Used Class 8 retail volumes, or same-dealer sales, were 16% higher month-over-month in February, according to ACT Research.
Though longer-term sales volume is down 17% year-over-year, prices in February were 7% higher than in January, and used Class 8s were 83% more expensive than they were in February 2021, the trucking equipment research firm said in its latest “State of the Industry: U.S. Classes 3-8 Used Trucks.”
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Average miles and age were flat sequentially, with miles up 3% year-over-year and age 5% higher than last February, according to the ACT report, which provides data on the average selling price, miles, and age of used trucks based on samples 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). The report is used by stakeholders throughout the trucking industry—including commercial vehicle dealers—to better understand the used truck market, especially as it relates to changes in near-term performance, according to ACT.
“Used Class 8 same-dealer retail sales volumes got an expected breath of life in February, jumping 16% sequentially,” said Steve Tam, VP at ACT Research.
“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.”
Asked about the future of the U.S. used truck market, Tam said, “Slowing 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. 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.”
