Used heavy-duty trucks face challenges in December as inventory levels and asking values all decline

Sandhill Global reports inventory levels fell 4.8% M/M but remained higher than last year, up 30.48% year over year

December was a challenging month for U.S. used equipment markets. New market reports from Sandhills Global reveal a consistent decline in asking and auction values coupled with a notable increase in inventory levels for construction equipment, farm machinery, trucks, and semitrailers in Sandhills marketplaces. Overall, the reports show markets adjusting to oversupply and softer demand.

“The trends observed in the latest market reports highlight ongoing struggles in the used heavy-duty truck, semitrailer, and other equipment sectors,” says Truck Paper Sales Manager Scott Lubischer. “It’s important for sellers to watch these trends carefully and adapt their strategies to match these evolving market conditions.”

The key metric used in all of Sandhills’ market reports is the Sandhills Equipment Value Index (EVI). Buyers and sellers can use the information in the Sandhills EVI to monitor equipment markets and maximize returns on acquisition, liquidation, and related business decisions. The Sandhills EVI data include equipment available in auction and retail markets as well as model year equipment actively in use.

Additional Market Report Takeaways
Sandhills market reports highlight the most significant changes in Sandhills’ used heavy-duty truck, semitrailer, farm machinery, and construction equipment markets. Key points from the current reports are listed below. Full reports are available upon request.

U.S. Used Heavy-Duty Trucks

• Used heavy-duty trucks in Sandhills marketplaces continued to face challenges in December as inventory levels, asking values, and auction values all declined month over month. Inventory levels fell 4.8% M/M but remained higher than last year, up 30.48% year over year, indicating a persistent oversupply of trucks. Inventory levels are currently trending sideways.
• The heavy-duty truck market has been trending downward since mid-2022, mainly due to production and supply chain issues. Asking values have decreased for several consecutive months and continued that trend in December with decreases of 1.82% M/M and 24.1% YOY.
• Auction values fell 3.37% M/M and 30.3% YOY, also following months of decreases.

U.S. Used Semitrailers

• Used semitrailer inventory levels rose slightly in December, up 2.08% M/M, reaching a level that is almost double that of last year (up 92.03% YOY). This points to low demand as buyers are either postponing or canceling their purchases. On the other hand, values have been dropping consistently.
• Asking values were down 2.51% M/M and 23.64% YOY after months of decreases.
• Auction values were down 2.45% M/M and 25.69% YOY, also following months of decreases.

U.S. Used Medium-Duty Trucks

• Like the used heavy-duty truck market, used medium-duty trucks experienced declines in inventory levels and values in December, pointing to an oversupply. Medium-duty truck inventory levels were down 4.84% M/M and up 50.52% YOY and are currently trending sideways.
• Asking values decreased 2.6% M/M, marking the third consecutive month of declines, and were down 16.85% YOY.
• Auction values fell 3.83% M/M, continuing a downward trend for the second month in a row, and were down 22.03% YOY.

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