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Bloomberg, citing new data from analytics firm IHS Markit, said the age of cars and light trucks increased by .20 years from 11.9 years in January 2020 to January 2021.
"There doesn't seem to be a loser here. New vehicles win. The aftermarket wins," said Todd Campau, IHS Markit's associate director of aftermarket solutions. "The older the vehicles are, the more opportunity there is that they are reaching the end of life, which feeds new vehicle buying."
A global semiconductor shortage could be the reason why people are keeping their cars and trucks longer as the availability of new supply dries up, forcing used car prices to jump in May. Used car prices are now up 16.6% year-to-date (ytd) and according to the Mannheim Used Car Index, which is up 26% YTD and 48% Y/Y, it's set to keep rising.