Used-Vehicle Market Still Feeling Covid
Inventory was up in December, but delayed pandemic effects on new-vehicle sales still to be felt.

Cox expects used-vehicle supply to continue to feel the pandemic's effects this year due to its earlier impact on new-vehicle sales.
IMAGE: Pixabay/Andreas
Used-vehicle inventory ended 2023 at the year’s high and up 4% year-over-year, while days’ supply was up 1%.
Supply closed the year at about 2.4 million and 56 days’ supply, Cox Automotive said after reporting earlier this week that new-vehicle days' supply fell at year's end.
“After bottoming out at a low historical level in the first quarter of 2023, the supply of used units generally rose throughout most of 2023,” said Jeremy Robb, senior director of Cox Automotive Economic and Industry Insights.
This year, used-vehicle supply will likely be curtailed, though, due to slowed 2021 and 2022 new-vehicle sales’ delayed effects on the used market that were also at play last year, Cox said.
“For the full year, we estimate sales for used retail were down about 3%, curtailed by a constrained supply of newly used vehicles into our ecosystem,” Robb said.
“Looking ahead, the retail used-vehicle market should continue to feel the pinch of lower new-vehicle sales in 2021 and 2022, keeping supply constrained.”
Used-vehicle listing prices, though, were down 3% year-over-year in December to an average of $26,446.
Originally posted on Auto Dealer Today
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