Mack Trucks
65c229c575c272001eff21d5 200929 Mack Lehigh Valley Operations 2

Fleets begin 2024 in an equipment buying mood

Feb. 6, 2024
Class 8 order activity remains at a ‘high level’ to start 2024, with preliminary counts from FTR and ACT Research showing increases compared to 2023 despite a sluggish freight economy.

Despite a sluggish freight economy in 2023, over-the-road trucking fleets opened 2024 in a buying mood, according to the latest data from two leading commercial vehicle research firms.

FTR reported that January Class 8 preliminary in North America came in at 26,400 units, up 2% from December and up 35% year-over-year. ACT Research’s preliminary data showed 27,000 orders, up 600 units from December and 45% year-over-year.

“Weak freight and carrier profitability fundamentals, and large carriers guiding to lower capex in 2024, would imply some pressure in the North American Class 8 market’s largest segment, U.S. tractor,” Kenny Vieth, ACT president and senior analyst, said. “While we do not yet have the underlying detail for January orders, Class 8 demand continuing at high levels at the start of 2024 suggests that over-the-road US truckers are still buying.”

See also: Major fleets see silver linings—but no more—about the freight recession

Seasonal adjustments pushed ACT’s January numbers up 11% to a 12-month seasonally adjusted annual rate of 292,000. FTR’s 12-month figures total 259,000 Class 8 orders. The firm noted that the heavy-duty truck market has been picking up in recent months: orders from the last three months would equate to a 354,000-unit annualized rate; the previous six months would be a 327,000-unit annualized rate. 

“Build slots continue to be filled at a healthy rate,” FTR Chairman Eric Starks said. “With January orders coming in at a rate that was comparable to the previous month, the market is still performing at a high level historically. It was a mixed market for OEMs this month, with some seeing increases and others seeing decreases in orders. Fleets continue to be willing to order new equipment despite uncertainty in the freight market. Order levels were above the historical average and above seasonal trends, although we still expect 2024 activity to reflect replacement demand.”

2024 medium-duty outlook

ACT also reported that seasonably adjusted North American Class 5 through Class 7 net orders increased the year from 20,300 units in December to 20,800 in January, according to ACT’s State of the Industry: Classes 5-8 Vehicles report.

“Unlike Class 8, medium-duty seasonality is modestly positive in January, boosting the seasonally adjusted order tally to 20,800 units, down 21% month-over-month from a tough best-month-of-2023 December comp.”

Both firms noted that these preliminary figures for January would be finalized later in February. 

About the Author

Josh Fisher | Editor-in-Chief

Editor-in-Chief Josh Fisher has been with FleetOwner since 2017, covering everything from modern fleet management to operational efficiency, artificial intelligence, autonomous trucking, regulations, and emerging transportation technology. He is based in Maryland. 

Voice your opinion!

To join the conversation, and become an exclusive member of FleetOwner, create an account today!

Sponsored Recommendations

Uniting for Bold Solutions to Tackle Transportation’s Biggest Challenges

Over 300 leaders in transportation, logistics, and distribution gathered at Ignite 2024. From new products to innovative solutions, Ignite highlighted the importance of strong...

Seasonal Strategies for Maintaining a Safe & Efficient Fleet Year-Round

Prepare your fleet for every season! From winterizing vehicles to summer heat safety, our eBook covers essential strategies for year-round fleet safety. Download now to reduce...

Streamline Compliance, Ensure Safety and Maximize Driver's Time

Truck weight isn’t the first thing that comes to mind when considering operational efficiency, hours-of-service regulations, and safety ratings, but it can affect all three.

Improve Safety and Reduce Risk with Data from Route Scores

Route Scores help fleets navigate the risk factors they encounter in the lanes they travel, helping to keep costs down.