The Possible Isolating Impact of Tier-4By Frank Manfredi
Article Date: 08-01-2012
Copyright(C) 2012 Associated Equipment Distributors. All Rights Reserved.
U.S. EPA emissions regulations could cause major disruptions in the used equipment marketplace of the future.
U.S. equipment markets finally recovered after the three tumultuous years of the "great recession." Most expectations are that markets will continue improving, albeit slowly, for the next couple of years. Since World War II, every economic recovery has been led by a housing recovery – except this one. The result is a change from the normal consumer-led recovery to an industrial-sector-led recovery, which has meant tepid economic growth. Uncertainty in the future and small job backlogs are causing equipment users to exercise extreme caution before buying equipment. A lot of users are opting to only replace fleet units when absolutely necessary or to rent rather than buy. The recovery of the U.S. equipment markets is tenuous. All the manufacturers and many dealers are concerned about the direction of the market in the second half of 2012. The impact of emissions regulations is one more thing everyone has to worry about.
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