December. But this is the case every year,” said Kenny Vieth, president and senior analyst at ACT Research.
“However,” he continued, “applying seasonal adjustment gives a better picture: Adjusted Class 8 sales rose 9% m/m to a 22-month high. Strong orders pushed backlogs to a 22-month high and the backlog/build ratio jumped to 4.9 months.”
“For medium duty, all of January’s sequential order strength and most of the y/y improvement came from the heavier end of the market, Classes 6-7. Broken down by vehicle type, trucks accounted for virtually all of the sequential order increase,” Vieth said.
More info at: www.actresearch.net.
Category: Featured, General Update, Vehicles
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