The price of used LCVs is going to be pushed up in the UK after Ford’s Transit plant in Turkey was forced to pause production because of the semiconductor supply crisis.
That’s according to auctioneers Aston Barclay, which said the closure until June 13 will fuel the ongoing challenge the market faces of demand outpacing supply of used vans, which is forcing prices up to record levels.
Geoff Flood, Aston Barclay’s national light commercial vehicle manager, said : ‘The Ford factory shutdown news is a blow for the new and used market, as it will prevent a supply of much-needed used vans hitting the auctions.
‘Demand for every age, mileage, make and model of light commercial vehicle has been strong over the past two weeks.
‘You can ignore the used value guides, as vehicles are making what dealers are prepared to pay to secure the van.
‘Some vans have gone under the hammer for two to three times reserve, and this trend will continue until such time as we see factories reopen and used supplies improving.’
Five Aston Barclay LCV auctions at Leeds, Donington and Westbury have been held since dealer showrooms in England and Wales reopened on April 12, with conversion rates of between 92 per cent and 100 per cent experienced as prices outpace used value guides.
It said demand for new stock had been high, with physical buyers being welcomed back to the auction halls for the first time in more than 12 months. Some 50-60 physical buyers have been at each sale, with double that number continuing to buy online.
Two highlights were a 55-plate Ford Transit Custom making £1,900 despite being valued at just £600 and a 17-year-old Toyota van with 22,000 miles on the clock that booked at £1,900 but made a whopping £6,250.