Truck Model Roundup Class 6-7:
Demand for heavier midrange trucks remains flat, but an awakening economy suggests it's time to buy.
Tom Berg
Equipment Editor
Sometimes less is necessary. The recession has reined in spending and rendered waste from many corporations. Tight money has weeded out several slow-selling truck models, leaving room for more successful and useful vehicles. There remains a truck or tractor for every purpose, if not every purse.
The long-flat economy shows signs of awakening, though. And if consumers — perhaps led by returning veterans of the war in Iraq — go on a spending spree, the stuff they buy will have to be hauled and delivered by more trucks. Leasing and rental companies report more activity, and say they plan healthier truck purchases this year. Is prosperity just down the pike?
Meanwhile, truck builders report increasing sophistication among buyers, who are looking less at price and more at long-term service and durability. This is said to be responsible for strong growth among makers of premium midrange trucks. Some Class 6 and 7 manufacturers also identified several sales trends:
• More automatic and automated transmissions. Overall percentages range from 30 to 100, depending on application, as operators realize productivity and maintenance benefits to be had with easy-to-drive trucks. The trend has accelerated steadily since the early '90s. Allison automatics still account for the bulk of midrange sales, but Eaton automated mechanical products are being eyed and tried by leasing and beverage fleets.
• More air brake systems. Even Class 6 operators are spec'ing air brakes, which cost about $1,500 per truck more to buy, but are more rugged and cost less to maintain. Shoes, drums and other parts last longer in the first place. And because they are common industry items, prices are far less than the often-proprietary parts found in hydraulic-brake systems.
• More comfort and convenience items. Giving drivers a nice place to work helps recruit good people. That's one reason for automatic transmissions, and it also explains why many imports now are standard with power windows and locks, and attractive interiors. Domestic makers see more demand for safety enhancements, like powered and heated mirrors.
Whether plain-vanilla, fancy or somewhere in between, trucks are selling, though at low levels. But there are now more hopeful signs. Interest rates remain low, the war in Iraq is over (except for the messy business of occupation), so returning troops and everybody else can get on with their lives. Investors see the stability they want, so the stock market is on a rebound.
Truck sales and marketing people say it all adds up to more than "interest" — a euphemism for calls and visits from customers who probably won't be — which is what they all got a lot of since the recession began in 2000. However, builders report that more customers are now requesting quotes, which is not far from actual sales.
Maybe you're among those almost-customers. If your business is shaping up, now would be a good time to purchase some trucks, because a sudden recovery — if that's what happens — could turn the current buyer's market into one for the sellers.
What they've got to sell in Class 6 and 7 vehicles are thoroughly modern, feature-laden vehicles. Four of the big domestic builders of conventional-cab trucks have completely revamped their products in the last three years, while others continue to refine and add options. Domestic low-cab-forward trucks have gotten key betterments, while imported LCFs are standing pat following several years of upgrades to components and cabs.
Conventionals continue to constitute 80 to 90% of medium-duty sales here, depending on locale, and that's where domestic builders are putting their money. Aside from expansion of models in the various midrange weight classes, four builders now offer extended cabs and four-door crew cabs, and several can build you a 4x4 or 6x6, either right in the factory or at a nearby modification center.
Quality of cabs, chassis and components continues to improve as manufacturers refine their assembly lines, motivate their workers and, in general, better the craft of truck building. Trucks contain more electronic circuitry, which make them run better, but are a devil to deal with for the technologically ignorant or inept.
Costs of meeting the October 2002 exhaust emissions regulations have been borne so far by domestic diesel builders — those who suffered the wrath of the Environmental Protection Agency for alleged cheating in the '90s. Customers — who pay more for trucks with the new engines — are the ones actually penalized. This includes buyers of midrange trucks powered by Caterpillar, Cummins and International diesels.
