Isn’t that a lot of blacktop? You can see very little of it in a typical year. But, as we’ve seen since March, nothing is ever the same.
The trailer sector, like many others, has altered dramatically in the last year. If you’re looking for a trailer, you’re probably having problems finding exactly what you want, having to wait longer than you’d want to receive it, or having to pay more.
Every month, it seems, we get word from our manufacturers that their prices are going up. Again. They don’t want to raise costs, but they don’t have an option. Steel, wood, and other regularly used parts, such as air conditioners, awnings, generators, and more, are driving the hikes. The Covid-19 shutdowns in 2020, as well as China tariffs, have set off a chain reaction.
Many of U.S. Steel’s blast furnaces were shut down in April of last year, and while some reopened later that summer, others, like the one in Gary, Indiana, which is located in the heart of trailer country, didn’t restart until December. U.S. Steel ended the year with a $920 million net loss.
Last April, the United States’ forest industry closed mills as furniture sales fell 66 percent, and tariffs imposed by the US-China trade war have raised costs while reducing wood harvest and lumber production.
Trailer sales haven’t decreased despite steel and wood shortages. When you add in a booming RV industry as cooped-up families seek safe ways to travel, as well as an exploding housing market (new homes cost $4,600 more in October than they did at the start of the pandemic), it’s easy to see why prices are rising as so many industries compete for limited supply and labor.
That was a brief and broad assessment of the current situation, but supply and demand are the only factors that matter. We despise turning away potential customers or informing them that we won’t be able to provide them with what they want when they want it at the price they want. We’ve always been recognized as the bespoke trailer dealer, capable of turning our customers’ wildest fantasies into reality.
Manufacturer lead times are now double, quadruple, or even more than they were previously! Some trailer manufacturers aren’t even making particular sorts of trailers right now, and the majority are focusing on conventional models that they can create and transport fast in order to keep up with demand. Custom choices are even more difficult to come by, so if you can get by with a simple trailer with standard amenities, you’ll have a far greater chance of acquiring it sooner. Be prepared to wait considerably longer if you require customization.
We’re adapting to the pandemic and working through the issues our industry is facing, just like everyone else. It’s not unique to our dealership or the trailer industry, but we’ve managed to keep our prices low without overcharging our clients. Manufacturers must raise their prices when suppliers raise theirs, which implies we must raise ours as well, or we will not be in business for long.
We will never take advantage of a consumer, but we do want you to be knowledgeable about the industry so you can make an informed decision. As a result of supply chain issues that result in product shortages and longer lead times, there is increased buyer rivalry for the limited product that is available.
What is the reason for the high cost of trailers in 2021?
Fleets ordering new box trailers this fall, particularly dry van or refrigerated units, may face sticker shock and a long wait.
Strong equipment demand, volatile commodity prices, and labor shortages have made it extremely difficult for trailer manufacturers to source materials, plan production, and set stable prices for 2021 and 2022, according to executives at four of North America’s largest trailer manufacturers and an industry analyst.
Do utility trailers lose their value over time?
Understand that if you use a simple trailer off the lot as is, it will likely lose value rapidly. Fortunately, there are a few things you can do to help preserve the value of your trailer and maintain it in good condition for years to come.
To begin, choose a high-quality undercoating. These shield the trailer’s bottom from salt, gravel, dirt, and even heat, lowering the chance of rust. You can imagine how critical this is, particularly while traveling in Michigan during the winter.
Next, think about upgrading the construction of your trailer. A heavier gauge aluminum for the walls and floor, premium paint, and 12-inch spacing for the studs in the walls, floor, and ceiling are all popular improvements. All of these things help to strengthen the trailer’s structure and make it more rust-resistant.
Is it worthwhile to invest in aluminum utility trailers?
Yes, aluminum utility trailers are an excellent investment. They are ideal for both personal and professional use. These utility trailers are known for their lightness, as well as their stability, solidity, and quality.
Aluminum is a metallic element that is produced at a rate of 29 million tons per year around the world. Because around 25% of the material is recycled, it has been found to be cost-effective when used in small amounts. It’s especially well-suited to light and compact trailers that transport low-volume cargoes.
