COLUMBUS, Ind. – According to the latest release of the State of the Industry: U.S. Classes 3-8 Used Trucks, published by ACT Research, used Class 8 retail volumes (same dealer sales) were 16% higher month-over-month.
Longer term, volumes were down 17% y/y. Average prices were 7% higher compared to January, and 83% more expensive than in February of 2021. Average miles and age were flat sequentially, with miles up 3% y/y and age 5% higher than last February.
The report from ACT provides data on the average selling price, miles, and age based on a sample of industry data. In addition, the report provides the average selling price for top-selling Class 8 models for each of the major truck OEMs – Freightliner (Daimler); Kenworth and Peterbilt (Paccar); International (Navistar); and Volvo and Mack (Volvo).
This report is utilized by those throughout the industry, including commercial vehicle dealers, to gain a better understanding of the used truck market, especially as it relates to changes in near-term performance.
“Used Class 8 same dealer retail sales volumes got an expected breath of life in February, jumping 16% sequentially,” Steve Tam, vice president at ACT Research, said. “Typical seasonality called for a 13% increase, so elevated new truck activity seems to have provided a little traction in the secondary market, but in all likelihood, the bump is not sustainable.”
Tam added, “New truck sales appear to have lagged the spike in December production and the accompanying echo in January. That could translate to another month or two of better-than-expected used truck sales.”
Tam said that freight growth, combined with the continued flow of new entrants into trucking, has effectively defined the start of falling freight rates.
“Through mid-March, rising fuel prices have masked a rapid month-over-month decline in spot freight rates,” Tams said. “We contend that this signals an impending slowdown in demand for used trucks, with prices to follow accordingly, and some dealers already reporting prices softening around the edges.”
The Trucker News Staff produces engaging content for not only TheTrucker.com, but also The Trucker Newspaper, which has been serving the trucking industry for more than 30 years. With a focus on drivers, the Trucker News Staff aims to provide relevant, objective content pertaining to the trucking segment of the transportation industry. The Trucker News Staff is based in Little Rock, Arkansas.
