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Rollout of Infrastructure Projects to Change Equipment Types in Demand

EVER-SHiFTiNG-PARADiGM/Alamy Stock Photo Vibratory soil compactor. HAMM 3000 series in action.
The development of new infrastructure projects is expected to change what equipment is most in demand, according to a recent report.

The Bipartisan Infrastructure Law is expected to have a big impact on construction in the years to come, and a new report theorizes it will change what types of equipment are most in demand.

“With infrastructure projects expected to ramp up in the next year, equipment like road rollers will become more prominent,” states EquipmentWatch’s October market report.

The report also concludes that demand for single-drum vibratory compactors and similar machinery “will likely grow.”

FMV stays flat month-over-month

The average fair market value (FMV) for construction equipment on the resale market has continued to remain flat month-over-month but is still up year-over-year.

According to the EquipmentWatch report, which analyzes resale and auction activity for the construction equipment market, average fair market value was up 5.4% in September 2022 compared to last year, and 10.3% above September 2020.

“However, it was flat compared to August,” the report stated.

FLV for single-drum compactors outpaces market

While resale values for single-drum vibratory compactors have remained relatively flat, the forced liquidation value (FLV) for them has risen.

“FLV for the overall construction equipment market was 5.4% higher than September 2021 and 10.3% higher than September 2020,” the report states. “FLV for single-drum vibratory compactors was 12% higher than September 2021 and 17% higher than September 2020.”

Usage rates for single-drum vibratory compactors didn’t rise as quickly as those of the overall market, something the report says “may be connected to the fact that available model years are much older.”

The EquipmentWatch Market Report is available for download here.

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