If you’re in the market for a new truck, you’ve likely experienced sticker shock. New trucks are increasingly expensive and can cost as much as $100,000.
To make an informed purchase, you’ll need to understand what drives up the price. Then you can determine which extras, if any, are worth it.
Americans love buying trucks but faced with the high prices of a new truck, and many are turning to used trucks. Typically, used cars are cheaper than a brand-new one, but nowadays, even a used truck can be expensive. Here’s why that might be happening.
If you ever visited a showroom and ever wondered why trucks are so expensive, this article is for you.
Nowadays, a truck can cost you up to $100, 000. This trend has risen from the new features included by truck manufacturers.
So, why are trucks so expensive? This article focuses on some of the extras that a truck may have. You can decide which of these features is important for you before spending on it.
The Great Recession
Just over ten years ago, The Great Recession swept the globe and caused an economic downturn that hasn’t been seen in a long time. Many areas of the economy were affected by this, but the auto industry took a big beating compared to other industries.
Because of how important cars are to everyday life, The Great Recession hit every area of the auto industry.
People were simply not buying new cars, and if they were, they were avoiding large vehicles like SUVs or trucks. If they had a truck, they’d drive it less often too, because gas prices were higher and the average truck’s poor fuel economy just wouldn’t cut it.
Fewer people buying cars meant that automakers had to make fewer cars, according to Reuters.
Surely enough, the auto industry faced a full-blown crisis, and it required the U.S. government to bail the industry out.
But of course, things recovered, and the American auto industry returned to good form in a few years. However, the effects of that cut in their car production are still felt to this day.
Modern Used Trucks
Consumers who are shopping for a used truck nowadays might notice that a 10-year-old truck is still very expensive.
Of course, prices will vary, and there are still cheap pickup trucks on the market, but the general trend is towards a more expensive used pickup truck. For example, according to Reuters, the average price for a used vehicle from 2010 has risen by 75% compared to 25% for a new vehicle.
Reuters also mentioned that the number of used vehicles that are listed at under $10,000 from The Great Recession era has been declining, whereas the demand for those vehicles hasn’t.
These facts apply to cars as a whole, but it’s even worse for trucks. Carmakers didn’t stop making cars during The Great Recession, they simply prioritized cars that we’re selling, and those tended to be small vehicles.
Because of that, fewer trucks were made from that era. Fast forward to the present day, and those trucks are now in the used car market.
But because a lot of people want a used car, the supply of used trucks from that era can’t meet the demand for them. The result of this is simply higher used truck prices.
Just like The Great Recession, Reuters believes that this stark increase in the used truck and used car prices will correct itself in a few years. The main reason why used trucks cost so much is that there aren’t many trucks from a decade ago due to the automakers cutting their production.
However, after the bailout, consumers started buying cars again, and automakers started making more vehicles again to meet that demand.
Compared to The Great Recession era, there are likely far more used trucks from the years that came after The Great Recession.
According to Reuters, used trucks should start to cost less as the trucks from 2012 and beyond start entering the used car market.
Reuters thinks that by 2022, used trucks might be affordable again. However, that’s not a guarantee by any means. Reuters thinks that the used truck prices will rebound because there will be more used trucks available from ten years ago in a few years. But if another recession hits, then truck prices, both for used and brand-new ones, will likely go up, or at the very least, stay expensive.
Why Are Trucks So Expensive?
There is a consumer outcry for cars that save more on fuel. Also, governments are coming with stringent rules on emissions. Thus, manufacturers are now making more fuel-efficient vehicles.
To make this possible, manufacturers have also come up with more options. As an example, turbo-diesel and hybrid trucks are fuel-efficient. Also, manufacturers are focusing more on making turbocharged trucks.
You should expect to pay higher if you would like a more fuel-efficient truck. It \’s a consumer’s choice on whether or not they need a vehicle with these features. It \’s an honest investment within the end of the day.
