US Used Truck Retail Sales Close 2021 With 6% Increase

ACT Research reports on a year-to-date basis, average price is 42% above its year-ago level

Preliminary used Class 8 retail volumes (same dealer sales) grew 4% month-over-month and ended 2021 with a 6% ytd increase, despite dropping 30% y/y in December, according to the latest preliminary release of the State of the Industry: U.S. Classes 3-8 Used Trucks published by ACT Research.

Other data released in ACT’s preliminary report included month-over-month comparisons for December 2021, which showed that average prices rose 1%, as average miles grew 4% and average age rose 3% compared to November. Compared to December of 2020, average price was 67% higher, with average miles and age greater by 9% and 8%, respectively. On a year-to-date basis, average price is 42% above its year-ago level, with average miles and age each 1% higher ytd.

According to Steve Tam, Vice President at ACT Research, “Preliminary same dealer retail sales improved for the first time in three months in December, but still lag compared to their year-ago level.” He elaborated, “The month-over-month gain was muted compared to typical December activity, which is understandable in the context of insufficient inventory.”

Tam continued, “Despite the current softness, preliminary retail sales suggest the market improved by 10% compared to 2020. The gain is not only a reflection of how challenging 2020 was, but also a commentary about how resourceful the industry can be, as it pulled out all the stops to keep the wheels of commerce rolling, regardless of the challenges COVID still presents.” He concluded, “Driven by robust demand and anemic supply, the preliminary average retail selling price for used Class 8 trucks continued its relentless upward trek in December. And while the short-term outlook for pricing calls for sustained strength, albeit at a declining rate, we remain convinced that all of the dynamics currently in play suggest an orderly reversion to a more normal (whatever that is) market, as opposed to a free-fall or crash scenario.”

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