Come January 2004, all diesels will have to meet the same limits, so more trucks will go up in price. These include General Motors, Isuzu and the imports — all those diesel builders not penalized by the EPA in its consent decrees. Most engine makers not already using exhaust-gas recirculation say they will. Cat, of course, is neither using EGR for its Clean Power diesels nor its ACERTed C7 and C9 midrange diesels, or any of its larger products.
New truck products include Ford's Blue Diamond F650 and F750, now built by International on a special line in Escobedo, Mexico; two more versions of Freightliner's Business Class M2; expansion of General Motors' C-series conventionals and improvements to the heavier GM-Isuzu tilt-cab models; and another version of International's popular 4000 series trucks and tractors.
Kenworth and Peterbilt both report healthy increases in sales last year with their premium Class 6 and 7 models. KW's T300 was up 35%, while Pete's model 330 sold 27% better, even though industry sales were off in the same period. KW and Pete meanwhile have quietly dropped their European-designed K300 and model 270 LCFs, due to lack of sales.
Another cabover casualty was Mack's Renault-built Freedom, introduced in late '01 but dropped this past April. That leaves both Mack and its Volvo sister without a midrange product, and with no plans to develop one.
Hino Diesel Trucks (USA) is converting to conventionals. It is planning an October launch of new Class 4 through 7 conventional-cab models with Hino diesels and North American driveline components. And it plans to significantly expand its dealer network.
Prototypes of the Hino conventionals are already running in the U.S. Dealers have seen them and offered suggestions on how to improve them for service here. Production in Japan is set for December or January. In about a year, the new conventionals will be built at a Toyota plant in Long Beach, Calif. The conventionals will replace Hino's current low-cabovers, which will no longer be imported. Ironically, Hino says its LCO wholesale sales in May were the best since beginning business here.
Ford
Mexico-built "Blue Diamond" F650 and F750 trucks and tractors use Ford's two- and four-door SuperDuty steel cabs on International Class 6 and 7 chassis. Buyers thus get versatile, feature-rich but lower-cost cabs on premium chassis, Ford notes. Diesel powertrains include the International-built Power Stroke V-8, Cummins ISB and Cat 3126E/C7; International's I-6 diesels (probably with a Ford name) might be offered later. Non-compete agreement with Freightliner (which bought Ford's HN80 heavies in '97) precludes Class 8 models until '07, but dealers can install lift axles — and have.
Freightliner Trucks Business Class M2 112
Expansion of the Business Class M2 includes shorter- and longer-nose versions of the original brought out a year ago February. A 100-inch-BBC M2 with Mercedes-only power will serve Class 5 and 6 buyers, while a 112-inch-BBC model with Caterpillar and Mercedes diesels will be primarily a Class 7 and 8 vocational truck and short-haul tractor. All share aluminum cabs in two-door regular and extended lengths, plus a four-door crew cab. The M2s will replace the original Business Class models by year's end.
General Motors - Isuzu
A four-door Crew Cab with purpose-built rear doors is the latest in the two-year-old C (for conventional) series, whose cab is otherwise based on the light-duty Savana/Express van. Crew Cab is available on 6500, 7500 and 8500 models, as well as lighter 4500 and 5500. Cat 3126E/C7 and Duramax 7800 diesels, and Vortec 8100 gasoline V-8 comprise the power picks. The big 496-cubic-inch Vortec is the only gasoline engine now available in Class 6, 7 and 8 trucks, saving money up front and allowing a low-cost entry to alternative fuel use.
GM and its partner, American Isuzu Motors, have redesigned their domestically assembled low-cab-forward models with new frames and Duramax 7800 power. Chevy/GMC versions have Eaton-Fuller manual or Allison automatics, while Isuzus have Isuzu transmissions. All have more wheelbase choices, and the Isuzu-made cab has wider steps that allow driver and passenger to climb straight up and down. Chevy/GMC T6500, 7500 and 8500 series and Isuzu F series dominate the Class 6 and 7 LCO market.
Hino Diesel Trucks (USA)
Low-cab-forward FD, FE and SG models are among the highest-rated imports available, but Hino will drop them from the American market as it phases in its new conventionals late this year. They'll first be built in Japan, then in California, and use more domestic components than the LCOs now have.
