COLUMBUS, Ind. — Preliminary used Class 8 volumes (same dealer sales) increased 21% month over month in February, according to the latest release of the State of the Industry: U.S. Classes 3-8 Used Trucks published by ACT Research. Longer-term, volumes also rose by double digits, up 24% year over year and 12% year to date.
Other data released in ACT’s preliminary report included month-over-month comparisons for February 2020, which showed that average prices, miles and age of used Class 8 trucks all dropped, down 3%, 2% and 4%, respectively.
ACT’s Classes 3-8 Used Truck Report provides data on used trucks’ 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 used 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.
According to Steve Tam, vice president at ACT Research, “Although same dealer sales rose 21% from January, it is important to keep in mind that most of February’s activity was likely unaffected by COVID-19. Seasonality accounts for about half of the sequential increase, and the catalyst for the remainder of the gain is elusive, but may be the result of the continued drop in prices.”
Commenting on the impact of COVID-19 to this market, Tam noted, “The recent cancelation of events, ranging from public school and university classes to college and professional sporting events to industry trade shows, is expected to have a chilling effect on the economy and by extension, the truck industry. Besides washing your hands, the best advice is to closely monitor this incredibly fluid situation.”