Ritchie Bros. has released its November Market Trends report, which highlights the continued rise in popularity of compact earthmoving equipment, particularly mini excavators.
Although U.S. excavator sales show that large-unit volumes are down significantly in 2022, mini excavator sales have increased.
"We have been selling construction equipment for than 60 years and compact equipment has never been more popular," said Doug Olive, SVP, Ritchie Bros. "Today, manufacturers make small and medium earthmoving equipment so much more powerful, and as a result we are seeing a lot more compact items on job sites around the world and at our auctions. However, there are still many jobs that require the full power of a Cat D11T or John Deere 870G—so don't worry, big equipment still has a big role to play."
In the United States, while large excavator volumes are down, prices are up. Excavator prices are also on the rise in Canada while volumes decline. Meanwhile, volumes and prices for mini excavators in the United States and Canada have both increased in 2022.
Looking at wheel loaders and dozer sales, the company sees similar trends, especially in the United States. In the U.S., both have seen price declines in Q3, while smaller assets like loader backhoes and skid steer loaders have increased in price. In Canada, with smaller overall volumes, pricing for dozers and wheel loaders are still seeing a slight uptick this year, while compact equipment like multi-terrain and skid steer loaders have experienced more substantial increases.
"Used small and medium earthmoving equipment volumes sold through dealers and other retail channels were down almost 40 percent versus the prior year, while prices continued to rise, increasing a further 2 percent in October," said Doug Rusch, managing director of Rouse Sales. "Used earthmoving equipment trading through retail channels is now selling for 33 percent more than pre pandemic levels."
While all individual industry indexes show increased pricing over the same time last year, month over month changes continue to decline since peak pricing earlier this year.
In the United States, Ritchie Bros.' mix-adjusted price indexes for the three months ending October 31, 2022, show truck tractor prices are up approximately 2 percent compared to the same time period last year, but down 13 percent compared to the three months ending December 31, 2021. Meanwhile, large and medium earthmoving equipment prices are currently up 4 percent and 2 percent respectively compared to the same time period last year, however that is down 1 percent and 6 percent compared the three months ending December 31, 2021. Vocational trucks are up 1 percent YOY (down 7 percent since Dec. 2021) and aerial up 2 percent (down 5 percent since Dec. 2021).
Source: Ritchie Bros.
