Last month, we reported that a notably newer and lower-mileage mix of Class 8 sleepers is cycling through the wholesale channel. We were reluctant to identify this trend as a market shift, since April’s results were still potentially skewed by delayed buying and selling activity following the unusual winter. Now, with full May results in our database, we are comfortable stating that the supply of younger, lower-mileage trucks is here to stay. 

As you can see in the graph below, NADA’s price and mileage average hit a new high for the second month in a row. The average sleeper tractor wholesaled in May for $44,834 – a $2699 (or 6.4%) increase over April, and a whopping $16,257 (or 56.9%) increase over May 2013. Average mileage was 565,773 – a 33,462 (or 5.6%) decrease from April, and a notable 118,455 (or 17.3%) decrease from May 2014. Average age was 73 months – 2 months younger than April, and 10 months newer than May 2014.

This increased supply of newer trucks has contributed to mild depreciation for 2010-2012 model year trucks, but we continue to characterize wholesale sleeper pricing as stable to mildly downward. Demand for low-mileage trucks remains greater than supply.

Stay tuned for more detail in the July edition of Guidelines, available early next month.