The material is not as strong as steel and has less flexibility. This indicates that the aluminum will bend more under the same strain and will be unable to efficiently withstand the amount of high load. This material is also unsuitable for long-distance cargo transport since it fatigues and spoils more quickly than steel.
Aluminum has become a popular material for use in low-cost homes and trailers since it is recyclable.
Do you want to know why you should choose an aluminium utility trailer?
We’ll tell you in a nutshell:
- Greater resistance and rigidity due to its robustness. Aluminum has a higher strength than fiber. This is a huge benefit for towing because the load is less damaged and inconvenient. Furthermore, because to its flexibility, aluminum has a larger capacity for receiving impacts, resulting in less wear on the trailer.
- Aluminum is a practically fire-retardant substance, which means it will not burn in the event of a fire.
- Simple repair: In the event of impact or deformation damage, the repair is straightforward, and the properties are quickly recovered.
- Greater sun resistance: It’s a substance that can withstand a lot of exposure to the sun.
- Aluminum does not require any additional treatment because it is an anti-corrosive substance.
- Reduces the vehicle’s tare: Because the density is low, the trailer’s tare is reduced, allowing more goods to be carried.
- Emissions reduction: because the trailer is lighter, the vehicle hauling it spends less time on the road, resulting in lower usage per kilometer.
- Aluminum has a longer life since it is more robust and easy to repair.
- High flexibility: due to its qualities, it can easily conform to various shapes, making it a material that may be utilized in a variety of trailer applications.
- Aluminum is a high-value commodity that can be recycled over and over again. Furthermore, recycled aluminum retains all of its qualities, saving 95 percent of the energy consumed.
Which are better: Aluminium or Steel utility trailers?
Each type of metal has its own set of benefits and drawbacks, which are easily translated into the type of final product that they are used to producing, in this case, trailers. Knowing and comparing the advantages and disadvantages of galvanized and aluminum trailers allows any towing enthusiast to make an informed decision about which to buy.
Let’s look at the primary distinctions between aluminum and steel trailers in the table below.
When is the ideal time to buy a utility trailer?
After show season and before the first great weather of Spring in the Northeast, trailer sales are quiet. When it comes to car sales, the slowest period is normally after New Year’s and into January.
The slowest sales period is the off season, which is usually the best time to buy because there are pressures and incentives to shift the merchandise. As additional foreclosures and job losses compel the sale of personal belongings, the economy will alter.
I’ve seen that the advertising prices and the real sales prices varied in private equipment sales. In a less economically disadvantaged area, an item sold in a depressed area may not command the same price. Pricing in Minnesota may be greater than in Indiana or Michigan, which are now depressed.
A few trailer sales companies have told me that their businesses are hurting. This summer, two of our local RV dealers closed their doors. On their unsold inventory, several largedealers are paying a significant amount of money in monthly installments.
Dealers are less likely to be able to make some of the deals that may be obtained through private sales. My previous two trailers were purchased at a great discount through private sales. If you can connect with repo sales, you can get some good offers. HTB has been successful, but others have struggled to recruit the proper individuals.
Because the cost of raw materials is rapidly rising, new equipment will become more costly. Now is the perfect time to buy leftovers or secondhand items.
Why are the costs of semi trailers so high?
Throughout the supply chain, including the raw materials and parts needed to produce new Class 8 trucks, the COVID-19 outbreak caused shortages and delays. Meanwhile, the need for new trucks is increasing. According to FTR Transportation Intelligence, almost 42,800 new trucks were ordered in January, rising 144 percent over the previous year.
The secondary market for secondhand trucks has grown as more trucking businesses seek to purchase cars and manufacturers struggle to keep up. However, when the pandemic passes, there is hope that the supplies needed to make new vehicles will return to normal levels, however the price of used trucks may take some time to recover.
Surprisingly, it’s one of the tiniest parts that’s slowing down production. Computer chips, which are utilized in both tractors and passenger vehicles, are becoming scarce due to a deficit in the semiconductor supply chain. The average tractor can use 15 to 35 chips, but due to pandemic-related delays, two plant fires, and congested West Coast ports, availability has been drastically reduced.
