The number of used semi-trucks for sale saw an unexpected and uncharacteristic jump in May. Scott Achelpohl reports for Fleet Owner, writing:
Freight transportation is experiencing a widely recognized slowdown and truck and trailer costs to operate are higher, maintenance and repair is only costing fleets more, and even tires are much more expensive. Yet Class 8 used sales were unexpectedly up for May, even as the equipment is markedly older with higher mileage, challenging some observers of the equipment market to make sense of it all.
According to the new State of the Industry: U.S. Classes 3-8 Used Trucks report from ACT Research, used Class 8 retail volumes (same dealer sales) rose 12% in May over April, perplexing ACT VP Steve Tam, who in a summary of the report said: “Sales usually slow 4% to 5% in May, so the increase was not only uncharacteristic but also presents a bit of a conundrum in the context of the current economic and freight environments. As owner-operators and smaller fleets in particular exit the industry, inventory continues to increase. This is providing remaining fleets with more options than they have had in a long time.”
Tam’s ACT, J.D. Power Valuation Services, and the American Transportation Research Institute all have recent data on these new over-the-road equipment trends.
“Auction sales increased 32% month-over-month in May,” Tam noted. “Dealers continued their risk-averse track, selling 19% fewer wholesale units compared to April. Combined, the total market swelled 13% in May [compared to April]. Compared to May 2022, the retail market was 17% larger. The auction and wholesale segments also expanded, 43% and 79%, respectively. Their combined performance drove the total market 31% higher year-over-year.”
Read more here.
