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ATD Insider | A service of the American Truck Dealers and the Public Affairs Group of the National Automobile Dealers Association
February 8, 2017
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ATD Chairman: A Convention for the History Books
By Steve Parker, February 2017


It was a NADA and ATD convention for the history books—just a few weeks ago, NADA turned a century old and the truck industry came together in a colorful and commemorative mass in the historic city of New Orleans. I will do my best to paint you a picture if you did not have the chance to attend.

More than 23,000 combined attendees joined us for the 100th anniversary celebration, including thousands of dealers from across the globe. I had the privilege of addressing our ATD members and guests. In my keynote speech, I emphasized that we are in a time of new births—heralded by my own newborn grandson coming into this world early last year. Truck dealers will be called upon to adapt to many challenges: there is a new president in the Oval Office along with his administration; we are entering a new age of business, technology and consumer demands; and our products and technologies are evolving faster than ever. I assured our members that ATD will continue its mission of outreach to prevent government overreach, and it stands with NADA to protect and advocate for all the dealers we serve.

ATD held several successful events at the convention, including the Industry Roundtable discussion on new Phase 2 commercial truck greenhouse gas and fuel efficiency rules. I want to thank all our panelists from Paccar, Volvo, Daimler, Navistar and Cummins engines. And speaking of manufacturers, truck dealers attended more than 20 franchise meetings with their respective OEMs. I’ve heard positive feedback that discussions this year were more productive than ever.

I want to thank the exhibitors who were present throughout the expo floor, and who provided our members with the opportunity to shop for the latest and greatest products on the market. The same can be said about our combined workshops with 68 topics and 182 sessions, which were led by the most knowledgeable experts in the industry. I welcome all of you to download the educational materials via the convention app or NADA Online. 

Finally, on behalf of ATD, I would like to salute our leadership both past and present. On the last day of the ATD convention, Immediate Past Chairman Eric Jorgensen stepped down from the ATD board. Eric was a consummate leader at ATD and for our industry. He started on the board as the Peterbilt line representative in 2011, and I’ve had the honor of learning from him during my time as vice chairman. We will never forget all that he has done for our organization. I would also like to welcome Jodie Teuton, our hometown hero from New Orleans, as our 2017 ATD vice chairwoman. I am eager to work with her and tackle the challenges ahead.

My final thoughts leaving New Orleans was that ATD is stronger than ever. I saw the men and women of this great industry look forward with optimism and a renewed energy for the upcoming year. As your chairman, I am ready to stand by you and defend you … serve you and advocate for you … and to help make this year the brightest it can be.

Parker is chairman of ATD, a division of NADA in Tysons, Va., which represents 1,800 heavy- and medium-duty truck dealerships. He is president of Baltimore Potomac Truck Centers in Linthicum, Md., which operates five full-service commercial truck dealership locations with Mack, Volvo and Hino Trucks franchises in Maryland and Virginia.

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ATD Hosts Industry Roundtable on New Federal GHG/Fuel Efficiency Rule

NEW ORLEANS -- Experts from North American truck manufacturers – Daimler, Navistar, Paccar and Volvo – along with engine maker Cummins, recently shared their views at the 2017 American Truck Dealers (ATD) Convention and Expo on how new Phase 2 commercial truck greenhouse gas and fuel efficiency mandates will impact the commercial-truck industry.

The ATD Industry Roundtable was moderated by Doug Greenhaus, chief regulatory counsel for the National Automobile Dealers Association (NADA) and ATD. The two-hour session, which was held on January 26, also included a discussion on the potential impact of new NOx standards on the industry.

“The new targets represent a real challenge for our industry, and we are focused on meeting these very ambitious goals in a way that minimizes the impact on our customers, and delivers real value for them and for society,” said Rick Anderson, product planning manager for Volvo Trucks. “It remains to be seen how the dynamic between various regulatory agencies will play out, given the new administration in Washington.”

Dan Kieffer, director of emissions compliance for Paccar, called the GHG Phase 2 regulation “an involved and complex regulation,” adding that it will take time for the industry to understand all the details of the regulatory changes. “Once these are understood, the OEMs will begin the task of developing compliance plans that can provide the best benefit to the customers who buy the vehicles and to the environment,” he said.

In August 2016, the U.S. Environmental Protection Agency and U.S. Department of Transportation’s National Highway Traffic Safety Administration jointly finalized standards for medium- and heavy-duty vehicles with the goal to improve fuel efficiency and cut carbon emissions.

Concerning the impact of new NOx standards, Volvo’s Anderson said that developing a NOx strategy in “the wake of a very aggressive GHG regulation is an extremely complex matter.”

“The Volvo Group believes all stakeholders would need to take the time necessary to strike the right policy and technical balance if we take this on,” Anderson said. “For example, we’d need to ensure that certification cycles reflect real world operation.”

