High Cost of New Truck Engine Emission Law Technology Drives Used Truck Purchases

SALT LAKE CITY, July 8, 2011 /PRNewswire/ -- The recent increase in used truck purchases is likely due to the high cost of new technology needed to comply with EPA emission regulations and the inability for most OEMs to build trucks in a timely and cost effective manner.  

Mike Roney, founder of Used Truck City in Salt Lake City, UT, has been selling used trucks for over 20 years and suggests, "Now is the time to buy used trucks because they are not making EGR technology engines anymore.  We have the equipment and financing from conventional truck lenders is back in full swing.  First time buyers with a strong upfront investment are acquiring loans for 2009 trucks with miles in the 300,000 range at about $40,000 less than a new truck."

The used over-the-road truck market is extremely popular for owner-operators as well as small and large fleets as the cost of new trucks with SCR technology has soared past the $130,000 mark.  "The cost of this technology is very expensive and only moderately tested on the road.  It's completely unnecessary for those who don't drive in California," states Mr. Roney.

The EPA granted a Clean Air Act waiver of preemption to California that allows the state to implement its own greenhouse gas emission standards.  Older engines entering the state by port need to be retrofitted according to a specific timeline.   However, all 2007 engine technology (EGR/DPF) is acceptable until December 31, 2021.  At this time, 2010 engine technology (EGR, DPF and SCR) is sufficient with no ending date.  

To enter the state of California by road with an older EGR technology engine, a request for a one-time voucher for 3 days access must be made.  This option ends December 31, 2011 for 2002 or older engines, December 31, 2012 for 2003 engines, and so on.  

Used Truck City has over 200 trucks consistently arriving with EGR low mileage engines (2003-2006) and (2007 -2009 EGR/DPF) to fill orders that many used truck centers can't fill.  Mr. Roney concludes, "Considering a 2006 engine in a 2007 truck will be suitable until December 31, 2014, it just makes sense to save thousands of dollars by purchasing a used truck instead of new."

SOURCE Used Truck City