Fleet Management News & Business Info | Commercial Carrier Journal
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product reviews, OEM & supplier news and equipment management trends My MATS musings Annual event provides update on industry's state by Jack Roberts The trucking industry might see a bevy of new – and strikingly advanced – designs in the next 12 to 24 months, thanks to the 2014 GHG mandate and the finalization of the Super Truck Project. T he 2013 Mid-America Trucking Show is in the books, and things are quiet for the moment while the trucking industry press catches its collective breath after a slew of news and product announcements. As with any big industry event, MATS was instructive on the state of trucking in a variety of ways. Here are a few of my thoughts: Our industry has a hangover I'm talking about the general shape of trucking's microeconomy here. Mentally, the industry seemingly still hasn't adjusted its mindset and accepted that the Gold Rush days of the early 2000s are gone forever. At the height of the frenzy, there was something along the lines of 300,000 Class 8 trucks being built each year. This year, most OEMs say, they'll build between 215,000 and 220,000 new trucks – yet a general depressed mood still permeates the industry. All things considered, however, 220,000 units is a pretty healthy number. More importantly, it's a realistic and sustainable number. Could things be better? Sure. Could things be worse? Most certainly. While a general "flat" feeling remains, that's really not the case at all, as one OEM general manager told me; things actually are fairly healthy at the moment. Fleets are starting to buy new trucks again, and they will continue to do so for two reasons. One, they don't have a choice: They've held on to and pushed their existing vehicles just about as far as they possibly can, and they've got to start replacing them. Two, the economy is improving – although not as fast as anyone would like. If those trends continue, then purchasing new trucks will be both a necessity and a safer investment for fleets. The best times may be ahead of us. 20 commercial carrier journal 0513_Equipdept_Jack.indd 20 Cummins triumphant It wasn't that long ago that everyone in the industry was wondering what would become of Cummins. At the time, vertical integration was the industry watchword as OEMs were bringing in their own diesel engines. International, one of Cummins' best customers, invested hundreds of millions in developing its Good old days: Truck sales own engine lines from are good but can't compare with scratch. It looked like the early 2000s. Cummins was going to lose ground. Cummins coming on strong: Company's early natuFast-forward to ral gas investment is paying off. today, and Cummins is doing just fine. At Coiled spring: While things MATS, the company seem quiet, interesting days lie continued to ride the ahead for all of us. | may 2013 4/22/13 10:40 AM