According to ACT Research’s recently released Transportation Digest, the Class 8 market is on the cusp of a significant correction. At the same time, the medium duty market continued to confound in May, with forward-looking indicators deteriorating and concurrent data suggesting moderate growth.
The report, which combines ACT’s proprietary data analysis across a wide variety of industry sources paints a comprehensive picture of trends impacting transportation and commercial vehicle markets, also suggests that the US economy will decelerate from the 2018 tax-cut-boosted vigorous growth of 2.9% to a real GDP forecast average of 2.4% this year and slightly below 2% in 2020.
“There is a gap between the perception that things remain A-OK in the heavy truck business on one hand and the rapid erosion of transportation fundamentals on the other. This is why ACT has been warning subscribers for months about the possibility of a slowdown into the end of 2019,” said Kenny Vieth, ACT’s President and Senior Analyst. He continued, “Regarding other commercial vehicle segments, medium duty build strengthened sequentially, and sales became less of a drag, even as orders have softened. Fortunately for the MD market, demand is more closely aligned with consumers, and less with manufacturing.”
ACT Research is recognized as the leading publisher of commercial vehicle truck, trailer, and bus industry data, market analysis and forecasting services for the North American 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. More information can be found at www.actresearch.net.
ACT’s 61st seminar is scheduled for August 12-14, 2019, and will feature a dealer panel, as well as discussions on near-term demand of North American commercial vehicle markets and the impacts of tomorrow’s technical challenges. A global forecasting workshop is also being planned in conjunction with this semi-annual event. Click here for seminar information.