ARTSA Institute (ARTSA-i) has released its June Quarter (Q2) 2021 heavy vehicle market report which reveals positive signs of growth.
Rob Perkins, ARTSA-i Data analytics Executive Director, said there is double digit growth in new heavy vehicle registrations and it appears to be accelerating.
“The one exception is heavy rigids who grew by a ‘modest’ 6.0 per cent in the last 12 months but have strengthened in the last six months to achieve 20 per cent growth compared with the immediately previous six months.
The median age of Australia’s heavy vehicle fleet is not getting any younger.
“Despite the encouraging growth in new registrations, this needs to be seen against a backdrop of the total fleet of heavy and medium duty (i.e. over 4.5-tonne Gross Vehicle Mass – GVM) trucks, trailers, buses and special purpose vehicles,” said Perkins.
“In total there are just over one million registered medium and heavy duty units on the road. When compared to the typical 35,000 new units being registered each year – some 3.5 per cent of fleet numbers – and allowing for retirements of old equipment, the median age of the fleet remains in a band of 11 to 15 years. It has been relatively flat line for some years as the graph below demonstrates.
“Whilst median age does not inform as to the usage of equipment and undoubtedly newer equipment will work a lot harder than older equipment, the point remains that the fleet – based on the measure of median age – is old by comparison with US and European fleets which are typically around 10 years or less. To bring the median heavy vehicle fleet age down to a comparable level to that in the US and Europe would need a considerable increase in new vehicle registrations above current levels over a sustained period of time. The considerable safety, productivity and environmental benefits that new equipment brings needs to be factored into any future investment allowance decision.”
Going forward, the Federal Government’s tax write-off incentive and accelerated expenditure on infrastructure projects, according to Perkins, is providing a stimulus for investment in new equipment.
“Issues of supply of components are providing challenging for most manufacturers which is slowing delivery times,” he said. “This challenge will limit further growth for now but there seems to be no handbrake on new orders at present, with some manufacturers reporting full order books out into the third and fourth month of 2022.”
ARTSA-i Data analytics can supply a range of custom reports that provide considerable detail by manufacturer, but can also be analysed by State, by year and other variables such as registration category, VIN, postcode, age and more.
For more information on the data that can be purchased contact Perkins on firstname.lastname@example.org or phone +61 411 402 832.
Read ARTSA-i’s Q1 2020 heavy vehicle market report here.