A few months back, we reported that there was a stagnation in truck sales. Truck sales were down to the point that vehicles were not moving off of dealership lots, and fleets could not unload used vehicles for anywhere near their actual value. However, a few months have made all the difference, and truck sales are on the rise. But an increase in truck sales is indicative of a shift in the larger picture.
The Big Jump In Truck Sales
Truck sales jumped considerably to the biggest high in two years, last month. A big part of this increase in sales is directly related to economic growth. When the economy is doing well, more goods need to be shipped and distributed to customers. This, in turn, means more Class 8 trucks are needed to haul those shipments. With revenues up across the board, both fleets and owner operators can invest in new vehicles.
Bumps In The Road
An efficient and healthy economy rest on the shoulders of the trucking industry, and its ability to move shipments from one point to another. But to move things efficiently, truckers need to reduce their time on the road, as well as a wear and tear on their vehicles. With the trucking industry hauling 70 percent of the freight in this country (by weight), the focus has turned to our country’s infrastructure. Our roads are not in the best condition. With an increase in both personal and commercial vehicles, our highways and city streets cannot handle the traffic. Roads need to be repaired, highways need to be widened, and more arteries need to be built to remove congestion and ease movement.
Weathering The Storms
Natural disasters certainly have not helped the freight industry, despite the rise in truck sales. Multiple hurricane strikes have forced truckers to take alternate routes. Wildfires on the west coast have shut down some vital roadways. And in the wake of it all, truckers are still hauling – not just their regular shipments – but also equipment and supplies for recovery efforts. As we head into the winter months, we can hope the weather is much milder than it was throughout the summer.
Yet, in the face of floods, fires, and other weather-induced hardships, our country’s economy is on the rise. Economic and freight industry analysts predict that this uptick is going to last for a while, so expect to see truck sales increase as the industry continues to gow.