The latest report from ACT Research indicates that while trailer demand is no longer contracting, it’s too soon to celebrate recovery, according to the firm’s analysts. August data showed gains in net orders of commercial trailers, but those numbers are 35 percent below the same period last year. Though July and August tend to be months of lower activity historically, analysts were hopeful that modest growth may bode well for the near future.

COLUMBUS, Ind. — Net orders of commercial trailers rose 14% in August, according to the latest US Trailers report issued by ACT Research.

Better yet, net trailer orders were up 69% over August, 2008.

The August numbers mark the second consecutive year-over-year gain for the US trailer industry. However, year to date, commercial trailer orders are still down 35% over the same period of 2008, ACT reports. When comparing June-July-August orders, however, net orders are up 16% this year.

“While recent order trends indicate the industry is no longer contracting, demand conditions are still about half of normal replacement levels. It is too early to celebrate a recovery,” said Kenny Vieth, partner and senior analyst with ACT Research. “On a bright note, July and August are typically the weakest order months of the year, hinting that modest sequential improvement could continue in the coming months.”

[source - trucknews.com]