Australian truck sales falling

Sales of new trucks in Australia have continued to drop, with the latest data revealing a fall of 4.7 per cent for the first half of the year

According to the latest data from the Truck Industry Council (TIC), sales of new trucks in this country fell by 4.7 per cent over the first half of 2014 when compared to the corresponding period last year.

The TIC says the 14,359 new trucks sold to the end of June represents the third-worst half-yearly result in the last decade. Certainly the figure is a far cry from the record figure of 18,218 units set in the first half of 2008, before the ravaging effects of the Global Financial Crisis.

While the Light Duty Van segment continues to build momentum – the 2200 examples sold in the first half of 2014 equating with growth of 16.2 per cent – truck sales are still in the doldrums.

Sales of Heavy Duty trucks were down 7.3 per cent for the period with 5147 units while sales of Medium Duty trucks dropped by 10.8 per cent (3015 units). Year-to-date the Light Duty truck market is down by 8.9 per cent, with 3997 sales to the end of June.

While most truck brands experienced falls over the first half of 2014 the Volvo Group is bucking the trend, with Volvo, Mack and UD all in a period of growth.

According to the CEO of the TIC, Tony McMullan, the downward trend has implications for both road safety and the environment.

"No doubt the flat economic conditions that our economy is currently experiencing is in part responsible for this result, but I cannot help but feel that there is a greater reluctance out there for capital investment by heavy vehicle transport fleets than we have seen in recent years," he said.

"Of course this negative growth in new truck sales, while the freight task remains strong, will only lead to a general aging of the Australian truck fleet and this is not a good result for improving road safety and the environment.

"Given the Federal and State Government objectives of increased road safety and reduced emissions in the road freight transport sector, fewer new trucks sold with their more advanced safety and environmental technologies will undermine such goals. We need new truck sales growth to ensure a younger, safer and cleaner truck fleet, as I have stated before."

Australian truck sales falling

Tags