Much like the freight market in recent years, the used truck market has seen dramatic ups and downs.
Supply chain challenges during the COVID-19 pandemic threw the used truck market out of whack because production of new trucks was slowed considerably. With new trucks hard to come by, fleets and owner-operators who typically replaced their trucks every few years had to hold onto trucks longer than they’re used to.
This drove prices of used equipment through the roof, leading to a peak in April 2022. Steve Tam, vice president at ACT Research, said used prices averaged around $90,000 at the peak across the three main channels of sales -- retail, auction and wholesale. The retail market saw prices averaging over $100,000, and younger used trucks (2-3 years old) could be found selling for more than new trucks.
Since that peak 18 months ago, new truck production has returned to normal levels, and used pricing has fallen considerably, flipping the used market from a sellers’ market to a buyers’ market, with caveats.
“When freight rates were high, it attracted new drivers and companies,” Tam said, which dried up used inventories. “Eventually, most of the supply chain constraints got addressed, and the flow of new trucks got going, trades were going, and inventory was going to the secondary market.”
[Related: Truck costs likely to skyrocket in coming years]
According to ACT’s latest "State of the Industry: U.S. Classes 3-8 Used Trucks" report, used truck prices across all sales channels in September averaged $39,200.
