Used equipment sales have skyrocketed in a range of industries over the past 12 months, as tightened supply chains saw buyers getting competitive for locally sourced machines.
Global asset management company Ritchie Bros. has released its Market Trends Report after speaking with numerous industry leaders including Brown & Hurley, Civil Contractors Federation Victoria, Agforce, Tractors Machinery Association of Australia and the Institute of Quarrying (IQA).
Ritchie Bros. APAC sales director Finlay Massey said the record sales were seen across the board.
“Supply chain issues, tight supply and unprecedented demand all played major factors in used sales last year,” Massey said.
“In Australia, volumes were up in most asset categories including trucks, trailers, tractors, harvesters, cranes and earthmoving gear, while prices rose significantly.”
This was caused by global COVID-19 disruptions which caused factory shutdowns, shipping delays, regional lockdowns and border restrictions.
Massey said the effects of the pandemic were exacerbated by other natural disasters and strong market conditions.
“Due to an increasing demand on the transport sector and an overall freight necessity that has remained solid throughout the pandemic – including drought breaking rains leading to bumper crops and harvests, and a housing boom driven by substantial government incentives – the need for used equipment and trucks drove strong demand throughout 2021,” he said.
Ritchie Bros. welcomed a record number of bidders in 2021 (almost 35,000) for an increase of 101 per cent on 2020 figures.
Massey said this caused several other records to be broken.
“This past year was a record one for Ritchie Bros. by any measure. Positive price trends across all sectors were reported, while Ritchie Bros. set new records for total sales, registered users, bids per item and overall sales prices,” he said.
“It remains a seller’s market in 2022 and consignors across Australia are taking advantage by turning their surplus assets into cash.”
Read the Market Trends Report here to learn more.