Sales of Natural Gas Trucks and Buses Will Reach Nearly 400,000 by 2022, Forecasts Navigant Research

BOULDER, Colo.--(BUSINESS WIRE)--Driven by the lower cost of natural gas and the lower emissions from natural gas engines, compared to diesel fuel, operators of truck and bus fleets are increasingly shifting to natural gas vehicles. New markets for natural gas vehicles, such as the United States and China, tend to focus on fleet markets, particularly trucks and buses, because they require fewer refueling stations and fuel costs have become the highest or second highest cost for fleets. Click to tweet: According to a new report from Navigant Research, worldwide sales of natural gas trucks and buses will grow from 170,200 annually in 2013 to 398,400 by 2022.

“Demand for natural gas trucks and buses remains uneven on a regional basis,” says Dave Hurst, principal research analyst with Navigant Research. “In North America, where natural gas costs remain low, the number of vehicles is outstripping the development of refueling stations. In Asia Pacific, China and other developing markets are looking to natural gas to help address environmental woes in large cities. As a result, the total number of natural gas trucks and buses on the road by 2022 is anticipated to reach nearly 4 million.”

On average, the price of compressed natural gas (CNG) is about 42 percent that of diesel, according to the report. Liquefied natural gas (LNG) tends to be a bit higher, but sees significantly more variability than CNG. Given the difference, the payback period for heavy duty trucks can be as short as 1.5 years in North America. The incremental costs are largely driven by storage tanks for the CNG or LNG, which account for between 53 percent and 76 percent of the total incremental costs.

The report, “Natural Gas Trucks and Buses”, analyzes the global market for trucks and buses that are in the medium duty (10,000 to 26,000 pounds) and heavy duty (26,000 pounds or more) gross vehicle weight classes. The study provides an analysis of related market issues and drivers, including refueling availability, competing alternative drive technology, total cost of ownership, vehicle availability, and government influence. Global market forecasts for vehicle sales, vehicles on the ground, and fuel used are broken out by segment, fuel type, and region and extend through 2022. The report also examines the key technologies related to natural gas storage on vehicles, as well as the competitive landscape. An Executive Summary of the report is available for free download on the Navigant Research website.

About Navigant Research

Navigant Research, the dedicated research arm of Navigant, provides market research and benchmarking services for rapidly changing and often highly regulated industries. In the energy sector, Navigant Research focuses on in-depth analysis and reporting about global clean technology markets. The team’s research methodology combines supply-side industry analysis, end-user primary research and demand assessment, and deep examination of technology trends to provide a comprehensive view of the Smart Energy, Smart Utilities, Smart Transportation, and Smart Buildings sectors. Additional information about Navigant Research can be found at www.navigantresearch.com.

About Navigant

Navigant is a specialized, global expert services firm dedicated to assisting clients in creating and protecting value in the face of critical business risks and opportunities. Through senior level engagement with clients, Navigant professionals combine technical expertise in Disputes and Investigations, Economics, Financial Advisory and Management Consulting, with business pragmatism in the highly regulated Construction, Energy, Financial Services and Healthcare industries to support clients in addressing their most critical business needs. More information about Navigant can be found at www.navigant.com.

* The information contained in this press release concerning the report, “Natural Gas Trucks and Buses,” is a summary and reflects Navigant Research’s current expectations based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report’s conclusions and the methodologies used to create the report. Neither Navigant Research nor Navigant undertakes any obligation to update any of the information contained in this press release or the report.

ICT Holdings' 2012 Sales Spiked 430 Percent

JOC Staff | Mar 12, 2013 12:48PM EDT

ICT Holdings reported record sales in 2012 rose more than 430 percent compared with 2011. The privately owned Chicago-area company did not release total revenue or earnings data.

For 2013, the Illinois-based logistics, trucking and transportation company said in a written statement that it is exploring additional options for expansion and more satellite offices, as well as other business builders, such as a green fleet that could be powered by natural gas. ICT recently opened a new satellite location in Fayetteville, Ark.

“Last year was significant for us,” said Patrick Sacor, CEO and chairman of ICT Holdings, in a written statement. “It started off with the opening of our new headquarters in Glendale Heights, was enhanced further by opening up our repair facility and was capped with the opening our satellite office in Fayetteville, which we then expanded to include our refrigerated truck division.”

In addition, ICT opened new divisions in 2012, including the flatbed and refrigerated division. ICT intends to add another 20 trucks to its refrigerated division by the end of April.

View the original article here

Used Truck Sales Drop, New Truck Orders Rise

JOC Staff | Feb 26, 2013 12:51PM EST

Sales of used Class 8 trucks dropped 3 percent year-over-year in January and were down 6 percent from December, according to ACT Research.

"It is now a buyer's market," said Steve Tam, vice president for the commercial vehicle sector at Columbus, Ind.-based ACT Research. 

