In what is largely believed to be an anomaly, used Class 8 same dealer sales volumes jumped 43% m/m in October, following a 5% m/m loss in September, according to the latest release of the State of the Industry: U.S. Classes 3-8 Used Trucks, published by ACT Research.
Longer term, sales were up 7% y/y, but down 17% YTD compared to the first ten months of 2018. The report also indicated used Class 8 average miles increased month-over-month, rose 4%, and were virtually flat year-to-date, while average age inched up 1% compared to September but rose 4% on a year-to-date basis. Average price also shed 13% m/m, while growing 3% ytd.
“Despite the pop in sales reported above, most dealers are reporting lagging used truck sales; at the same time, inventories are continuing to build,” said Steve Tam, Vice President at ACT Research. “The two forces are conspiring to drive prices down and creating a buyer’s market.”
Tam concluded, “Prices have reached a point that is attractive enough to some buyers who are looking to upgrade their fleets to make a purchase decision, while fleets who have been holding onto trucks that they no longer need are making these trades available for purchase, as freight softens.”
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 and Freightliner (Daimler); Kenworth and Peterbilt (Paccar); International (Navistar); and Volvo and Mack (Volvo).
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