Semi-trucks are undoubtedly a crucial part of any transportation business. But before one decides to invest in a transportation business, there is one question that needs to be answered first, just how much does a semi truck cost?
While the simple answer to this is somewhere between $100,000 and $200,000, it is much more complicated.
Many things come into play when answering such a complicated question such as where to buy semi, from which company, what brands, etc.
Sure, it might seem like a simple, straight enough question, but only to those who are new or unfamiliar with the transportation industry.
Understanding The Cost of Semi-Trucks And The Factors That Influence Their Pricing
As already stated, the answer to the question is understandably complex as many parts influence the question – first, the semi-truck model.
Then there is the loading capacity and the trailer attached to it. And lest we forget the state of the semi-truck, whether it is new or second hand.
As one can see, a more in-depth analysis is the need of the hour. So, let’s get onto how much a transport truck costs:
1. The Cost of a New Semi-Truck
Undoubtedly the best place to start would be from the pricing of a new semi-truck in the market. Anyone foraying into the transportation business or wanting to add a couple more semi-trucks to their fleet must consider buying a new semi-truck.
The reason for that is pretty simple. First, the new semi-trucks would not have suffered any degradation that is part of the standard usage. Second, the maintenance charges the operator would incur would be pretty low.
The combination of the above-mentioned factors makes purchasing a new semi-truck the ideal choice. Now, onto the cost of new semi-trucks. A new standalone semi-truck would cost anywhere between a hundred and two hundred grand.
Model of a Semi-Truck and Its Price
Yes, the prices vary this much due to the different models that are available in the market right now. There are also additional benefits that one can choose that can substantially drive the price of the semi-truck.
However, you might have noticed that these figures do not include the cost of a trailer in the mix. And you are right; these prices are only for a new standalone semi-truck.
For a trailer, one might be expected to shell out an additional $50,000 to $100,000, depending on its type.
So, as one can calculate for themselves, the price range of a fully functional semi-truck that can operate on American roads would be anywhere between $150,000 and $300,000.
Naturally, you would need to look at your actual requirements and then determine the right semi-truck for you. But this is the price range that you can expect.
Benefits of Buying a New Semi-Truck
Now, if the cost of buying might have stumped you and even encouraged you to look for other avenues, then that’s all right!
But it would be best if you look at the benefits of buying a new semi-truck, so you can make an informed decision that is best for your business. Here are some benefits of investing in a new semi-truck:
- Longer Lifespan
If you are investing in something new, you would expect it to have a better lifespan, especially compared to the used models. Semi-trucks are no different in this category.
A new semi-truck could easily last you 15 to 20 years without any issues, primarily if it has been adequately maintained.
- More Economical in The Long Run
Yes, the initial investment in a new semi-truck might seem massive, but in the long run, the new semi-trucks are a money-saver.
One reason is their mileage, which would be substantially better than any of the already in-use semi-trucks. This naturally lowers their operational costs.
Second, they do not require much when it comes to maintenance. This only adds to the money saved compared to if one decided to invest in a second-hand semi-truck.
- Tax Deductions
Something many might not have noticed at first, but the investment in semi-trucks also has other financial benefits, and one among them is the tax deductions. The depreciation helps offset taxes, which is undoubtedly a piece of good news for businesses.
- Peace of Mind For The Operator
In addition to the financial advantages that are present for the owner, there is also the benefit of the operator of having peace of mind.
A new semi-truck is less prone to breakage, encouraging the driver to push the vehicle to its limits without worrying about a sudden breakdown in the middle of nowhere.
The operator can make the deadline, saving themselves from the hassle of being yelled at by angry customers.
Additionally, the management does not have to worry about spending huge chunks on emergency repair or even concern themselves with frequent delivery delays and losses because of it. These are all benefits of investing in a new semi-truck.
2. How Much Does a Transport Truck Cost, Used?
Even though we have pointed out how much investing in a new transport truck is better for businesses, that does not mean there is no room for used semi-trucks in the haulage industry.
There are many benefits of opting for used semi-trucks for transportation operations, mainly if they can be acquired at optimal pricing.
But first, the question that is already on everyone’s mind – how much would a used semi-truck cost in the current market?
The answer to that is anywhere between $35,000 and $200,000. The older the model is, the lower the market value will be.
Many factors affect the price of a used semi-truck – the years it has been in operation and what is its current condition are the more prominent.
The second is its make and, finally, whether or not it is still in usable condition. The last one is especially critical as one would not invest in a semi-truck to spend more on repairing it.
Benefits of Buying a Used Semi-Truck
It might not seem that way initially, but there are a couple of benefits that can encourage one to invest in a used semi-truck rather than purchasing a new one from the showroom.
- Significantly Cheaper
One of the most significant advantages of using semi-trucks is their pricing. Used semi-trucks are significantly cheaper than the new models that one can purchase.
This can be enough of the reason for a business on a tight budget to invest in used semi-trucks.
- Lower Depreciation
With used semi-trucks, one does not have to worry about the vehicle’s depreciating value. There is only minimal depreciation for a used semi-truck.
- Lesser Risk
It is something that can be a massive point for consideration for new businesses or even transporting businesses that are expanding.
Since the upfront capital that one has to pay is minimal at best, and the depreciation is not that much, investing in used semi-trucks is a low-risk investment.
Additional Costs That Need Consideration While Buying Semi-Trucks
The matter of the cost of a semi-truck does not just end with the purchase of one, whether a used one or a new one. Several other factors might influence the financial aspects of one’s operation and hence need one’s consideration.
1. Fuel Costs
Fuel costs in naturally the very first thing that one needs to consider, in addition to the pointers mentioned above, in deciding which semi-truck to purchase.
However, the choice is not so simple when it comes to new semi-trucks as well. The used models have poor mileage compared to the new ones.
You will find that there are many different semi-truck models, some with better mileage than others, while the others have a longer lifespan.
2. Repair/ Maintenance
There is also the need for repair and maintenance that one must consider while making their purchase.
Usually, new semi-trucks do not require much maintenance and would even come up with free maintenance for a specified period. However, the same cannot be said about the used semi-trucks.
In the case of used semi-trucks, even when they are in sufficiently good condition, they would require regular repair because of their heavy usage. It naturally influences their operational costs and makes them a more expensive purchase in the long run.
3. Insurance
Insurance of the semi-trucks is one of the significant operating expenses that any logistics company has to incur. Regardless of the size and capacity of the semi-trucks, insurance is a must for them to legally operate on American soil.
In the case of new semi-trucks, the insurance amount would be on the higher end because they are costly to repair. Whereas the used semi-trucks would cost less depending on the state they are in and how old the model is.
4. Miscellaneous Expenses
There are other expenses that one might need to consider before deciding on the semi-truck they want to buy.
Costs such as licenses, permits, and taxes only add up to the initial purchase cost of the semi-truck – something that one cannot simply ignore.
Conclusion
Investing in a semi-truck is not a light decision that anyone can make without much thinking. It needs careful and considerable thought, especially regarding the financial implications. Luckily, now you know how much a semi-truck costs, even if the answer is a bit more complex than you might have thought.