Class 8 used trucks

August Class 8 truck orders reach highest level since February

Preliminary net Class 8 truck orders reached 19,000 units in August, 9% below a year ago. But they were the highest in six months.

Bookings should begin to rise in September as the 2024 order season accelerates. But it’s hard to know how much pent-up demand remains from the pandemic and two years of supply disruption and whether that detracts from new orders.

“Despite rising order activity, the year-over-year comparisons will look horrible through November due to record order activity in the...

https://www.freightwaves.com/news/august-class-8-truck-orders-reach-highest-level-since-february

June used truck retail prices follow continuing declines in auction prices

Row of trucks with hoods open

Used truck auction prices continue to drop from nosebleed heights. Now trucks at retail are selling for less. But both channels remain near historic peaks.

Auction volumes in June reached an 18-month high, according to J.D. Power Valuation Services. Small fleet liquidations, large fleets dumping their oldest units and individuals either getting out of the industry or going to work for a fleet drove the jump.

Auction values stabilized after rising for 18 straight months, according to Ritchie...

https://www.freightwaves.com/news/june-used-truck-retail-prices-follow-continuing-declines-in-auction-prices

Out of sight: September used truck prices continue skyward

J.D. Power Valuation Services said the group of late-model used trucks it follows cost 85% more for the first nine months this year versus 2020 as demand far outstripped supply.

The prices paid may leave today’s desperate buyers holding the bag when they sell them later.

Month-over-month, Power’s benchmark group of 4- to 6-year-old trucks brought 18.3% more money. Compared to the first nine months of 2020, the group is running 85.1% ahead, and 62.1% ahead of the same period of 2019. 

Late-model...

https://www.freightwaves.com/news/out-of-sight-september-used-truck-prices-continue-skyward

Peak used truck prices persist as Class 8 production lags

Used truck prices are running 31% ahead through July compared with the first seven months a year ago as new truck production lags and fleets are holding onto equipment longer, starving auctions and dealerships.

The skyrocketing prices could continue into 2022 as manufacturers struggle to turn out finished new trucks while navigating parts and component shortages led by a shortage of critical microchips that control a range of functions including safety systems.

The shortage is leading fleets to...

https://www.freightwaves.com/news/peak-used-truck-prices-persist-as-class-8-production-lags

Flush with new models, PACCAR posts strong first-quarter financial results

PACCAR Inc. (NASDAQ: PCAR) set a record for sales of truck parts in the first quarter, suggesting that an industry backlog constrained by supply chain shortages is prompting truck owners to hold on to their older equipment longer.

“Inventory is relatively tight right now,” PACCAR CEO Preston Feight said on the company earnings call Tuesday. “The industry is at 1.9 months. We’re at 1.7. I wouldn’t expect to see a lot of change in that given the demand that is out there. I think that inventory is...

https://www.freightwaves.com/news/flush-with-new-models-paccar-posts-strong-q1-numbers

Seller’s market for newer used trucks is hot, hot, hot!

Stratospheric prices for newer-model used trucks are becoming the norm as new truck orders fall deeper into a backlog worsened by a microchip shortage and other supply chain constraints.

“From a margin perspective in the first quarter, that was the highest used margin that I can ever remember,” said W.M. “Rusty” Rush, chairman, CEO and president of Rush Enterprises, the nation’s largest chain of commercial vehicle dealerships. “I expect going forward that used truck margins will still remain...

https://www.freightwaves.com/news/sellers-market-for-newer-used-trucks-is-hot-hot-hot

Chip shortage pushing capacity-starved fleets to used equipment

The shortage of microchips that run practically everything in a truck is stretching out a hot market. It is forcing fleets that need trucks now to search out late-model used equipment.

Recent vintage sleeper cabs and daycabs with automated manual transmissions, safety equipment and decent fuel economy are in big demand.

“Customers were already looking for low-mileage used trucks instead of waiting for a new truck,” Chris Visser, senior analyst and commercial vehicle product manager at J.D. Power...

https://s29755.pcdn.co/news/chip-shortage-pushing-capacity-starved-fleets-to-used-equipment

Used truck prices find footing in 2020 amid pandemic

Used truck prices should continue improving in the first half of the year, building on a strong second half of 2020, according to J.D. Power Valuation Services.

“Confidence in the freight market going forward was the main reason truckers bought new and late-model used equipment beginning midyear,” said Chris Visser, Power’s senior analyst and commercial vehicles product manager. “The freight remained healthy due to the macro shift to work-from-home and all the upheaval that entailed. That’s the...

https://www.freightwaves.com/news/used-truck-prices-find-footing-in-2020-amid-pandemic

Used truck sales recovery takes a breather in October

The recovery in Class 8 used truck auction and retail sales paused in October. Individual purchases crept higher which could create a glut when tens of thousands of trucks and drivers sidelined because of the pandemic return to the roads.

Preliminary used Class 8 sales volumes fell 10% in October compared with September and were 12% below the same month a year ago. But they are 10% higher year to date compared to the first 10 months of 2019, according to ACT Research.

Average prices, miles and...

https://s29755.pcdn.co/news/used-truck-sales-recovery-takes-a-breather-in-october

2018 redux: Truck-buying binge borrowing from future business

Here we go again. Orders for new Class 8 trucks are surging like they did after tax cuts in 2018. This time, however, consumer-driven demand for stay-at-home goods during the pandemic is prompting carriers to pull forward equipment orders that would typically be placed later.

Household spending on goods and services rose 1.4% in September, according to the U.S. Commerce Department.

Buyers of new and late-model used trucks are both shopping, even as uncertainty surrounding a new wave of...

https://s29755.pcdn.co/news/2018-redux-truck-buying-binge-borrowing-from-future-business

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