“We anticipate continued supply challenges so our process will account for those dynamics inclusive of customer communication and being dynamic with our supplier partners when there are supply shortages.”
“As we continue to become accustomed to the current dynamic environment we are in, we have created a very diligent demand and order process to create better predictability for our customers,” Griesgraber says. Wabash National has been able to “fulfill most of our orders” for 2021, but has pushed some units into 2022, says Tim Griesgraber, vice president, strategic accounts. Demand remains strong so far, in the face of unprecedented price increases.” “Supply chain challenges abound and show no sign of abating. “We’re performing the best we can considering the current circumstances,” states Utility Trailer Manufacturing Company. The story is the same in the trailer space. “Understanding the effect late deliveries have on our customers, Mack is focused on doing everything possible to meet our committed delivery dates, and we will continue to communicate frequently with our dealers and customers as circumstances change to allow for them to better plan ahead,” he says. He says Mack experienced a 115 percent increase in orders from the second to third quarter in 2021, and demand remains high. Jonathan Randall, Mack senior vice president of sales and commercial operations, agrees. “Our fleet customers receive this same information through their dedicated Volvo sales representatives.”Ĭlass 8 truck orders have fluctuated between 23,000 and 28,000 units for five of the last six months as OEMs struggle to ramp up production.
“We share concrete and pertinent information with the Volvo Trucks dealer network when it becomes available so that they can, in turn, update their customers regarding vehicle delivery status updates,” he says. Koeck says demand continues to be strong - far outpacing supply - indicating customers still want to order as much as possible. Volvo Truck North America’s Magnus Koeck, vice president, strategy, marketing and brand management, says constant communication with all impacted parties has proven to be the best way to lessen the blow. “We use the allocation system to establish the trucks that can be built under the information we have at the time,” the company says.Ĭonveying this bad news to dealers and fleets is undoubtedly a challenge. Isuzu relies on a dealer-by-dealer allocation system to determine its build plan. The story is similar at Isuzu Commercial Truck of America, which has been forced to shift some 2021 orders into next year as production delays have mounted. Unfortunately, no one is getting nearly as many slots as they might like.” We want to continue to make sure to treat all parties fairly. Martin says Navistar has “allocated slots to dealers and customers and are focused on maximizing what we can produce.
Martin says most International trucks scheduled to be produced next year were ordered in the spring, before the worst of the supply constraints limiting the company’s production appeared. Industry order boards are filled and few, if any, extra slots appear likely to appear in the months ahead.Īt Navistar the order board for 2022 has been closed for “some time now,” says Paul Martin, vice president, Used Truck, Pricing and Sales Finance. Yet with the fundamental issues impacting productivity unlikely to alleviate any time soon, few OEMs seem willing to express confidence for the year ahead. No manufacturer has solved the problem, though nearly a year into the crisis many of trucking’s OEMs have implemented alternative sourcing and assembly strategies to maximize their production output and move as much new equipment into the market as possible. Equipment demand remains at or near record highs, but with semiconductors and dozens of other raw materials becoming increasingly hard to acquire and ship, truck and trailer manufacturers have been put in the unenviable position of trying to solve a demand crisis with one hand (or production line) tied behind their back. As new truck and trailer orders have stagnated for most of 2021, a lot of blame has been placed at the foot of the industry’s fractured supply chain.