Recent spikes in new truck sales may not be a sign of prosperity to come any time soon, according to various research firms, like Standard and Poor’s and FTR Associates and industry analysts. Now, FTR Associates is saying, that the jump may be the optimistic part of the rebound-then-fizzle-out sales cycle experienced in the 1982 recession. If that’s the case, truck sales have a hard road ahead to approach recent peak levels in the U.S. in 2006 and Europe in 2008. Overcapacity and weaker freight will continue to plague the industry, though circumstances may not be as dire. Demand for trucks is high in developing markets, such as Brazil, China and India, but only Brazil and other neighboring countries appreciably contribute to global truck makers’ profits.
Sales of new trucks across the globe are projected to stay below recent “peak levels” for several years to come, according to a recent analysis. That’s no surprise to truckers in the U.S., given the steep rise in sticker prices due to new emission rules along with a freight market that is still down in the dumps.
Standard & Poor’s is the latest research firm to note that demand around the world for new trucks over the next few years could remain far below the peak levels achieved in Europe in 2008 and for North America back in 2006.
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