Preliminary used Class 8 volumes (same dealer sales) increased 21% month-over-month in 2020’s second month, according to the latest preliminary release of the State of the Industry: U.S. Classes 3-8 Used Trucks published by ACT Research. Longer-term, volumes also rose by double-digits, up 24% year-over-year and 12% year-to-date.
Other data released in ACT’s preliminary report included month-over-month comparisons for February 2020, which showed that average prices, miles and age all dropped, down 3%, 2%, and 4%, respectively.
ACT’s Classes 3-8 Used Truck Report 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.
According to Steve Tam, Vice President at ACT Research, “Although same dealer sales rose 21% from January, it is important to keep in mind that most of February’s activity was likely unaffected by COVID-19.” He continued, “Seasonality accounts for about half of the sequential increase, and the catalyst for the remainder of the gain is elusive, but may be the result of the continued drop in prices.”
Commenting on the COVID-19 impact to this market, Tam noted, “The recent cancellation of events, ranging from public school and university classes to college and professional sporting events to industry trade shows, is expected to have a chilling effect on the economy and by extension, the truck industry. Besides washing your hands, the best advice is to closely monitor this incredibly fluid situation.”
ACT Research is recognized as the leading publisher of commercial vehicle truck, trailer, and bus industry data, market analysis and forecasts for the North America and China markets. ACT’s analytical services are used by all major North American truck and trailer manufacturers and their suppliers, as well as banking and investment companies. ACT Research is a contributor to the Blue Chip Economic Indicators and a member of the Wall Street Journal Economic Forecast Panel. ACT Research executives have received peer recognition, including election to the Board of Directors of the National Association for Business Economics, appointment as Consulting Economist to the National Private Truck Council, and the Lawrence R. Klein Award for Blue Chip Economic Indicators’ Most Accurate Economic Forecast over a four-year period. ACT Research senior staff members have earned accolades including Chicago Federal Reserve Automotive Outlook Symposium Best Overall Forecast, Wall Street Journal Top Economic Outlook, and USA Today Top 10 Economic Forecasters. More information can be found at www.actresearch.net.
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