According to the latest release of the State of the Industry: U.S. Classes 3-8 Used Trucks, published by ACT Research, used Class 8 same dealer sales volumes dropped 12% month-over-month in May, with longer-term sales down 20% year-over-year compared to May 2019. Sales through year to date May are up an incremental 2%.
The report also indicated that used Class 8 average price and miles rose from April’s levels, up 2% and 1%, respectively, with average age 1% lower than the previous month. Longer-term, average price, miles and age all contracted year-over-year, as well as year-to-date, down respectively from the first five months of 2019 by 16%, 2%, and 6%.
“Dealers are reporting that low used truck prices and high inventories were challenges before COVID-19 struck and they continue to be an issue,” said Kenny Vieth, president and senior analyst at ACT Research. “The upside for people buying trucks is that there are bargains available. Not surprisingly, most sales reps are reporting their business as much slower now than in early March, with some saying they are doing well with dump trucks and other vocational truck types, while aerodynamic sleepers continue to be grossly oversupplied.”