In July 2008 more than 242 million cars and light trucks were on U.S. roads – all of them, seemingly, in front of you.
The average age of cars and light trucks in the U.S. has increased to 10.8 years, based on an analysis of national vehicle registration data. Overall, average vehicle age has been increasing quickly over the past five years, according to consultancy Polk.
Passenger cars showed a slight increase in age since 2010, from 11 years to 11.1 years as of the end of June 2011. Light trucks, pickups and SUVs had a more sizable gain in the same period, from 10.1 years to 10.4 years.
Perhaps more significantly for automakers, 2011 ended the U.S. vehicle population decline that has occurred annually since 2008. This worrisome trend meant households were decreasing the number of vehicles owned. According to Polk, the total vehicles in operation – VIO – in July 2011 was just over 240.5 million, an increase of 500,000 units over July in the previous year, and nearly equal to 2009 VIO. The highest VIO on record was achieved in July 2008, when more than 242 million passenger cars and light trucks were on America’s roads. The financial markets collapsed that fall.
The slowdown in the rate of the aging of passenger cars directly correlates to the low sales volumes and the mix of car and truck sales in the U.S. market in 2008 and 2009. While more trucks were sold over the same period, they showed a faster aging rate. Polk expects this trend may change in the coming years as CUV and small SUV populations in the U.S. market have risen in 2010 and 2011. Polk also predicts that the modest rebound in new vehicle sales in 2011 and for the next couple of years will most likely slow down the aging rate seen in the market over the past three years, according to Polk.
“The increasing age of the vehicle fleet, together with the increasing length of ownership, offers significant business growth opportunity for the automotive aftermarket,” said Mark Seng, global aftermarket practice leader at Polk. “Dealer service departments and independent repair facilities, as well as aftermarket parts suppliers, will see increased business opportunity with customers in need of vehicle service.”
