July 15, 2014 - According to the Association of Equipment Manufacturers (AEM), total U.S. construction machinery exports dropped to $4.292 billion in the first quarter of 2014 from $5.287 billion in the first quarter of 2013. The drop of about 18.8 percent is in conformance with global construction equipment demand.
Nearly all global regions recorded high single or double digit drops, except Africa which experiences a double digit growth. What does this mean for the construction equipment auction industry?
What these statistics show is that the purchase of new equipment from overseas buyers has decreased. Luckily for Blackbird (and a majority of the auction industry) we specialize in the resale of used equipment, and there are many benefits to buying used in today’s global economy. The main advantages to buying used equipment at auction are price and availability. Used equipment is often significantly less expensive than new and is almost immediately available. When buying used equipment, you will be able to boost your fleet without having to break your budget. This is because you set the price. A larger fleet means that you have the opportunity to take on more jobs or complete jobs faster without taking a large hit on your bottom line. This sounds beneficial for most companies, right?