On the same topic, Paccar’s Kieffer said the industry is engaged with both regulatory agencies on the tasks of defining the need for future NOx reductions. “The industry will work with the agencies to develop a robust and effective regulatory structure that can provide the emissions reduction that are found to be necessary,” he added.

Brian Mormino, executive director of environmental strategy and compliance at Cummins, said “[it] has the technology to meet and exceed the Phase 2 engine requirements and provide better reliability and durability to optimally integrate with OEM partners to help our mutual customers be successful.”

Mormino added that as the industry moves forward “it is important to maintain a consistent approach to ensure any future potential NOx reductions are considered in line with the Phase 2 requirements and considered on a national basis instead of state specific requirements.”

Following the well-attended roundtable, Greenhaus said he was pleased with the interactive discussion on this topic of critical interest to the industry and by the many questions asked by the dealers and other audience members’ in attendance.
Source: ATD Public Affairs

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Truck Orders Hit 13-Month High in January

With the preliminary numbers rolling in from ACT Research and FTR, it is looking like January was a banner month for both heavy- and medium-duty truck orders. The early numbers on Class 5-8 truck orders for January hit a 13-month high of 45,300 units total, a 27% improvement from the same month in 2016, according to ACT Research. Class 8 truck orders are projected to reach a 14-month high, with 22,200 units for the month. FTR expects the strong fourth quarter truck order increase to help boost first quarter build rates.
Source: Heavy Duty Trucking


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Fleet Optimism Continues to Grow, CCJ Survey Shows

[Nearly 60] percent of the December 2016 CCJ MarketPulse survey respondents believe business conditions will be better over the next six months, up considerably compared to the 41.3 percent of respondents who expected business conditions to improve in the October 2016 survey before the presidential elections. On a month-over-month basis, respondents from fleets with more than 100 power units are far more optimistic, with 61 percent saying business will be better, compared to only 44.6 percent in the November 2016 survey.
Source: Commercial Carrier Journal


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OEMs Eke Out 2016 Profits; European Sales Strongest

Three of the world’s largest heavy-duty truck makers remained profitable in an anemic 2016, with fourth-quarter results revealing that European sales outpaced the North American market. Original equipment manufacturer Volvo AB reported a fourth quarter of improving revenue and net income, compared with dips for both measurements on an annual basis. Europe and Asia were the truck markets that provided the Gothenburg, Sweden-based OEM the most growth as North American activity continued to decline “but with some signs of stabilization.”
Source: Transport Topics


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States, Environmentalists Seek to Intervene in Federal Phase 2 Greenhouse-Gas Appeal

Eight states, including California, and five environmental advocacy groups have asked a U.S. appellate court for permission to intervene in a civil case between the Truck Trailer Manufacturers Association and two federal agencies concerning the final Phase 2 greenhouse-gas rule — just one month after TTMA filed its petition for review. In separate motions Jan. 23, the two coalitions told the U.S. Court of Appeals for the D.C. Circuit that they want to join the case in support of the regulation written by the Environmental Protection Agency and the National Highway Traffic Safety Administration. TTMA said in its Dec. 22 petition that it wants the circuit court to vacate Section IV of the Phase 2 rule, which would regulate the manufacturing of trailers starting in 2018.
Source: Transport Topics


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Republicans Will Try a Little-Used Tactic to Kill Five Obama Regulations This Week

On [Feb. 1], Republicans in Congress ... started dismantling President Barack Obama’s environmental legacy — deploying a rarely used tactic to overturn two big federal regulations around coal mining and methane leaks (as well as three other rules). The background here is that it would be tricky and time-consuming for the Trump administration to repeal many Obama-era regulations all by itself. But Congress can easily wipe out a subset of Obama’s agency rules using the 1996 Congressional Review Act, which allows the House and Senate to nullify any recently finalized federal regulation by a simple majority vote in both chambers — so long as the president agrees. What counts as “recently finalized” here gets complicated, but Congress can basically use the CRA to repeal any rule finished by Obama after mid-June 2016 — a list that spans more than 50 major regulations. [T]he GOP will focus on killing two big environmental rules plus three others ... The five rules targeted ... may just be the beginning. Republicans could conceivably use the CRA to strike down a flurry of other final-year Obama regulations in the weeks ahead (these fuel-economy standards for trucks might be one target) ...
Source: Vox


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Top Stories
ATD Chairman: A Convention for the History Books
ATD Hosts Industry Roundtable on New Federal GHG/Fuel Efficiency Rule
Truck Orders Hit 13-Month High in January
Fleet Optimism Continues to Grow, CCJ Survey Shows
OEMs Eke Out 2016 Profits; European Sales Strongest
States, Environmentalists Seek to Intervene in Federal Phase 2 Greenhouse-Gas Appeal
Republicans Will Try a Little-Used Tactic to Kill Five Obama Regulations This Week


 

 



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