While wiring harnesses, foundry parts, axles, and tires can be added after a truck has been completed, a lack of microchips can cause the entire assembly to slow down. Due to these obstacles, as well as a surge in new orders, the market has become uneven.
The reported backlog of trucks ordered and waiting to be built as of March 1 stood at 228,000. If no more orders were placed, it would take about a year to clear the backlog at the current build rate. Staffing is also a part of the problem. Manufacturing workers’ ability to be on-site was disrupted by the COVID-19 pandemic, resulting in a labor shortage.
What is the source of such exorbitant camper prices?
During the COVID-19 outbreak, the RV industry surged. While travel restrictions remained in place, many people yearned for any chance to leave the house. As a result, recreational vehicles presented a ray of hope for individuals seeking a safer mode of transportation.
In 2020, the demand for self-contained travel pushed the RV sector into overdrive, with record numbers of travelers purchasing or renting RVs. The RV sector was affected by pandemic-induced shutdowns, which resulted in supply shortages and price rises.
As a result, the cost of RVing in 2021 was considerable. But what about the year 2022? Will this be the case in the future? We’ll try to debunk a few things if you join us in gazing into the crystal ball.
When it comes to utility trailers, how long should they last?
Your utility trailer will stay in outstanding shape if you maintain it on a regular basis. Depending on the frequency and type of use, a well-maintained trailer can last 15 years or longer.
Do utility trailers have any resale value?
Consider all of the applications for an open utility trailer, or all of the uses for an enclosed box trailer…
Do you need more space to store your furniture or sand toys? Will you require the trailer for business purposes? How far will you have to travel with the trailer?
If you are relocating from California to Florida and will require a trailer to transport your belongings, you may believe that your one-time need for a trailer warrants a trailer rental rather than a purchase…
This, however, is not the most cost-effective strategy! Many trailer rental companies charge by the mile, so renting a trailer could end up costing you half as much as buying one! That means you’ll have paid for half of the trailer and then be forced to return it with nothing to show for your hard-earned cash!
Unlike a new automobile, which has a sticker price that drops a few thousand dollars the moment it’s driven off the lot, trailers keep their value and resale value when it’s time to sell. Trailers, unlike cars, do not have a brake system “Used trailers in good condition tend to be priced similarly to new trailers, according to the Blue Book. What this means for you as a potential buyer is that if you buy the trailer and take care of it, you’ll be able to resell it for a fraction of the price you bought! By the time you sell it, your entire investment will be less than a rental!
If you’ll need a trailer on a regular basis (even if it’s only once or twice a year), investing in a high-quality trailer is the way to go. Investing in a good trailer, whether an open utility or an enclosed cargo trailer, will save you time and money on maintenance and repairs “You’ll save money on rent by renting a low-cost trailer instead of spending double the trailer’s value in regular rental costs!
When should you rent a trailer?
If you simply need a trailer for one day for a project and don’t want to deal with the hassle of keeping or selling a trailer you don’t use often, renting is likely to be the most cost-effective and convenient alternative.
Learning to Spot a Quality Trailer
A trailer is a wonderful investment that retains its worth when it is designed by professional engineers using high quality materials; however, when that quality is reduced for cost, it means more bother and aggravation for you as the owner!
Are you ready to purchase a trailer right now? Norco Trailers has a large inventory of high-quality trailers in Southern California… Over 300 trailers are now available for purchase!
What is a trailer’s useful life?
A trailer’s average usable life is 15 years. Utility Trucks: These vehicles have truck chassis cabs with various bodywork attached, such as boxes, tool and storage beds, and so forth.
How long does an aluminum trailer last?
It’s critical to do your homework before purchasing a trailer. One of the most common and crucial inquiries we receive is, “What is the average lifespan of a trailer? That is entirely dependent on the trailer’s quality, kind, and how well you maintain it. However, we estimate that a high-quality enclosed trailer will survive 10 to 15 years on average.
We provide a large range of high-quality open and enclosed trailers at TP Trailers & Truck Equipment; in fact, they’re our namesake products! In today’s article, we’ll delve into this important subject and offer advice on how to get the most out of your new trailer. Find out more about the issue “What is the average lifespan of a trailer? or contact us immediately to purchase yours!