Roanoke Times Copyright (c) 1995, Landmark Communications, Inc. DATE: WEDNESDAY, October 13, 1993 TAG: 9310130079 SECTION: BUSINESS PAGE: B-5 EDITION: STATE SOURCE: DATELINE: LENGTH: Short
Sales of 13,614 heavy trucks last month were 28 percent higher than a year ago, and quarterly sales of 40,245 units rose 29.2 percent from the year-earlier period, according to preliminary retail figures from the American Automobile Manufacturers Association.
Estimated year-to-date deliveries of 114,606 units were up 34.9 percent, prompting predictions that the industry will end the year "close to 155,000 without any problem at all," said Ken Kramer, director of capital goods and freight transportation at WEFA Inc. in New York.
The major question now is whether next year will provide an encore for the industry.
Kramer said the effect of "pre-buying" this year to avoid 1994 price increases due to new emissions standards may cause "some backing off" to around 141,000 units next year. But that would be a vast improvement over 1992 sales of 119,057 units in the heavy, or Class 8, category, defined by gross vehicle weight ratings of more than 33,000 pounds.
While there has been concern over carrier profits, truck orders remain strong, Kramer said. Another question is the effect of diesel cost increases from new taxes and low-sulfur fuel rules. Higher fuel prices usually cut both ways on truck sales by reducing cash for purchases while increasing the need for fuel-efficient new equipment. - Journal of Commerce
by CNB