FTR reports preliminary trailer orders for January held firm at 26,300 units, up 1% m/m and down 13% y/y. Trailer orders for the past twelve months totaled 242,000 units.
The industry is in a tight holding pattern, as supply chain shortages continue to prevent build rates from rising. OEMs have decided to maintain healthy backlogs, but not raise those levels much until there is a much clearer picture of future build rates. Preliminary net orders are expected to be moderately higher than production totals for the month.
“The longer the supply chain stays clogged, the more pent-up demand there is. Fleets are desperate for all types of trailers. As freight demand grows, the lack of available trailers puts stress on carriers and shippers alike. Once they get more parts and components, OEMs will be pressed well into next year as they try to catch up with demand.”