The used truck auction market saw a boost in volume last month while the retail market saw varied levels of depreciation based on a tractor type, J.D. Power reported Thursday in its September 2024 Commercial Truck Guidelines report.
Within the auction segment, pricing was lower as volumes rose, which J.D. Power says was partly to actual market movement but also unfavorable condition and mileage of trucks in the dataset this month.
Pricing in the company's benchmark model was as follows:
- Model year (MY) 2021: $49,186; $111 (0.2%) higher than July
- MY 2020: $39,049; $1,016 (2.5%) lower than July
- MY 2019: $27,933; $5,978 (17.6%) lower than July
- MY 2018: $22,076; $97 (0.4%) lower than July
Overall last month, J.D. Power says selling prices for 4- to 6-year-old sleepers were 5.6% lower than July. Pricing is currently just under the strong pre-pandemic period of 2018 in nominal figures (20% lower if adjusted for inflation), and 55% higher than the last market nadir in late 2019 (27% higher if adjusted for inflation), the company says.
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Additionally, depreciation in 2024 is averaging 1.3% per month, substantially lower than the historical average. "All of this year’s depreciation occurred in the first quarter, with pricing stable since then," J.D. Power says.
In the retail segment, sleeper pricing fell more month over month compared to daycabs but sleeper pricing remains more stable overall.
J.D. Power says the average sleeper tractor retailed in August was 64 months old, had 430,980 miles and brought $57,872. Compared with July, this average sleeper was identical in age, had 8,802 (2.0%) fewer miles and brought $3,760 (6.1%) less money. Compared with August 2023, this average sleeper was seven months newer, had 17,572 (3.9%) fewer miles and brought $6,694 (10.4%) less money, the company says.
According to J.D. Power's model, August’s average pricing for late-model trucks was as follows:
- MY 2023: $116,376 $6,284 (5.7%) higher than July
- MY 2022: $89,751; $1,626 (1.8%) lower than July
- MY 2021: $63,000; $6,828 (9.8%) lower than July
- MY 2020: $50,909; $3,031 (5.6%) lower than July
- MY 2019: $36,903; $6,312 (14.6%) lower than July
- MY 2018: $29,122; $44 (0.2%) higher than July
Among the popular 3- to 5-year-old sleeper tractor market, pricing was down 3.9% from July, and 5.3% less than August 2023.
Late-model sleepers are now bringing 5% less money than the last strong pre-pandemic period of early 2019 in nominal dollars, or 24% less when adjusted for inflation," the company says. Compared with the last weak pre-pandemic period, J.D. Power adds late-model sleeper values are running 19% higher in nominal dollars or 3% lower in real dollars. Depreciation in 2024 is averaging 2.3% per month, which is historically typical.
As for daycabs, trucks sold retail in August recovered most of last month’s drop, averaging 10.1% more money. Compared with August 2023, this segment brought 18.5% less money.
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"Despite August’s recovery, average monthly depreciation in 2024 for this segment remains substantially higher than historical trend as well as the sleeper segment, at 4.7%," J.D. Power says. "Highway-spec, 13-liter units with average mileage continue to depreciate."
Finally, J.D. Power states dealers sold 2.3 trucks per rooftop in August, 0.2 higher than July. Overall, 6% fewer trucks were reported sold retail in August vs. July.
For more information, and to read the entirety of this month’s report, please CLICK HERE.
