ACT: April Used Truck Metrics Down 15% M/M, Up 8% YTD
MAY 27, 2020 - 6:35 am
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 same dealer sales volumes dropped 15% month-over-month in April, with longer-term sales dropping 7% year-over-year compared to April 2019, but holding onto an 8% year-to-date gain.
The report also indicated that used Class 8 average price and miles fell from March’s levels, down 4% and 2%, respectively, with average age 2% higher than the previous month. Longer term, average price, miles and age all contracted year-over-year, as well as year-to-date, down respectively from the first four months of 2019 by 17%, 1%, and 5%.
“Most dealers are reporting used truck sales have slowed and inventory levels are building, particularly for late model aerodynamic sleepers,” said Steve Tam, vice president at ACT Research. “Despite slowing sales, dealers are still selling trucks and doing okay, with sales of used vocational trucks strong.”
Tam added, “The problem dealers have is finding used dump or trash trucks that are ‘on the money’ and in decent condition. Another challenge with these trucks is differing state weight laws, meaning a dump truck that works well in one state may not work in another state.”
The State of the Industry: U.S. Classes 3-8 Used Trucks 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.
Additionally, ACT Research has created an easily accessible COVID-19 MARKET WATCH webpage to track noteworthy high frequency macroeconomic and transportation-specific market indicators.
In the wake of COVID-19, everyone’s best laid plans were tossed into the fire. Survival mode kicked in, and the industry discovered quickly that becoming nimble was among the most crucial attributes for success. “Nimble” does not describe the state... read more
Equipment leasing and financing companies play a vital role in the U.S. economy by providing businesses of all sizes with much-needed financing options for acquisitions of equipment used in their business operations. As the COVID-19 pandemic has effectively shut down... read more