ACT Research: Used Truck Sales Decline in September a Conundrum
Preliminary Class 8 same dealer used truck retail sales volumes suggest buyers tightened their belts in September, down 5% m/m, according to the latest preliminary release of the State of the Industry: U.S. Classes 3–8 Used Trucks published by ACT Research.
Compared to August 2023, average retail price was flat, while miles and age declined 4% and 3%, respectively. Compared to September of 2022, volumes, price, miles, and age declined.
According to Steve Tam, Vice President at ACT Research, “The slowing in retail sales volumes was consistent with and fell between the performance of the other channels. Auctions were 18% lower m/m, while wholesale transactions slipped 4.0% m/m.” He continued, “Historically, September is the fourth-best sales month of the year, running 6% above average and about 2.5% lower than August. The decline, while larger than expected, is both surprising and a bit of a conundrum.”
Tam concluded, “Disparity can and often does exist between average and actual individual results. While some dealers see volumes and prices rising, others are experiencing a very different reality, with soft sales volumes and even weaker pricing. While accepting the difference may be challenging, understanding it and developing an actionable plan to minimize or reverse it is a worthwhile pursuit.”
ACT’s Classes 3–8 Used Truck report provides data on the average selling price, miles, and age based on a sample of industry data. In addition, the report provides the average selling price for top-selling Class 8 models for each of the major truck OEMs — Freightliner (Daimler); Kenworth and Peterbilt (Paccar); International (Navistar); and Volvo and Mack (Volvo). This report is utilized by those throughout the industry, including commercial vehicle dealers to gain a better understanding of the used truck market, especially as it relates to changes in near-term performance.
ACT Research is recognized as the leading publisher of commercial vehicle truck, trailer, and bus industry data, market analysis and forecasts for the North America and China markets. ACT’s analytical services are used by all major North American truck and trailer manufacturers and their suppliers, as well as banking and investment companies. ACT Research is a contributor to the Blue Chip Economic Indicators and a member of the Wall Street Journal Economic Forecast Panel. ACT Research executives have received peer recognition, including election to the Board of Directors of the National Association for Business Economics, appointment as Consulting Economist to the National Private Truck Council, and the Lawrence R. Klein Award for Blue Chip Economic Indicators’ Most Accurate Economic Forecast over a four-year period. ACT Research senior staff members have earned accolades including Chicago Federal Reserve Automotive Outlook Symposium Best Overall Forecast, Wall Street Journal Top Economic Outlook, and USA Today Top 10 Economic Forecasters. More information can be found at www.actresearch.net.