According to this quarter’s issue of ACT Research’s Trailer Components Report, trailer net orders have pushed the industry backlog higher for the past seven months, with January’s order level 66% above current build rates.
ACT Research’s U.S. New Trailer Components and Materials Forecast provides those in the trailer production supply chain, as well as those who invest in said suppliers and commodities, with forecast quantities of components and raw materials required to support the trailer forecast for the coming five years. It includes near-term quarterly predictions for two years, while the latter three years of the forecast are shown in annual details. Additionally, analysis is segmented into two categories: those needed for the structural composition of new trailers and those used in the production of undercarriage assembly.
“First of all, it is important to remember that trailer market strength is highly segmented,” said Frank Maly, Director–CV Transportation Analysis and Research at ACT Research. He explained, “Dry vans and reefers have seen the majority of order volume in recent months, and those OEMs are struggling to increase production to meet surging fleet demand. Vocational trailer categories are not seeing the investment commitment occurring in the general freight and temperature controlled segments.” Maly also noted, “Large fleets continue to drive the market. Indications are that small and medium fleets continue to struggle to recover from the impact of the 2020 COVID-related market gyrations and are now being impacted by both driver shortages and scant new equipment availability.”
He concluded, “Discussions have indicated supply issues include castings, forgings, sheet metal, wood products, and tires. Many of the vendors for these items, excluding wood, are seeing strong demand from the truck side of the CV market as well, and these limitations have tempered our forecasts.”
ACT Research is recognized as the leading publisher of commercial vehicle truck, trailer, and bus industry data, market analysis and forecasts for the North America and China markets. ACT’s analytical services are used by all major North American truck and trailer manufacturers and their suppliers, as well as banking and investment companies. ACT Research is a contributor to the Blue Chip Economic Indicators and a member of the Wall Street Journal Economic Forecast Panel. ACT Research executives have received peer recognition, including election to the Board of Directors of the National Association for Business Economics, appointment as Consulting Economist to the National Private Truck Council, and the Lawrence R. Klein Award for Blue Chip Economic Indicators’ Most Accurate Economic Forecast over a four-year period. ACT Research senior staff members have earned accolades including Chicago Federal Reserve Automotive Outlook Symposium Best Overall Forecast, Wall Street Journal Top Economic Outlook, and USA Today Top 10 Economic Forecasters. More information can be found at www.actresearch.net.