Demand for non-Tier 4, used construction equipment is on the rise, according to a survey of Independent Equipment Dealers Association (IEDA) members. Members surveyed report seeing resale prices increase by as much as 20% for excavators, backhoe loaders, wheel loaders, dump trucks, dozers, and compact equipment.
IEDA is comprised of equipment dealers from around the world specializing in used construction and mining equipment sales. Many members surveyed are still unsure how Tier 4 equipment will hold their value in the used equipment market. Although 37% believe Tier 4 machines will not retain their value as well as non-Tier 4 equipment, others believe these machines will have a better resale value as more projects require Tier 4-compliant equipment.
The organization anticipates this trend to continue for the next several years and predicts that the market is four to eight years away from being dominated by Tier 4 equipment.