Reports of used trucks becoming cheaper were expected. Trucker News is reporting that according to ACT Research, sales of used Class 8 trucks from the same dealer in the United States increased by 1% in June over May. However, the volumes were still down 44% from the previous year and 34% since the beginning of the year. They also reported that “average prices and mileage were down a respective 6% and 1% compared to May, but the average age was 5% higher month over month.” It is reasonable and anticipated that the market for commercial vehicles, both new and secondhand, will decline as the economy and freight begin to drop from their blistering speed over the previous two years.
Demand, however, is not just about what is occurring right now. Due to the supply-chain crisis, buyers of new and used trucks were unable to access equipment, which drove them to lengthen their trade cycles and age their fleets. Even if this is a temporary solution, the problem still needs to be fixed. The industry will survive the current cycle’s nadir thanks to the replacement of older trucks.