February marked the 19th consecutive month that manufacturing posted gains, according to the latest Manufacturing ISM Report On Business released on Tuesday, March 1. Performance in this sector is boosted by new orders, which are nearly outpacing inventories, and is positive despite the struggling housing industry and inflated materials costs. February’s report from the manufacturing sector indicates continuing strong performance as the PMI registered 61.4 percent, an increase of 0.6 percentage point when compared to January’s reading and the highest PMI reading since Continue Reading

Encouraging signs that the trucking industry is improving are being affected by the rising fuel prices, but it’s not drastic yet, according to research firm FTR Associates. Stronger freight demand and tightening capacity are allowing carriers to nudge shipping rates higher that help compensate for higher fuel costs. Struggling or marginal carriers will be most affected as they try to eke out profit, where more established and larger fleets will feel the sting. But this is also a very different trucking industry than the one that faced a similar oil price spike in 2008, Starks Continue Reading

Despite showing the most unfavorable news for shippers in the current recovery, the latest Shippers Condition Index (SCI) numbers from research firm FTR Associates may be the calm before the storm. Brutal winter storms combined with already slack seasonal activity are expected to give way to brighter numbers when the weather improves and freight gets a boost in March. However, there are factors at work that could lead to a capacity shortage on drivers, such as the Federal Motor Carrier Safety Administration’s new Compliance safety Accountability (CSA) program and Continue Reading

Prelimary data released by FTR Associates yesterday shows Class 8 truck orders continue to gain strength. January numbers show a 1 percent increase over December 2010′s strong activity. Compared to one year ago, orders for January this year show a 324 percent increase over January 2010. Just the prior three months show net order activity at 319,500 units. These figures includes the United States, Canada, Mexico and Continue Reading

The economy continues to get a consistent boost in some sectors. According to the Institute for Supply Management’s latest monthly survey, manufacturing posted gains for the 18th consecutive month, with new orders and production up in January as well. The latest PMI — ISM’s composite index of manufacturing activity — at 60.8 percent is at its highest level since May 2004. Index values above 50 percent mean that the manufacturing Continue Reading

Both sales of used Class 8 commercial vehicles and trailers finished last year strong, with sales being up 21 percent and 7 percent respectively from the previous month, according to the latest figures from ACT Research Co. Tight supply and strong demand for late-model, low-mileage trucks will continue to drive up prices of used Class 8 trucks. Overall, retail sales for used trucks were up 31 percent. Commercial trailer net orders, on the Continue Reading

Despite the latest adjusted For-Hire Truck Tonnage Index for December indicating its highest level since September 2008, freight improvement continues to be choppy, according to feedback the American Trucking Associations are receiving from fleets. That trend is expected to continue through the first half of the year, but accelerate through the second half and into 2012. ATA calculates the tonnage index based on surveys from its membership. The report Continue Reading

Apparently, 2008 was a very good year. A little less congestion, maybe a little less frustration. The just-released 2010 edition of the Urban Mobility Report, published by the Texas Transportation Institute (TTI) at Texas A&M University, attributes that to the economic downturn and higher fuel prices. But now that things are picking up, the traffic headaches are getting more severe. Congestion costs, wasted fuel and delivery delays are on the rise. And the report attempts to assign dollar values to the often priceless frustration. While these costs are understandably higher in Continue Reading

Though the recession was technically declared over in June 2009, most companies or fleets wouldn’t know it. While recovery hasn’t been as brisk, economic analysts are predicting stronger, steady growth in 2011, but it will bring with it a new set of challenges. Those challenges, like the effects of CSA 2010, a potential driver shortage, continued excess capacity and proposed changes to hours-of-service rules, will take tolls on the industry. The FMCSA’s crackdown on unsafe drivers using the CSA 2010 measurement tool could take some off the roads, meaning more equipment left Continue Reading

The strengthening demand for Class 8 vehicles is being called “the start of the upcycle for the market” by ACT Research Co. (ACT) in its latest North American Commercial Vehicle Outlook. The forecast cites several factors for the uptick in business, such as improving freight volume, higher trucker profits and an aging fleet in need of replacement. As a result, the number of units of Class 8 trucks produced will be significantly higher than 2009′s depressing numbers, yet still below what is normal replacement demand. The good news, though, is that the forecast anticipates even stronger Class 8 demand for Continue Reading