Vehicle maintenance expenses declined in CY-2020 primarily due the COVID lockdowns, but are trending upward in 2021. The forecast for CY-2022 is for maintenance costs to further increase due to higher labor rates and tire expenses.
New Vehicle Shortages Puts Emphasis On Increased Fleet SMR Schedules
The ongoing semiconductor shortages, with the resultant delays on new vehicles, is impacting fleet replacement cycles. As a result, many fleets are now facing lifecycle extensions as shortage of replacement vehicles becomes a pressing issue, which in turn places a premium on Service, Maintenance and Repair (SMR) schedules.