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Medium-Duty Orders Cool in October

November 03, 2017

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Orders of classes 5-7 vehicles fell 1.5% to 19,500 units in October compared to a year ago, as the medium-duty truck market has remained steady for the past two years, according to ACT Research.

"The consistency in the numbers highlights the steady-as-she-goes nature the MD market has exhibited for quite some time," said Steve Tam, vice president of ACT Research. "Orders have averaged around 20,000 units per month since Q4 2015, generally not straying more than a couple thousand units from the average during that period.

Orders of class 5 trucks rose 16% to 6,600 units, while orders of classes 6-7 trucks fell 9% to 12,900 units, according to the firm. Through October, about 252,000 medium-duty orders have been booked.

October usually provides a strong order month for medium-duty vehicles, due to a boost in municipal ordering from agencies that start their fiscal years on Oct. 1 and have a new pool of money to purchase vehicles, according to ACT.

This October was about 14% weaker than the typical October in recent years, and followed a 7% increase from September. The third quarter is usually the weakest quarter with July the worst month of the year.

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