Subscribe to our free, weekly email newsletter!


ACT research says prices for used Class 8 trucks are up 4 percent in October

By Jeff Berman, Group News Editor
November 29, 2010

Data from ACT Research, a provider of data and analysis for trucks and other commercial vehicles, indicates that the average retail sales price of Class 8 used vehicles sold in October was up 4 percent from September.

September retail prices were up 3 percent from August, according to ACT data.

In the latest release of the State of the Industry: U.S. Classes 3-8 Used Trucks, ACT also reported that the average price for the units sold increased 4 percent month-over-month as buyers focused on the limited supply of low mileage vehicles available, according to company officials.

“Tighter supplies of equipment of all sizes continue to be a boon for selling prices,” said Steve Tam, vice president-commercial vehicle sector with ACT, in a statement. “With the focus on late-model equipment, the average miles for Class 8 units sold were down 13 percent month-over-month and 14 percent compared to October of 2009,” added Tam.

In a recent interview with LM, Steve Tam, vice president-commercial sector at ACT, said that as available truck capacity continues to tighten on a sequential basis, freight hauling capacity is modeled by ACT as what he described as an active population, which examines the current state of freight hauling capacity.

“We think that pretty much all of the vehicles that are in operation on the Class 8 side hit a ‘balance point’ in the middle of the second quarter and beginning of the third quarter,” said Tam. “We don’t think there is much, if any, excess freight hauling capacity…out there right now.”

Even with a lack of capacity, Tam said that does not mean the trucking industry is using 100 percent of its available fleet. He added that 100 percent capacity utilization is not an ideal situation for shippers and carriers, as trucks need maintenance and re-positioning.
According to ACT estimates, total active Class 8 utilization at the moment is in the low-to-mid 90 percent range, which is the ideal amount for full utilization on an ongoing basis. It the economy was doing better, Tam said this rate could be bumped up a few percentage points.

About the Author

Jeff Berman headshot
Jeff Berman
Group News Editor

Jeff Berman is Group News Editor for Logistics Management, Modern Materials Handling, and Supply Chain Management Review. Jeff works and lives in Cape Elizabeth, Maine, where he covers all aspects of the supply chain, logistics, freight transportation, and materials handling sectors on a daily basis. .(JavaScript must be enabled to view this email address).


Subscribe to Logistics Management magazine

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your
entire logistics operation.
Start your FREE subscription today!

Recent Entries

Lyon, France-based Norbert Dentressangle, a $5.5 billion global third-party logistics (3PL) services provider focused on global logistics, transport, ocean, and air services, said today it has acquired Des Moines, Iowa-based Jacobson Companies, a value-added warehousing (VAW) company, for $750 million from private equity firm Oak Hill Capital Partners.

Download the newly released research report, "Transportation Management Systems" conducted by Peerless Research Group (PRG) on behalf of Supply Chain Management Review and Logistics Management magazines. Learn what logistic experts are saying about their current supply chain technology infrastructures, how they tackle the transportation component, and revealed the gaps that still need to be filled in order to attain end to-end visibility of a streamlined supply chain.

From cost center to growth center. Get insightful opinions on changes in the marketplace from this independent survey of warehouse personnel. Motorola Solutions examined the current warehousing marketplace in our 2013 Warehouse Vision Report, conducted April-May of 2013.

Even though not all publicly-traded less-than-truckload carriers (LTL) have posted second quarter earnings yet, the early consensus for those that have issued results is looking very good.

The advance estimate for second quarter GDP at 4.0 percent could serve as a sign of a steadier and improving economy.

Comments

Post a comment
Commenting is not available in this channel entry.


© Copyright 2013 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA