Commercial Motor Vehicle Consulting (CMVC) announced Wednesday its Parts Aftermarket Leading Retail Sales Indicator (PLI) increased 0.9 percent month-over-month in December, and increased for the eleventh consecutive month overall.
Based on its data, CMVC says the parts aftermarket sales recovery has entered its third phase – high truck utilization followed by decreasing supply of idled trucks on the used truck market increasing the population of trucks in operation and phase three, new truck sales above replacement demand resulting in an expanding truck population.
“Phase three, an expanding truck population implies an increasing number of components/parts depreciating that will result in higher parts aftermarket sales,” says Chris Brady, CMVC president. “The acceleration in parts aftermarket sales in response to an expanding truck population depends upon a part’s depreciation rate, mileage to repair/replacement.”
He adds, “PLI is signaling parts aftermarket sales will trend upward in 2018 as high truck utilization implies parts/components depreciating at normal rates, while expanding truck population implies an increasing number of parts/components are deprecating that will spur higher parts aftermarket sales.”