US truck manufacturers and component suppliers expect increased sales in 2014.
Positive economics are leading to OEM optimism in the US, with increasing freight rates along with greater volumes likely to lead to the purchase of new equipment. More vocational trucks are also being used.
Big rig sales could multiply Image: Adam850 |
However, the 2014 Mid America Trucking Show saw mixed opinions about truck sales. Daimler Trucks North America expects a surge in orders from small to mid-sized carriers: “We’re experiencing a weird dichotomy in that once the big fleets witnessed the reliability and fuel efficiency potential of post-2010 trucks, they went out and bought them while the smaller and medium sized fleets did not,” explains David Hames, GM of marketing and strategy. But he predicted truck prices would be a shock for companies which haven't purchased for several years.
Volvo Trucks is also predicting demand for replacement equipment for Class 8 units - the big rigs of the haulage industry - an opinion echoed by Mack Trucks.
The 20% increase in construction and 7% in auto production were identified as sales drivers of both on-highway and vocational trucks, according to John Larkin, managing director and head of transportation capital markets research for Stifel, Nicolaus & Co. He claimed that the low cost of capital and better fuel efficiency in new equipment is helping to drive the markets.