Commercial registrations and activity

Fieldays fail to lift commercial registrations

8 Jul 2019

Our take on the latest Commercial registrations and activity (Mon 8 Jul 2019)

New light commercials up 0.4%pa
New medium commercials down 19%pa
New very heavy commercials down 21%pa

The key numbers...

  • June is usually a strong month for new commercial vehicle registrations on the back of sales at Fieldays, but that strength has not shown through this year.
  • Lest we forget, the annual running totals of new light, medium, and very heavy commercial vehicle registrations are at (or close to) historical highs.
  • Given the high levels of commercial vehicle registrations - and considering that the broader economic signals are currently mixed - volatility in monthly figures is to be expected.
  • Continued cost pressures and the weakening global economy are undermining confidence among businesses about their own activity, export prospects, and the overall economy. Lower business investment intentions continue to pose a threat to commercial vehicle registrations.

New commercial vehicle registrations

Year end % change
3283

...and our reaction

  • Both new medium and new very heavy commercial vehicle registrations saw strong results for May 2019 reverse back out in June. 
  • The fall in new medium commercial vehicle registrations in June from a year earlier is the first annual decline since the end of last year. 
  • The fall in new very heavy commercial vehicle registrations in June continues the volatility in this series in the past six months, but our read of the underlying trend is that growth has been softening since early 2018.
  • On a quarterly basis, new light commercial vehicle registrations rose 0.4%pa in the June 2019 quarter compared with a year earlier. New medium commercials rose 8.9%pa, while new very heavy commercials fell 7.1%pa.