Class 6 conventionals continued to outperform year-prior results. 4-7 year-old units averaged an estimated $24,000 in the first three months of this year, which is about $900 (or 4%) higher than last year. Average mileage of this cohort averaged an estimated 136,000, which is a substantial 38,000 (or 22.0%) lower than 2015.

Class 6 trucks sold in 2016 are trending younger than those sold in 2015, which partially explains the higher average selling price of our benchmark group. However, volume is up notably, which casts a positive light on 2016 pricing performance.

Class 4 conventionals are mildly trailing 2015 in price. 4-7 year-old units averaged an estimated $19,000 in the first three months of the year, which is about $790 (or 4.0%) lower than last year. Average mileage is up moderately in 2016, at an estimated 119,000, as opposed to 108,000 in the same period of 2015. This 11,000 (or 9%) difference likely explains the difference in price.

As with Class 6, the volume of Class 4 trucks reported sold is substantially higher in 2016. We consider Class 4 segment performance similar to 2015, with more pressure upward than downward. See the graph below for detail.

Class 3 and 4 cabovers are outperforming 2015, with pricing moderately higher despite substantially higher volume. Our benchmark group of 4-7 year-old units brought an estimated $17,900 in the first three months of the year, which is about $930 (or 5.5%) higher than the same period of 2015. See the graph below for detail.

A healthy new medium duty market is creating increased trades on the used side, but demand has also increased. It appears these two factors are in equilibrium for the most part. Stable to higher pricing with more inventory to sell is a net positive for dealers in the medium duty business.