June 13, 2011

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Class 8 Truck Orders Soar / OEMs Say Parts Shortages Could Hinder Output

Transport Topics
Orders for new Class 8 trucks in North America jumped 85% in May compared with a year ago, and manufacturers said component shortages — particularly axles and tires — were affecting output.

Two research firms that follow truck production reported that Class 8 orders this year have gained more than 165% from 2010 levels. And they reported that results for May were strong, but they trailed April, when a five-year high was recorded.

Daimler to Sharply Boost North American Truck Production, Hire 1,400 Workers

Transport Topics Magazine
Daimler Trucks North America said Thursday it plans to sharply increase production and hire about 1,400 new workers at three truck plants, to meet higher demand.

Daimler, which makes Freightliner and Western Star brand trucks in North America, said it will increase production at its Mt. Holly, N.C. and Portland, Ore., truck manufacturing plants in the last half of 2011.

East Coast Ports Get $3.3 Mil from EPA for Clean Truck Grant Programs

Transport Topics Magazine
The clean-truck programs that began at West Coast ports are moving to the East Coast, as evidenced by grant awards this month to drayage truckers in the mid-Atlantic region who want to buy newer models.

The mid-Atlantic program, which includes Virginia, Maryland, Pennsylvania and Delaware, is backed by $3.3 million from the U.S. Environmental Protection Agency, said Joanne Throwe, director of a University of Maryland program that’s managing the award process. She told Transport Topics that the first awards of $15,000 each will be given to truckers this month to use as down payments.

MEMA’s State Legislative Outreach Effort: The Importance of Suppliers to the Economy

In testimony and with an exhibition of advanced vehicle technologies attended by more than 100 lawmakers and guests in Lansing on June 8, the Motor & Equipment Manufacturers Association (MEMA) and its affiliate associations detailed for Michigan lawmakers the importance of motor vehicle parts manufacturing to the state’s economy.

Both Bob McKenna, president and CEO of MEMA, and Neil DeKoker, president and CEO of the Original Equipment Suppliers Association (OESA), testified on June 8 before the Michigan House Commerce Committee on the industry’s presence in the state and the need to foster a business climate for suppliers to continue expand production, invest in research and development, and create jobs.

Inland Truck Parts Creates Pro-Guardian Breakdown Prevention Program

Truck Parts and Service Magazine
Inland Truck Parts has released a new 57-point inspection service plan called the Pro-Guardian Breakdown Prevention plan.

The company says the program is designed to find problems before they cause breakdowns, and is being used at 20 Inland locations throughout the U.S.

Navistar’s 2Q Income Improves; Truck Sales Rise

Transport Topics Magazine
Navistar International Corp. said Tuesday its fiscal second-quarter profit rose from a year ago as its truck segment’s sales improved. The company earned $74 million, or 93 cents a share, up from $43 million, or 60 cents, a year ago. Revenue for the quarter ended April 30 rose to $3.4 billion, from $2.7 billion, Navistar said in a statement.

Truck segment sales improved to $92 million, from $76 million a year ago. Engine sales fell to $2 million from $15 million, while parts sales rose to $74 million from $58 million.

FTR: Expect a Truck Freight Downturn to Start in 2014

Fleet Owner.com
Over the next few years, motor carriers should gain significant increases in freight rates as the current capacity crunch is expected to last for at least another two years, according to the most recent outlook compiled by research firm FTR Associates.

However, fleets may need to keep money earned from higher rates close at hand as FTR’s analysts think there’s a 60% chance or better that another freight downturn will occur in the 2014-2015 timeframe. However, that one is not expected to be as severe as the drop carriers suffered in the “Great Recession.”

Trucking Outlook Set for August '11 Commercial Vehicle Outlook Conference - Registration Open

E-trucker.com
Trucking analysts Noel Perry of FTR Associates and Peter Nesvold of Jefferies & Co. will deliver their insights and projections about the trucking industry during the Commercial Vehicle Outlook Conference Aug. 24-25 in Dallas.

They will discuss equipment sales, capacity, fuel prices, employment and freight trends at the conference which unfolds on the eve of the Great American Trucking Show Aug. 25-27 at the Dallas Convention Center.

FMCSA Field Supervisor Pleads Guilty to Accepting Bribes from Canadian Firm

Transport Topics Magazine
A Buffalo, N.Y.-based Federal Motor Carrier Safety Administration field office supervisor has pleaded guilty to accepting more than $41,000 in bribes to provide “inside information” and to ensure that some Canadian motor carriers received satisfactory safety ratings on FMCSA audits and inspections, according to court documents.

According to a plea agreement, the supervisor, James Wood, 44, admitted to accepting the cash bribes from 2008 to 2011 from a Canadian safety consultant who worked for several Canadian trucking companies, which FMCSA declined to name.

Wayne Keller - Final Arrangemets

It is with deep sorrow that we share with you the news about the passing of Wayne Keller, former partner/owner of Keller Truck Parts.

KELLER , Wayne E. On June 11, 2011, WAYNE EDWARD KELLER, beloved husband of Mary Elizabeth Keller (nee Goonan); devoted father of Dwayne M. Keller and wife Cara, Kevin C. Keller and wife Lauren, and Brian E. Keller and wife Polly; dear brother of Charles, Richard and Donald Keller and the late Vernon Keller; loving grandfather of Zachary, Matthew, Jordan, Haley, Madison, Alyssa, Chloe, Hannah Lee, Sarie and Brendan.

Ford to Appeal $2 bn Award to Commercial Ford to Truck Dealers

Bloomberg News
The total $2 billion award is five times higher than the largest-ever jury award against Ford in a lawsuit, according to data compiled by Bloomberg News. Ford Motor Co. (F) said it will appeal a $2 billion judgment awarded by an Ohio judge to a class of commercial truck dealers who claimed the company overcharged them for 11 years.

The dealers sued Ford in 2002, claiming the company broke an agreement to sell trucks at published prices, which forced them to pay more from 1987 through 1998 and cut into profits. Cuyahoga County Judge Peter J. Corrigan on June 10 upheld a $4.5 million verdict awarded to one Ohio dealer in February by a Cleveland jury. He also said Ford had to pay similar damages and interest to a class of about 3,000 other dealers.

Port of L.A. Asking Six Carriers to Return $1.5 mil Clean Truck Grant Funds over Violations of Agreements

Transport Topics Magazine
After nine months of wrangling over drayage truck data, Port of Los Angeles officials said they plan to soon ask six carriers who received subsidies for purchasing new cleaner-running trucks to refund a total of more than $1.5 million for trucks that did not make enough trips to the port last year.

Officials said a revised final analysis, released to Transport Topics last week, showed that just under 400 of the more than 2,000 new, cleaner-burning tractors the carriers bought using port funds failed to meet the required 150 container pickup trips for the year ending June 30, 2010.

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