Hyundai Truck America
The Korean maker's newly formed U.S. commercial-truck arm carries on in the short-lived tradition of Bering Trucks, which imported feature-rich Hyundai-made models until it folded last year. Hyundai Class 4 and 6 models are standard with DuPont Imron 5000 paint, power windows and locks and deluxe upholstery and interior trim. Class 6 HMD230 and 260 have Cummins ISB diesels and ZF 6-speed manual transmission. Aggressive pricing follows the pattern of Hyundai's increasingly successful auto operations.
International Truck
A new 4400 Mid Cab 4x2 city and beverage tractor enters production this month. The Mid Cab sits 4 inches higher than on other 4400s to accommodate air-bag mounts. Powertrain choices range from a 215-hp DT466 HT to a 300-hp DT530, with Eaton-Fuller 6-speed manual and Allison automatic transmissions, and a variety of axles and wheelbases. An extended-cab version can be set up with a sleeper bunk. The 4400 Mid Cab is the latest variant of the "high performance" 4000 series, which International says has boosted its Class 6 and 7 market share by 1.5 points since its introduction in 2000.
Kenworth Truck
T300 Class 6 trucks with hydraulic brakes, along with continuing emphasis on premium features, helped boost KW's '02 midrange sales by more than a third. High-capacity Bosch hydraulic brakes and Dana Spicer axles are now optional on Class 7 models. An air accessory package for hydraulically braked trucks allows use of air-ride seats and air suspensions. A Bentz-built four-door crew cab using KW doors and other parts is available on all T300s. Kenworth has begun installing Cat's C7 ACERT diesel, replacing the 3126E. The Euro-style model K300 low-cabover is no longer offered.
Mitsubishi Fuso
Class 6 and 7 FK and FM series trucks have experienced sales slumps as key market segments in the Northeast, Southeast and Northwest have softened, the importer reports. An unusual Class 6 FM-MR mini-mixer, complete with drum and all accessories, has gained a few sales, but Mitsubishi Fuso Truck of America's success is more notable in lighter models, which include a cabover 4x4.
Nissan Diesel USA
The Class 6 UD 2600 is the importer's main entry in this market, though it also has UD2300 and 3300 models. All claim low life-cycle costs with high-quality cab, chassis and mechanical components. "The smarter the maintenance operation and the better the customer is at keeping records on his vehicles, the more chance we have of doing business with him," a company executive says, echoing statements from other premium builders.
Peterbilt Motors
Model 330 conventional sales were up by more than a fourth in '02, as buyers see the financial logic in buying a long-lasting premium truck, Peterbilt says. A two-door extended cab is new, and a four-door crew cab continues on the options list. Clean frame rails allow easy body mounting; Heil dump bodies can be ordered through Pete dealers; and aluminum wheels are among new options. The Euro-style model 270 low-cabover has been dropped.
Sterling
The "enhanced" Acterra models include stronger frames, suspensions and other components. A new four-door crew cab is essentially a melding of two regular cabs, using the same doors and sills plus longer floors and roof panels. The crew cab is available on commercial models and a consumer-oriented Sport Chassis. An all-wheel-drive conversion is available on many single- and tandem-rear-axle trucks. Sterling's Class 5 through 8 vehicles are simply called Acterras, but the 5500 through 8500 nomenclatures are still used internally.
Unimog
The unique Unimog 500, a Class 7 utility "implement carrier" made by Mercedes-Benz in Germany, entered the U.S. market early this year. This really serious 4x4 has an MBE900 diesel, an 8-speed semiautomatic transmission, two or three low-low gear ranges, fully locking differentials, left- or convertible right-hand steering, and mechanical PTO and hydraulic hook-ups to power a host of tools and equipment available through aftermarket sources. Basic price exceeds $110,000, but the tilt-cab Unimog can replace several other trucks in a prospective buyer's fleet.
