Demand up for used CVs
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Claims that the recession in the transport industry is bottoming out received a boost this week with signs that hauliers are finally starting to review their vehicle procurement.
Demand is increasing for used stock, heavy haulage vehicles and leasing.
Leyland Daf marketing and sales boss David Gill says: "There has been a very significant hardening in secondhand truck prices and that only happens if there is demand and if there's work for them."
Gill reports that used truck prices are going up and that the current shortage of good condition late model tractive units is a clear indicator of demand. He says low horsepower tractors are attracting less interest among both new and usedvehicle buyers.
"When it comes to the used truck buyer, 300hp tractors stand around at the auction while higher power artics move quite easily," he says.
Central Motor Auctions is finding that the market for heavy commercials is also improving. Operations director Alan Agate says: "Buyer confidence has also returned and competition for quality vehicles is extremely fierce with the most soughtafter units making above retail prices."
Commercial vehicle leasing is expected to pick up in the next few months, according to the Finance and Leasing Association, but this follows last year's 32% fall in revenue for its members, with a vehicle leasing turnover of £0.7 billion.
FLA Motor Finance Group chairman John Brown says: "Last year was the worst in many members' memories for business lending and leasing. This makes it a good time to invest in commercial vehicles as there are many discounts on offer and excellent deals to be had."