One is decreased COVID-related supply chain disruptions. That’s the bottom line.”īraswell credited the improvement to several factors. “We’ll just have to see how it goes along. “We’re expecting things to probably be trending along the same lines for the next quarter or two,” he said. Parts and labor rates should remain above pre-COVID levels until inflationary pressures diminish. He believes pricing will be similar in the near term, assuming inflation doesn’t spike and major disruptions don’t occur. “If you compare to where we were several quarters ago, we’re finding that parts and labor costs across just about all the VRMS system categories that we track are lower,” he said. Robert Braswell, TMC’s executive director, said the trend is improving after reaching its worst point during the last three quarters of 2021. Year-over-year, combined parts and labor costs rose 5.57%, which was much less than the 15% increase of a year earlier. Labor costs fell 0.8%, the first decrease in four quarters. Parts costs fell 1.6% in the second quarter following a 0.4% decrease the quarter before. That followed moderate increases of 0.8% in the first quarter and 0.9% in the fourth quarter of 2022. The report found that combined parts and labor costs across 25 VMRS categories were 1.3% lower in the second quarter than the first. That good news comes after a sustained period of rising prices and sometimes limited availability.

Industry leaders are pointing to several positive indicators that have caused a drop in aftermarket parts prices in the second quarter of 2023 from the first quarter, according to the findings from the Decisiv Vehicle Maintenance Reporting Standards System Service Data Quarterly Report. Aftermarket parts costs have fallen after several years of increases due to supply chain and labor improvements.

Metal rose puzzle