COLUMBUS, Ind. — According to the latest State of the Industry: U.S. Classes 3-8 Used Trucks, published by ACT Research, used Class 8 retail sales faltered for the first time in three months in July, declining 7.8% month-over-month.
Average mileage decreased 2%, with average price down 5% and age 1% month-over-month.
Longer term, average volumes jumped 19%, price and age dropped 30% and 3%, respectively, and miles was flat.
“Sales usually dip a percentage point or two in July, so the decrease was in line with but greater than expectations,” said Steve Tam, vice president at ACT Research. “Including auctions and wholesales, the total market volume fell 28% month-over-month in July. Compared to July 2022, the retail market was 19% larger.”
Since July, some clarity has surfaced regarding two potential market-moving situations.
The UPS Teamsters ratified their contract, avoiding a disruptive strike. Closer to home, the bankruptcy of Yellow appears to be progressing in a disciplined, methodical and orderly fashion. The company owns more than 14,000 trucks (primarily Class 8 day cabs) and nearly 45,000 trailers.”
“Were all that equipment dumped into inventory at one time, the result conjures up images of a piranha feeding frenzy,” Tam said. “While it is still very early in the process and there are no guarantees, this approach should help to minimize the negative impact on used equipment values.”
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.