Truck manufacturing companies try to form their trucks safer. They are doing this by packing in additional driver-assistant technology. A number of these new features aren\’t easy to embed into vehicles. Meaning they \’re going to impact the ultimate cost of trucks.
Some of these technologies include brake, parking, and lane assists. Others include forward collision warning and adaptive control. Although every manufacturer will brand these inventions with unique names, there are not any significant differences between them.
It may be impossible to shop for an inexpensive truck. The United States government ordered car manufacturers to incorporate cameras into their truck manufacturing. These features were to get on trucks that the manufacturers manufactured starting May 2018.
With these additions, manufacturers won\’t sell new models at equivalent conventional prices. Consequently, you \’ll need to pay more for them. The more safety technology a car has, the more you’ll buy it.
It is also important to notice that these new technologies are getting to do better than bad for us. As an example, brake assist is often a strong piece of technology. This technology comes in handy, especially if you would like to require an emergency halt to avoid hitting an individual or car that crosses the road.
However, other things are essential but not necessary. A number of these include parking sensors. If you \’ll do without a number of these technologies, you \’ll save on the value by buying a truck that has what you’ll need.
Trucks also are getting enhanced technologically. Nowadays, most of them are coming with touchscreen capabilities. It \’ll be a superb feature for you if you wish technology. But you ought to expect these features to possess cost implications also.
Most of the older trucks lack good entertainment features. As a result, they cost cheaper than the present set of trucks that have these new features.
A good example is Ram, which has come up with a replacement truck model referred to as the Ram 1500. This new model has a superb interior with a 12-inch touch screen. As a result, it costs above its predecessors do.
Something else which will affect the pricing of the latest trucks is that the audio system feature. You won’t get an honest audio system on old truck models. Still, almost every manufacturer is functioning towards making trucks with better packages.
These may include an audio system and good quality interiors. These additions will cause a rise in price.
Moreover, some older truck models may accompany speakers, but four or five of them. Newer models accompany between 10 to twenty speakers that translate to raised sound quality.
Without a doubt, you \’ll find yourself paying extra for such trucks since more features mean a far better experience and a better price.
Aluminium Body Panels
Aluminium may be a better material than steel, and it \’s much lighter compared to the latter. Not goodbye ago, Ford decided to manufacture one among its truck’s bodies using aluminium. That had to affect the ultimate cost of the truck because aluminium may be a more advanced material than steel.
Besides, it \’s much lighter. Consequently, your vehicle also feels much lighter, even when carrying heavy loads.
Other than weighing less, aluminium also doesn\’t corrode. Unlike steel, you are doing not expect aluminium to rust. Steel doesn\’t remain in fine condition after coming into contact with elements like water.
A good case may be a comparison between a Ford and Chevy floor commercial. The ford floor didn\’t last as long because the Chevy steel floor did. Meaning that steel also has its advantages and a steel made car could also be expensive despite being heavy.
Although every manufacturer wants to form a sturdy vehicle, they still use aluminium. But, to make sure the trucks are still durable, most manufacturers like Chevy and Ram now use aluminium.
They indeed use it to form small truck body panels like doors, hoods, and tailgates. However, it still adds up to the entire cost of the car at the end of the day.
Aluminium makes trucks expensive when utilized in manufacturing. Also, aluminium panel repairs are costly. It should tell you ways much of a downside it is often to shop for a truck that has aluminium-made parts.
The cost of repairing an aluminium body is above if you \’d be trying to repair a steel body. Even in markets, steel costs less than aluminium.
Steel features a high corrosion rate. Within a couple of days, your truck may show signs of rust and appearance unattractive than once you bought it.
No one wants their car to seem old and rusted a couple of days after buying it. As a result, you \’ll get to buy a vehicle that has aluminium parts. You \’ll trust it to seem better even after getting exposed to corrosive elements.
Back to repairs, aluminium doesn\’t revisit to its original shape. For this reason, you \’ll take tons of your time and energy to urge it back to the factory shape, especially after a crash happens.
