Second-Hand Van Market Indicates Economic Recovery

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Publish date: 2010-02-22

Market analysts and experts distinguish many types of indicators of an economic situation. One of those is the number of registration of used vans versus new vans which tells the audience if it is the economic slow-down or economic recovery. And the message behind that indicator seems to be a positive one. According to the data delivered by authorities, auction companies and motor organizations it seems that the number of new light commercial vehicle registrations is still lower than at the time of beginning of crisis, but similar to the number of purchased used vans. Market analysts and the Society of Motor Manufacturer and Traders (SMMT in short) admit that the increasing quantity of new van registrations compared to used vans continues to reflect a weak economic recovery in the sector. And although companies are rather reluctant to commit to new investments due to the lack of sufficient business confidence, the number of new van registrations nearing the number of used vans entering the market can be surely treated as a good sign. The SMMT also admit that it is extremely important for the government to use some part of the upcoming budget to help fleets and operators to start switching to new light commercial vehicles, which will be equal to encouraging new investment in capital goods and helping rebuild business confidence.

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