Used-Truck Sales Lag From Year-Ago Levels on Limited Inventories, ACT Research Says

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Used Class 8 truck sales in February rose from the previous month, but were still down 9.5% year-over-year as limited used inventories continued to hold back sales, ACT Research reported.

The firm said the sellers it surveys sold 1,843 used trucks in February, up 8.3% from 1,702 in January but below the 2,036 units sold in February 2012.

ACT’s survey, which includes retail, wholesale and auction sales, represents about 8% to 10% of the entire market.

“We’re still down on a longer-term comparison basis, and nothing has changed there — it’s still availability of units that’s kind of hamstringing us,” said ACT Vice President Steve Tam.

While retail and wholesale sales increased month-over-month in February, the auction market was down, Tam said. “Auctions seem to be having a tougher time than the other two segments right now in finding units to be able to support and hold their sales.”

The average price of a used truck sold in February was $39,502, up 2.4% from January but 7% below February 2012, Tam said.

Average vehicle age was 87 months, down from 92 months in January but up from 85 months in February 2012, he said; and mileage rose to 577,000 in February from 571,000 a month earlier and 557,000 a year ago.

Separately, the American Truck Dealers said the average retail price of a used Class 8 sleeper edged up to $49,524 in February, a 1.6% increase from January and up 0.8% from a year earlier. “We’ve seen a lot of [pricing] stability since the fourth quarter of 2011,” said Chris Visser, senior analyst for ATD.

Still, at an ACT-sponsored seminar last month, Tam said the research firm expects the U.S. used-truck market to be stable in 2013 with about 250,000 sales while prices may decline as much as 5%.

Some temporary inventory relief for the used market could be on the way in the next couple of months as large fleets start taking delivery of new trucks, resulting in more trade-ins of used trucks, Tam said.

“You get some larger deals coming through that time of the year, and if you have more available, you can sell more,” he said.

Carriers say they’re not expanding their fleets, so most new truck sales should be accompanied by a used-truck trade, Tam explained.

In remarks during the Mid-America Trucking Show, Navistar International’s Troy Clarke said federal regulations that have driven up the cost of new trucks also have “a direct impact on the used-truck buyer.”

Clarke, currently chief operating officer, later this month will become CEO of the Lisle, Ill.-based truck and engine manufacturer.

Higher price tags for used trucks are making financing harder for many small truckers, Clarke said March 22 at the Heavy Duty Manufacturers Association’s breakfast during MATS.

ACT’s Tam said he doesn’t think the financing issue is necessarily “stopping anybody who wants to get a truck from getting a truck,” but he added that there are not as many lenders in the space as there have been in previous cycles.

Managing Editor Neil Abt contributed to this story from Louisville, Ky.