October 2024 – Buy or Die an In-depth Look at Dealers Buying Equipment During a Downtime

As we wrap up the week at the 2024 International Manufacturing Tool Show, it’s evident that machine tool sales—especially CNC machines—are slow. However, dealers are on the hunt, looking to buy. If you’re a seasoned dealer, you’ve likely experienced this before—the ups and downs that come with selling used equipment. The years 2021-2023 were some of the best ever for purchasing equipment, thanks to international supply chain disruptions caused by COVID-19, which led many to buy used and surplus equipment domestically. Manufacturing surged again as the economy rebounded from COVID, but as the old saying goes, nothing lasts forever.

Talking to dealers at the show, most agree: it’s slow right now. Why? Let’s take a look at the economy. The markets had a pretty lackluster summer. Interest rates are hovering above 6%, but we’re beginning to see the first rate cuts. The job market has slowed to its lowest point since December 2020, with 24,000 jobs lost in manufacturing this August alone. Add to that the uncertainty of an election cycle—people tend to hold off on purchases, waiting to see what demand might look like under a new administration.

So, what does “Buy or Die” mean? As any equipment dealer will tell you, when you’re not selling, you better be buying! The current economic slowdown offers a unique opportunity for machinery dealers. With the market in a downturn and many businesses looking to offload equipment, there are deals to be had. This is the ideal time to buy used equipment at lower prices, repair or refurbish it, and prepare for when the market conditions improve.

And make no mistake, the market will rebound. By choosing to buy used equipment now, seasoned dealers can prepare to capitalize on future opportunities. They’ve seen it happen before, and they know the importance of acting now. When the economy picks up, those who have invested in quality used machinery will be in a prime position to meet the renewed demand.

If you want to finally sell that one machine, or motor or transformer, breaker, process equipment, etc… Go ahead and scan the QR Code below to make a free post of your equipment for sale in less than 3 minutes so a dealer can view it and buy it from you!