Used truck market under pressure as residuals drop 30 June 2016

While truck auctions are currently “a little brisker”, according to Glass’s latest guidance on used HGV sales, only scarce late year Euro 5 and Euro 6 are moving well, while the market for older trucks remains stagnant, with residuals depressed and exporters staying away.

Looking at the 7.5—12 tonne range, Glass’s reports that only trucks in prime condition with low mileages are generating trade interest.

“Fridges are hard work, with condition generally poor and mileages typically high,” says the firm, adding that tidy examples receive sensible offers.

Tippers in this range are still in demand but only at bargain prices, but good-quality curtainsiders and box vans, which are in short supply, are holding up.

In the 13—18 tonne rigid range, Glass’s says residual values are increasingly coming under downward pressure. Only later year units with low miles are seeing interest.

Again poor quality fridges in this sector are struggling to attract buyers, with only good example and those with sleeper cabs or tail lifts moving well – along with dropsides and tippers, if fitted with cranes and grabs, and curtainsiders with sensible miles.

As for the 26—35 tonne sector, turnaround of used vehicles remains slow, says Glass’s, with many units being offered on multiple occasions before a sale.

Big tippers fitted with cranes remain popular, although Glass’s warns that the chassis/body/crane combination needs to be right.

Higher horsepower box or curtainsiders with sleeper cabs are selling but flats “are a mixed bag at the moment”, with those fitted with rear mounted cranes struggling to gain interest, although front-mounted cranes are faring better.

As for used tractor units, auction houses are struggling to cope with the sheer numbers of de-fleeted supermarket stock.

“These low horsepower 6x2 tractor units have seen their values weaken of late and, with reports of at least a further 1,000 parked up ready to be sold, values are coming under further downward pressure,” says Glass’s.

However, tractors with low mileage and higher horsepower engines and large cabs are still getting “plenty of attention”, although late year stock still struggles.

Glass’s suggests that, with finance deals on new units currently so attractive, late year tractors at auction are often met with caution.

Author
Brian Tinham

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