"While one data point does not make a trend, longer term softness is in line with expectations, as new truck buyers have held onto their equipment longer before trading," he said.

"The net effect is older, higher mileage (used) trucks (for sale), which translates into lower prices," said Tam.

Auction and retail used truck sales dropped 11 percent in 2012, according to the vehicle market research firm, while the wholesale market increased volume 3 percent.

Orders for new heavy-duty trucks rose for a second straight month in January and remained above 20,000 for the fourth consecutive month, according to ACT.

View the original article here

Auto Sales Reach Four-Year High

TT File Photo

Automakers sold cars and light trucks at the highest pace in more than four years in September, Bloomberg reported.

Industrywide light-vehicle deliveries climbed 13% to 1.19 million in September, according to Autodata Corp.

The annualized rate of 14.94 million — the best since March 2008 — topped the median 14.5 million pace projected by economists surveyed by Bloomberg News.

Toyota Motor Corp.’s sales surged 42% in September. Honda Motor Co.’s sales jumped 31% and Nissan Motor Co.’s dipped 1.1%.

Chrysler Group LLC’s sales rose 12% to 142,041 vehicles. General Motors Co.’s deliveries rose 1.5%, while Ford Motor Co.’s slipped 0.2%.

Volkswagen AG, which is targeting more than 500,000 U.S. vehicle sales this year, saw its Volkswagen and Audi brand sales surge 34% to 36,339 vehicles.

View the original article here

Arkansas to Vote on Half-Cent Sales Tax Hike for Road Projects

By Michele Fuetsch, Staff Reporter

This story appears in the Oct. 1 print edition of Transport Topics. Click here to subscribe today.

A proposed constitutional amendment on Arkansas’s ballot this November would add a half-cent to the state’s 6-cent sales tax to raise money for transportation.

Seventy percent of the revenue generated by the half-cent increase would pay for new four-lane highways around the state. The remainder would go to counties and cities to spend on roads.

The half-cent levy would expire after 10 years.

Although the state’s sales tax is 6 cents, cities and counties often have sales taxes of their own, which are as high as 3.5 cents in some areas.

If the half-cent ballot measure is approved, it would be the first time the state has used sales tax revenue for roads, said Lane Kidd, president of the Arkansas Trucking Association.

View the original article here

White House Clears EPA Rule to Allow Navistar Engine Sales

The White House approved a regulation that could allow Navistar Inc. to resume selling heavy-duty diesel engines that violate 2010 emissions standards while paying a penalty.

Following the approval by the Office of Management and Budget, the Environmental Protection Agency must publish the rule in the Federal Register before it can take effect. EPA did not return a call asking when rule would be published.

The text of the rule is not public, and OMB did not provide any information about the rule on its regulatory docket except to note that it approved the rule Wednesday after making unspecified changes to it.

The rule would replace an “interim” rule that allowed Navistar to sell noncompliant engines starting in January while paying a $1,919 fine. After some Navistar competitors sued, a federal court overturned that rule in June, saying EPA skipped the proper procedures in issuing it.

View the original article here

New Home Sales Rise to Match Two-Year High

New home sales rose 3.6% in July to match a two-year high, the Commerce Department said Thursday.

Sales rose to a 372,000 annual rate, from June’s 359,000. The July rate matched May’s, which had been the strongest since April 2010. 

The July rate was above economists’ median forecast of 365,000, Bloomberg reported.

Purchases jumped 77% in the Northeast and 7.7% in the Midwest and fell 1.6% in the South and 0.9% in the West.

Rising home sales can mean more business for flatbed trucking companies that haul building materials and dry van freight carriers that haul household appliances and furniture.

View the original article here

July Medium-Duty Truck Sales Rise 15.8%

By Jonathan S. Reiskin, Associate News Editor

This story appears in the Aug. 20 print edition of Transport Topics. Click here to subscribe today.

U.S. retail medium-duty truck sales totaled 12,483 vehicles in July, a 15.8% improvement over the 10,779 sold a year earlier, WardsAuto.com reported.

Although all three major weight groups showed monthly gains, there were some reports of slowness.

See related story: Heavy-Duty Truck Sales Rise 27.4% in July (TT subscription or 14-day pass required.) 

Classes 4-7 sales — as tracked by Ward’s, Southfield, Mich. — have been increasing since December 2009 but at a slower pace than heavy-duty commercial trucks.

“We were flat in July, hitting a soft patch, but we did much better in the first half through June,” said David Yglesias, whose Palmetto Truck Center sells Fords and specialty commercial vehicles.

View the original article here

Existing Home Sales Rise in July

Existing home sales increased 2.3% in July, climbing from an eight-month low, the National Association of Realtors said Wednesday.

Sales rose to an annual rate of 4.47 million, from 4.37 million in June, the group said.

