How to keep competitive in an evolving trailer market

In recent years, trailer manufacturers have faced a variety of challenges, from market slowdowns in certain regions to supply chain disruptions leading to a scarcity of raw materials and parts needed for manufacturing.

At the same time, new technologies are creating exciting opportunities for development, transforming the transportation industry. So, how can asset finance play a part in supporting manufacturers during this evolution?

“An attractive finance solution can be key to helping trailer manufacturers remain competitive and navigate the complexities of the market. Partnering with an experienced finance provider can not only enhance reputation and improve the customer experience, but also help keep production and sales consistent, even through uncertain times.” – Stephen Denlow, National Sales Lead Transport.

The Role of Finance in Supporting Growth

As a global financial solutions expert, DLL combines decades of expertise in the trailer market to offer tailored financing options, support for implementing new technologies, and strategies for maintaining stability and growth.

“Ensuring financial certainty is critical for trailer manufacturers, especially when they commence production and need assurance that invoices will be paid promptly. Having the correct funding partners in place not only provides this stability but also supports consistent cash flow, allowing businesses to focus on production and growth. At DLL, we specialise in partnering with businesses to deliver tailored finance solutions that meet these needs, helping manufacturers maintain their advantage in a dynamic market,” Stephen Denlow says.

In recent years, the Australian motor vehicle body and trailer manufacturing industry has navigated both challenges and opportunities. Following the collapse of local car manufacturing in 2017, recreational vehicle (RV) production filled the gap, with demand surging during the pandemic as domestic travel boomed.

As of 2024-25, the industry was projected to reach $6.1 billion in revenue, reflecting an annualised growth rate of 0.6% over the past five years. However, this growth followed a 2.4% decline in 2023-24, attributed to inflation and cost-of-living pressures. Whether these projections have been fully realised remains to be seen.

DLL National Sales Lead Transport Stephen Denlow. Image: Supplied – DLL

Employing around 16,051 people across 1,484 businesses, the industry remains fragmented, with most operations small in scale.

Melbourne continues as a key manufacturing hub, although challenges such as labour shortages, stretched supply chains, and fluctuating demand persist. Rising inflation and eased travel restrictions have softened new RV demand, presenting ongoing hurdles.

The implementation of new technology is highly likely to increase costs for manufacturers, dealers, and buyers. And in some cases, there will be no choice but to change. For instance, emissions restrictions will make electrical vehicles compulsory in certain areas, driving fast widespread adoption. Manufacturers and dealers will need to keep up, as grants and incentives support businesses to adapt their fleets. Prohibitive upfront costs that would negatively impact cashflow may drive demand for leasing in what is traditionally a purchase-driven sector. Monthly payments will be a more achievable way to invest. Where the market and vehicles are changing fast, leasing will also be a more attractive option for those keen to keep up with the latest developments.

Digital Transformation in the Transport Industry

Achieving a low total cost of ownership (TCO) on expensive new technologies will be a key challenge for the semi-trailer market. Engines will require less upkeep and there will be no need to stop for and purchase diesel, so savings are possible. As trucking companies begin to implement new technology to improve freight management, digital logistics will become vital in the commercial vehicle industry.

“DLL remains committed to innovating and delivering diverse financial solutions to address the ever-changing demands of the market and our customers

The trailer market is also seeing a growing adoption of digital technologies, such as telematics, tracking, and diagnostic systems. The push toward digitalisation is reshaping logistics operations, making asset finance a key player in enabling businesses to invest in cutting-edge solutions.

“DLL continues to create innovative finance products to meet evolving market needs”, says Denlow. “We are investing in digital platforms and enhancements to improve the OEM, Dealer and end user customer experience.”

Flexible Financing for a Changing Market

Partnering with DLL means access to industry knowledge, tailored finance solutions, and the tools to help businesses thrive—even in challenging environments. With flexible options designed to meet the needs of a dynamic market, DLL supports trailer manufacturers in achieving their goals while adapting to the industry’s future developments. Want to reach out or learn more about DLL? Click here.

Disclaimer: Finance is provided by De Lage Landen Pty Limited (ABN 20 101 692 040) (DLL). Equipment to be used for business purposes only. Subject to DLL’s standard credit criteria, fees and terms and conditions apply.