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North America Class 8 sales hit by semiconductor shortage, supply chain glitches

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Bharat Forge and Ramkrishna Forgings are under pressure as North America Class 8 orders dip.

The North America classic trucks numbers are disappointing as the volume has declined by 12 percent year-on-year while it is down 28.50 percent on a month-on-month basis.
The weakness comes against the backdrop of semiconductor shortage as well as supply chain issues. The September volume at 28,100 is significantly lower than the numbers in January February, and March, which were above 40,000 units by way of sales.
ACT Research says the September class 8 volumes could be construed as disappointing relative to the economic setup. Typically, the month of September is when volumes pick up in anticipation or because companies are filling in their pipeline ahead of the next calendar year. However, this time, it is not demand but supply that is dictating the new order activity.
Original equipment manufacturers (OEMs) are judicious in fully opening the 2022 order books when there is no clear visibility of supply chain capacity next year.
The stocks that get impacted because of this are Bharat Forge and Ramkrishna Forgings.
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