The level was below economists’ forecasts of a 4.51 million rate, Bloomberg reported.

View the original article here

June Automobile Sales Set Strong Pace

TT File Photo

U.S. automobile sales continued at a strong pace in June, putting the industry on track for its highest-selling year since 2007, Bloomberg reported.

Sales ran at a 14.1 million seasonally adjusted annual rate, up from 13.8 million in May, Bloomberg said, citing Autodata Corp. figures.

Toyota Motor Corp. and Honda Motor Co. led the industry with June gains of 60% and 49%, respectively, Bloomberg reported.

Chrysler’s sales jumped 20% as the company posted its best June sales in five years, and Volkswagen AG is on track for its best U.S. sales year since 1973, the Associated Press reported.

General Motors Co.’s sales rose 16%, while Ford Motor Co.’s rose 7%. The two U.S. automakers’ fleet sales accounted for about a third of their sales.

View the original article here

US used truck sales up in June, trailer orders stay soft: ACT

COLUMBUS, Ind. -- US used truck sales grew 8% in June over May, but lagged June 2011 and the first six months of 2011, while pricing appears to be slowing a little more rapidly than was previously expected, according to the latest report from ACT Research.

“While June’s sales appear positive at face value, concerns are now surfacing, especially relative to the amount of inventory on hand and the prices at which those units were acquired,” reported Steve Tam, vice-president, commercial vehicle sector, with ACT.

Concerning pricing, he added, “The slowdown is not necessarily permanent, nor irreversible, but is a reflection of current economic conditions. Flat demand for more units started the ball rolling. Higher prices have led to changes in financing, which are making transactions more expensive and preventing some potential buyers from making purchases. The solution lies in increased economic activity, which is expected, but at a measured pace.”

Meanwhile, recent softness in trailer industry orders continued in June, a further reflection of the recent soft patch in commercial vehicle demand, according to ACT officials. Despite the decline from May, order volume was up almost 4% year-over-year.

“Total production grew 3% for the month, but jumped 8% on a per-day basis, as June schedules had one less workday than May,” said Frank Maly, director, CV transportation, with ACT Research.

“Soft orders combined with increased production to shrink industry backlogs by 7% during June. The industry ended the month with backlogs of just over 104k units. The industry typically works off backlog throughout the late spring and summer months, so that decline was anticipated,” he added.

View the original article here

Ancra Canada appoints new sales manager for Atlantic, Central Canada

WOODSTOCK, Ont. -- Ancra Canada has appointed George Bates as regional sales manager for Atlantic and Central Canada. 

Bates brings with him more than 25 years of experience in sales and service to the heavy-duty transportation industry, including 10 years of previous load securement sales experience, six years specifically with Ancra as a territory manager. He has been an active participant in several trade associations, including the Automotive Transportation Service Superintendents Association, the Canadian Fleet Maintenance Seminar, and the Heavy Duty Distributor Council. 

“(Bates’) previous load securement experience has left him well versed in the current load securement regulations, making him a valuable resource for Ancra’s customers,” Ancra officials said in a release. 

To contact Bates, call 519-282-0519 or e-mail gbates@ancra.com.

View the original article here

Cummins' 2Q Income Dips; Heavy-Duty Engine Sales Improve

Cummins Inc. said Tuesday its second-quarter profit slipped from a year ago but its heavy-duty truck engine sales improved.

Net income dipped to $469 million, or $2.47 per share, from $505 million, or $2.60, a year ago. Revenue fell 4% to $4.45 billion.

Overall engine sales fell 2% to $2.8 billion, with segment earnings before interest and taxes flat at $376 million. Component segment sales were flat $1 billion.

Heavy-duty truck engine sales rose to $802 million, from $693 million a year ago.

Improved demand in North American heavy- and medium- and light-duty truck and construction markets was offset by lower sales to Chinese construction, Brazilian truck and North American oil and gas markets.

Cummins said it expects its full-year revenue to be $18 billion.

View the original article here

Existing Home Sales Rise in November; Purchases Since 2007 Revised Down

Existing home sales rose 4% in November to an annual rate of 4.42 million homes, but sales figures since 2007 were revised down, the National Association of Realtors said Wednesday.

The median price of existing homes fell 3.5% in November from a year ago, to $164,200.

Sales increased in all four national regions, led by a 9.8% gain in the Northeast.

The group also reported existing home sales for 2010 were revised down by 15% to 4.19 million, from 4.91 million.

Purchases were also revised down by 16% for 2009, 16% for 2008 and 11% for 2007.

View the original article here

November Automobile Sales Increase

Chrysler Group LLC and Nissan Motor Co. led automakers in U.S. November sales gains as the industry headed for its best sales pace this year, Bloomberg reported.

Chrysler’s deliveries rose 45% to 107,172 cars and light trucks, while Nissan’s sales gained 19% to 85,182, Bloomberg said.