The more effort and time you \’ll fancy repair affect the ultimate cost of the repairs. You \’ll need to pay an arm and a leg to urge aluminium repairs. These make the upkeep costs of aluminium made trucks high.
Most medium-sized to large trucks accompany towing parts. These parts enable you to haul heavy loads. There \’s a requirement to form towing truck parts reliable. Ensure they will handle immense pressure, like pulling heavy loads and towing cars.
The quality of fabric for creating towing parts pushes manufacturers to boost prices. It \’s unlike when making cars that only ferry people from one place to a different.
Also, the towing components include the body chassis. A truck must have a sturdy chassis for it to tow heavy loads. If it \’s weak, heavy pulling of loads could also be a large order altogether.
Most of the components of trucks that will tow heavy loads should even be sturdy. Restraint and suspension components need to be thicker to support such functions.
Moreover, if they get damaged due to pulling heavy loads, replacing them is additionally very costly. On the opposite hand, acquiring individual parts is additionally costlier. Which will impact the ultimate cost of the track, and you \’ll need to pay quite you expect.
Most of the trucks currently within the market have large wheels. Other trucks accompany chrome or painted wheels. As a result, they \’re going to find yourself costing quite older truck models that accompany smaller wheels.
The reason why large wheels are expensive is not rocket science. It takes more materials and time to form them, and therefore the end consumer must pay the worth.
Nowadays, trucks accompany a beautiful finish that traditional models didn\’t have. The new wheels with a finish will cost much above the traditional ones. Older wheels have generic black or silver steel wheels. These escalate the worth of the trucks.
Also, truck manufacturers are now looking into using different alloys to form wheels. As an example, most of them are using aluminium to form attractive wheel rims.
Aluminium costs much above many other alloys or metals. Meaning the wheels will cost quite you \’ll expect.
Traditional wheels have always been black painted. That \’s changing by the day, and now wheels are chrome painted. Painting wheels black can take a way shorter time than it might fancy come up with chrome painted wheels.
Besides, it \’ll cost more to colour wheels chrome than using black paint.
One reason is all of the additional technology that is packed into new trucks. We are talking about panoramic sunroofs, massaging heated & ventilated seats, 12-inch infotainment screens, powered retractable side steps, 19-speaker stereo systems, and more.
The safety standards are becoming more stringent. Pickup trucks are relatively heavy body-on-frame vehicles. It costs a lot of development dollars to get all of the crashworthiness into the platform and include active driver assistance systems.
Fuel economy and emission standards are also getting tougher to meet. Manufacturers invest a lot of money into new powertrains systems and light-weight body construction.
Manufacturers market and advertise the trucks with all of the available optional features. Trucks continue to gain in popularity, and the demand is high. All these factors contribute to ever higher pickup truck prices.
On the flip side, new pickups are getting more comfortable, more capable, safer, and more fuel-efficient than ever before.
The truck is truly a do-anything vehicle. You can take a luxury truck to a nice dinner, park it in front of a nice hotel, but also take it to a home improvement store to load up on materials and supplies.
You can tow a heavy trailer or bring a lot of gear with you. Of course, you can take your truck off-road to a remote place, or drive it on a daily commute in comfort.
All of this capability costs money, but it also offers great value and usability.
With the quality of trucks changing every other time, their prices may also not remain the same. Nowadays, manufacturers are developing these features and much more. Also, they are integrating them into their manufacturing process.
Acquiring materials for advancing these trucks can cost a lot of money. It can also take a lot of time. As a result, you will pay more to get a truck with security, fuel efficiency, and other luxury features.
With the standard of trucks changing every other time, their prices can also not remain an equivalent. Nowadays, manufacturers are developing these features and far more. Also, they \’re integrating them into their manufacturing process.
Acquiring materials for advancing these trucks can cost tons of cash. It also can take tons of your time. As a result, you \’ll pay more to urge a truck with security, fuel efficiency, and other luxury features.