Mack Trucks is bullish on the state of the truck market and overall
economy. Maybe bulldoggish would be a better choice of words given the
trademark dogs mounted on the hood of its trucks.
“The overall outlook for the U.S. economy remains encouraging,” says
Jonathan Randall, senior vice president – sales, referring to measures
from the U.S. Gross Domestic Product to manufacturing activity,
spending, and inventories. Construction is particularly strong, and that
is one of Mack’s key market segments.
The company has adjusted its forecast for North American Class 8
truck sales in this environment, up to 225,000 units from an originally
projected 215,000 sales. And Randall says he wouldn’t be surprised if
sales were higher than that at the end of the year.
Mack’s market share is holding relatively steady in the U.S. While
the share has slipped somewhat in Canada, he expects the company will
return to its traditional 8% market share by the end of the year.
“Where we saw the largest drop was the LCOE (low cabover) in the
refuse market,” Randall says, noting that the timing of deliveries was
responsible for most of the sales shift. Mack's truck normally accounts
for 75% of its segment, but levels hit about 50% at the beginning of the
year. It has since returned to levels in the mid-60s and rising.
"We've got a lot of deliveries in queue. We've got a strong backlog
yet to be delivered this year," he says. "Same thing on regional haul.
We've got a good, strong backlog of trucks yet to be even built this
year, with customers' names on them, that are going to get into the
market before the end of the year."
“It is a great time to be a bulldog,” Randall added, referring to
the company’s strong positions in construction and refuse markets, and a
growing share of the regional haul business. The recently released
Anthem highway tractor also taps into the longhaul market that accounts
for 41% of Class 8 sales this year. It’s usually more than that.
The longhaul segment is going to take its rightful place at about 50% of sales in the next couple of years, he predicted.
“It’s really a good time in the industry and it’s a good time for Mack Trucks.”
Source of article click here : Today's Trucking