Ford Motor Co. deliveries rose 13% to 166,441, and General Motors Co. sales increased 6.9% to 180,402 for the month.

U.S. light-vehicle sales were on track to exceed a 13 million annual rate for a third straight month as Toyota Motor Corp. and Honda Motor Co. inventories recover from Japan’s tsunami in March, which disrupted auto-parts supply and vehicle output, Bloomberg said.

View the original article here

Arrow Truck Sales promotes Gupta to branch manager

TORONTO, Ont. -- Vikas Gupta, top salesman for Arrow Truck Sales in the US and Canada for three years running, has been named branch manager of Arrow's Toronto location.

"Our decision to promote Vikas to branch manager was based on a number of reasons," stated Steve Clough, president of Arrow Truck Sales. "His professionalism and extremely strong work ethic were definite factors. But combine that with his complete dedication to the Canadian trucking industry, and the personal interest he takes in his customers, we believe that there is no one more capable to manage the branch successfully."

Gupta is a member of Arrow's President's Club and has received a Diamond Level award from the company seven times in the past eight years. Most impressively, the company says, about 80% of Gupta's sales come from repeat customers and/or referrals, indicating he cares for his customers after the sale.

"Vikas is a one-of-a-kind person," said Scott Taylor, Arrow's eastern regional manager.  "I've never met anyone more professionally driven than Vikas. He has a strong desire for continuous learning in today's business environment and he is 100% dedicated to helping customers satisfy their transportation equipment needs. He truly is an inspiring person."

Gupta joined Arrow Truck Sales in 2004 as sales rep.

View the original article here

Wakefield Canada names new v.p., sales for commercial division

TORONTO, Ont. -- Wakefield Canada has named Randy Klein its vice-president sales, commercial division.

In his new role, Klein will head Wakefield's commercial division, with a strategic focus on the diesel exhaust fluid (DEF) and commercial lubricants segments.

Wakefield announced in a release that the commercial sector continues to be an important strategic focus area for the company.

Before joining Wakefield, Klein served as vice-president and general manager of The Elexco Group (supplier of land services to the North American energy industry).

View the original article here

Freightliner introduces sales incentives for Business Class M2, 114SD

PORTLAND, Ore. -- Freightliner Trucks has launched its Work Smart Strong Finish Retail Sales program. Available in the fourth quarter, the limited-time offer provides special incentives for new Freightliner Business Class M2 trucks or Freightliner 114SD trucks in dealer or corporate inventory financed or leased with Daimler Truck Financial by Dec. 30.

Canadian customers can select from two options: up to $4,300 for an extended basic chassis warranty plus a $1,500 Freightliner Trucks Customer Support MasterCard prepaid card; or up to $5,800 for an extended basic chassis warranty.

"The 114SD and Business Class M2 line of vehicles are designed to enhance efficiency and revenue," said TJ Reed, director of product marketing for Freightliner Trucks. "Our new incentive programs will only further benefit our customers and their bottom lines."

For more information, visit www.freightlinertrucks.com.

View the original article here

Goodyear's 3Q Income, Sales Reach Record

Goodyear Tire & Rubber Co. said its third-quarter net income and sales rose to records.

The No. 1 North American tire maker earned $161 million, or 60 cents per share, turning around a loss of $20 million, or 8 cents, in the same quarter a year ago.

Sales rose 22% to $6.1 billion, its highest ever for any quarter.  Tire unit volumes totaled 47.7 million, unchanged from a year ago.

North American sales increased 18% to $2.6 billion, also a record.

Goodyear said it expects the global tire industry to continue growing in 2011, although at the low end of ranges previously forecasted in all segments except commercial original equipment.

For the full year of 2011 in North America, Goodyear said it expects the commercial original equipment sector to improve by 50% and commercial replacement to gain 13%.

It expects the consumer replacement market to be flat and consumer original equipment to rise 6%.

Goodyear said raw material costs in the fourth quarter of 2011 will jump by more than 30% from a year ago, bringing the total increase for the full year to 30% over 2010.

View the original article here

Daimler Predicts Higher Truck Sales in 4Q

Bruce Harmon/Trans Pixs

Daimler AG predicted a higher fourth-quarter profit on gains at its trucks and vans divisions, Bloomberg reported Thursday.

The maker of Freightliner and Western Star trucks projected “strong” growth in truck sales, Bloomberg said. Freightliner and Western Star are brands of Daimler Trucks North America.

“The need to catch up in both the European and [North American] markets is the main reason for the strong revival of demand compared with last year,” Daimler said in a statement.

Orders received for 107,200 units in the third quarter remained at a high level, and the order backlog is significantly larger than a year ago.

The truck unit anticipates unit sales in the fourth quarter at a higher level than in the prior-year period, the company said.

View the original article here