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There Was a Surge of Heavy Truck Sales in January

A number of factors have started off 2018 with strong truck sales. In the first month of the year, manufacturers received over 47,000 orders for Class 8 trucks, according to Trucks.com. This surge in sales marks a 116 percent over the previous year. This is the best sales month since March of 2006. With a kickoff this big, the year is off to a great start for heavy truck manufacturers. 

The Economy Drives Sales

The reason for the excellent first month of big-rig truck sales in 2018 lies in the fact that the economy is fairly strong. It also helps that there aren't enough heavy-duty trucks currently on the road to reach shipping demands. The strong freight demand has encouraged motor carriers to make investments in their fleet and this means placing orders for new heavy trucks. 

Gary Moore, executive vice president of Paccar Inc. which owns Peterbilt and Kenworth, told Trucks.com that the main driving force behind the surge in sales is linked to the fact that people are spending money in retail and because commercial and residential construction is on the rise. All of this translates to more loads needing shipping, which in turn means that more trucks need to be built and put on the road. 

Tax Rates Helped Too

Trucks.com notes that tax rates for trucking companies differ this year due to the new tax regulations. Smaller, privately held companies can now claim taxes based on the owner's personal rate, which should result in more money being available for purchases. 

Volvo Trucks, Daimler Trucks North America, and Paccar Inc. all say they expect overall heavy-truck sales to be up for the year. While each company has its own estimates as to how good of a year they will have, it's clear that all trucking companies seem to expect 2018 to be the best year in about a decade.


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