TIC reports record Q2 heavy truck sales

TIC reports record Q2 heavy truck sales

According to the latest T-Mark truck market sales data from the TIC (Truck Industry Council), the second quarter of 2018 was particularly strong for Australia’s new heavy vehicles segment. This past June, businesses and organizations took delivery of 1,433 Heavy Duty trucks, which shattered the previous record of 1,421 heavy vehicles sold, set in June 2010.

So far, so good

The first half of 2018 has been especially positive for the trucking industry in Australia, and not just in the heavy category. For the month of June alone, a total of 4,231 units, including heavy-duty vehicles and trucks, light-duty trucks, vans, and medium-duty trucks, were sold. These numbers beat the previous record set in 2017 (3,879) as well as 2007 and 2009 (3,718). These figures are even more impressive when you consider the fact that the 2007 sales data predates the Global Financial Crisis, and the 2009 numbers were inflated due to the government’s GFC incentive programs that were meant to spur economic growth.

If you look at the numbers for light duty trucks, there were a total of 1,304 units sold, smashing the previous record of 1,233, from June 2017. The TIC also found that there were 18,218 unit sales in the first half of 2018, which is significantly better than the previous mid-year peak from 2008 (1,752 units). For just a hint of how things will shake out for next month, the TIC reports that 19,970 heavy vehicles have sold so far this year.

Just a hiccup

Not every segment fared as well as the heavy-duty trucks in June. Sales of light-duty vans (with a GVM of between 3,500 and 8,000 kilograms) slipped compared to June 2017, from 653 to 599, which is an 8.3% drop year-over-year. Thankfully, for the year, van sales continue on an upward trajectory, accounting for better than 5% growth (3,045 units) compared to 2017’s mid-year figures for vehicles in this class.

The President of the TIC, Phil Taylor, said in a news release, “It is encouraging that as the Australian economy rallies, truck sales are growing too, breaking many long standing sales records, both for the month of June, as well as year-to-date.” TIC’s Chief Executive Officer, Tony McMullan, felt that the latest findings were, at the very least, encouraging. “Australia needs to renew its aging truck fleet, to make our industry safer, cleaner, greener and more productive, we need continued record breaking sales to facilitate this. The first half of 2018 is a starting point.”