After increased depreciation between March and June of this year, the wholesale used truck market has seen rapid growth. High demand reduced supplies of used trucks, increasing retail prices. Market experts ranging from remarketing directors to pricing experts and Used Truck Association members attribute this to a combination of reduce new truck production and increased shipping demands.
Brian Daniels, director of sales and distribution for Daimler Trucks Remarketing, says most of the growth is was concentrated on the Class 8 market. However, medium duty and vocational trucks also saw an increase in demand. In an interview with “Work Truck Magazine,” he attributed part of this to slowdowns in vehicle manufacturing. With fewer new trucks available, customers were forced to buy used trucks for their fleets. Meanwhile, an increase in last mile shipping during the pandemic boosted sales of light and medium duty trucks.
Craig Kendal, Used Truck Association member and manager of The Pete Store in Knoxville, TN, has seen the effects first hand. He attributes price increases to a combination of fewer new trucks, fewer trucks being traded in, and increased demand for low mileage trucks. He told “Work Truck Magazine” that he’s optimistic on the outlook of the market. While there are fears that we may see a recession in the coming year, his customers are planning on heavy-duty truck hauling to remain in high demand. Josh Giles, principal automotive analyst at Black Book, thinks we have reached a plateau. He expects depreciation to return to normal in the next few months.
