Diesel demand and shift to WLTP boost used car market
The used car market remained steady in August, including for diesel vehicles, while the move to the new Worldwide harmonized Light Vehicles Test Procedure (WLTP) cycle could bring a further boost in the coming weeks.
So says Manheim as its latest figures show volumes rose 1% last month compared to July as the average mileage of vehicles coming through the lanes held below 60k at 59,994.
Average sales prices were down by 11% month on month (to £6,493) due to seasonal pressures but the market was up 3.6% on August last year.
Manheim’s date also showed diesel vehicles continued to make ground despite ongoing market pressures, as average wholesale prices increased by 3.4% on 2017 to £8,335, while petrol also remained positive, up 6.1% to £4,730.
Manheim parent, Cox Automotive also said used car demand looks set to stay strong for the coming weeks and months – in line with some industry views that the 1 September switch to the new WLTP cycle could boost used values.
The firm’s Philip Nothard said the company has seen a 2% increase in sales in the first week of September alone.
He added: “We also expect that the supply shortages in the new car market, caused by the pressures of the WLTP regulations, will help increase demand in used cars for the short to medium term, potentially beyond the year-end.”