In what ACT Research says likely is an anomaly, used Class 8 same dealer sales volumes jumped 43% month over month 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.
Longer term, sales were up 7% year over year, but down 17% year-to-date compared to the first 10 months of 2018. The report also indicated used Class 8 average miles increased by 4% m/m, and were virtually flat ytd, 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.
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—Freightliner (Daimler); Kenworth and Peterbilt (Paccar); International (Navistar); and Volvo and Mack (Volvo).
This report is utilized 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.
“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.
“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.”