Declining Inventory in Summer Machinery Market: A Look at Used Equipment Trends

Decreasing Inventory Levels in Used Machinery Market

As we progress into the summer months of 2025, the trend of declining inventory levels in the used construction machinery market has come to the forefront. Recently released reports from Sandhills Global indicate a notable downward shift in the inventory levels of used construction equipment, specifically through their platforms, including Machinery Trader.

Seasonal Decline in Inventory

The inventory levels of used construction equipment observed a significant decline throughout July. Shifting from a stagnant position in previous months, these levels dropped noticeably, staying consistent with the anticipated summer lull that typically affects the machinery market. Notably, used crawler excavators and mini excavators have seen the most substantial drops in inventory, marking them as key players in this uptick of used equipment availability.

Heavy-Duty Equipment Market Trends

In the heavy-duty equipment sector, used inventory levels fell by a striking 0.65% month-over-month (M/M) and 7.72% year-over-year (Y/Y). The decrease in the inventory levels of used crawler excavators was particularly notable, with a 1.41% M/M and 11.12% Y/Y drop, signaling a trend that potential buyers should carefully monitor.

Medium-Duty Equipment Performance

Similarly, the medium-duty construction equipment market has experienced a decline, with used inventory levels falling 0.96% M/M and 9.52% Y/Y. The mini excavator category led this decline with a sharp reduction, showing 3.09% M/M and a staggering 19.94% Y/Y decrease. This trend suggests a cautious approach for those looking to buy or sell in this category as market dynamics shift.

Aerial Lifts and Forklifts: Contrasting Trends

Interestingly, while heavy-duty and medium-duty machinery face declines, the inventory levels of used aerial lifts have surged by 2.07% M/M and 4.09% Y/Y. Particularly, rough terrain scissor lifts saw an impressive increase of 3.67% M/M and an eye-catching 29.17% Y/Y. Conversely, the forklift inventory has experienced a continuous upward trend for the past six months, showcasing a rise of 6.29% M/M and a remarkable 34.99% Y/Y, driven mainly by the cushion tire forklift category.

Telehandlers and Tractors

The narrative continues with telehandlers, where inventory levels decreased slightly by 0.21% M/M in July yet reflected an 18.14% Y/Y increase. In the tractor segment, the market for used tractors of 100 horsepower and greater saw an inventory decrease of 1.42% M/M and 4.17% Y/Y, driven by declines in categories dealing with mid-range horsepower.

The Auction Market Landscape

The reports also delve into the auction landscape, revealing that auction values for used heavy-duty machinery decreased slightly, continuing a trend observed in previous months. Even with negative movements in asking prices, used wheel loaders and track skid steers have been showing dynamic changes, which are critical indicators for those within the industry.

Final Thoughts on the Current Market

Overall, the current market summarizes a complex narrative characterized by seasonal declines in used inventory levels throughout July, highlighting not just the declines in heavy-duty and medium-duty equipment sectors but also contrasting trends within aerial lifts and forklifts. The shifting dynamics present opportunities and challenges for individuals and businesses engaged in buying or selling used construction equipment. The current landscape indicates a need for vigilance as market conditions continue to evolve, particularly guided by the Sandhills Equipment Value Index (EVI), which remains a crucial tool in monitoring these trends.

For those looking to stay ahead in the used machinery market, continuous tracking of these trends is essential. Understanding the nuances surrounding various equipment categories, especially during transitional seasons like summer, will ultimately aid in making informed decisions that reflect the current values and anticipated future movements of the marketplace.