A growth trend for the commercial market
The commercial vehicle market is expected to stay strong. The most recent data from ACT Research Co. (ACT) continues to reflect improved demand across all segments of the heavy-duty commercial vehicle market.
“While some growing pains are occurring as the industry ramps up to meet the widespread increase in demand, the commercial vehicle market will continue at a solid pace,” says Sam Kahan, ACT’s chief economist. “Our outlook is for 2011 real GDP to grow 3.0% on a year-over-year basis. While this is slightly less than previously thought, it is in line with most forecasters.”
Several factors point toward an upcycle in the market. They include pent-up demand resulting from deferred replacement, tight freight-carrying capacity, improved fleet financial performance and some easing in credit availability. Class 8 net orders continue at a strong pace, and after a slight pause in January, commercial trailer orders have returned to a solid growth trajectory.
The latest release of the ACT North American Commercial Vehicle OUTLOOK reflects the impact of a U.S. economic recovery proceeding at a slow, but self-sustaining pace. This economic outlook, combined with recent market performance, suggests that ACT’s forecasts for rising commercial vehicle production through 2011 and into 2012 are on track.
For more information on ACT, please visit http://www.actresearch.net.