ACT Research reported Tuesday in its latest State of the Industry: U.S. Classes 3-8 Used Trucks report that Class 8 retail volumes (same dealer sales), were up 12% last month. An initial estimate had pegged volumes up 10%.
Average mileage was flat, with average price down 3% and age 1%. Longer term, the company says average age, price, and miles were lower, with volumes up year over year.
“Sales usually slow 4 to 5% in May, so the increase was not only uncharacteristic, but also presents a bit of a conundrum in the context of the current economic and freight environments,” says Steve Tam, Vice President at ACT Research. “As owner/operators and smaller fleets in particular exit the industry, inventory continues to increase. This is providing remaining fleets with more options than they have had in a long time.”
[RELATED: Used truck sales prices continue downward slide]
“Auction sales increased 32% month over month. Dealers continued their risk-averse track, selling 19% fewer wholesale units compared to April. Combined, the total market swelled 13% month over month in May. Compared to May 2022, the retail market was 17% larger. The auction and wholesale segments also expanded, 43% and 79%, respectively. Their combined performance drove the total market 31% higher year over year,” Tam adds.
He concludes that despite current anemic economic and soft freight conditions, “the comparison highlights just how tough conditions were in 2022 with respect to scarce inventory. As the year progresses, the year-to-date scenario also continues to diverge from last year.”
