Used truck prices increased in February despite growth in sales

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Trucking news and briefs for Tuesday, March 29, 2022:

Used truck sales, prices increased in February

Used Class 8 retail sales volumes (same dealer sales) were 16% higher in February than in January, according to the latest release of the State of the Industry: U.S. Classes 3-8 Used Trucks, published by ACT Research. Longer term, sales volumes were down 17% year over year.

Average prices were also 7% higher in February compared to January, and 83% more expensive than in February of 2021. Average miles and age were flat sequentially, with miles up 3% year over year and age 5% higher than last February.

“Used Class 8 same dealer retail sales volumes got an expected breath of life in February, jumping 16% sequentially,” said Steve Tam, Vice President at ACT Research. “Typical seasonality called for a 13% increase, so elevated new truck activity seems to have provided a little traction in the secondary market, but in all likelihood, the bump is not sustainable.”

Tam noted that new truck sales seem to have lagged behind December’s production spike, which could translate to another month or two of strong used truck sales.

As for the future of the U.S. used truck market, Tam said current market conditions should begin to bring used truck prices down.

“Slowing freight growth, combined with the continued flow of new entrants into trucking, has effectively defined the start of falling freight rates,” he said. “Through mid-March, rising fuel prices have masked a rapid month-over-month decline in spot freight rates. We contend that this signals an impending slowdown in demand for used trucks, with prices to follow accordingly, and some dealers already reporting prices softening around the edges.”

Electrical issue prompts International recall

Navistar is recalling approximately 2,804 model year 2018-2023 International LT tractors equipped with a 1500W Purkeys inverter system, according to National Highway Traffic Safety Administration documents.

In the affected trucks, the positive battery cable may be incorrectly routed, causing it to chafe on the side skirt frame and become damaged. This could result in an electrical short, increasing the risk of a fire, the recall says.

Dealers will replace any damaged battery cables and install new inverter cable brackets and saddles, free of charge. Owners can contact Navistar customer service at 1-800-448-7825 with recall number 22507. NHTSA’s recall number is 22V-164.

Great Dane recalls 1,200 trailers

An issue with the suspensions on approximately 1,261 trailers has prompted Great Dane Trailers to issue a recall, according to NHTSA documents.

The recall affects model year 2022 Great Dane Champion and Everest model refrigerated trailers. The suspension radius rod mounting bolts were not properly tightened on the trailers, Great Dane says, which could allow the bolts to come loose and fall out.

Dealers will inspect and tighten the radius rod fasteners, free of charge. Owners can contact Great Dane's customer service at 1-877-369-3493. NHTSA’s recall number is 22V-159.

Penske Truck Leasing opens new leasing facility in Tampa

Penske Truck Leasing recently opened a new facility in Tampa, Florida, which the company says will allow it to upgrade the service it provides to customers in the area. This is the second recent investment Penske has made in the Tampa market.

The new facility is located at 7140 East Martin Luther King Boulevard. It offers both consumer and commercial truck rental, full-service truck leasing and contract truck fleet maintenance.

It is also outfitted with the company's proprietary fully digital and voice-directed preventive maintenance process and connected fleet solutions, a value-added resource to help customers address issues and options related to onboard technology systems (ELDs, telematics, onboard cameras, etc.).

The location is 28,406-square-feet and sits on 11.15 acres. It has five truck service bays, an automated wash bay system, and mobile truck lifts.