Waiting for two years for a machine to come through, with currency and mineral price fluctuations and the political landscape, causes uncertainty and instability.
David Lawry, Owner of Machinery for Africa.
This combination of high capital outlay, long procurement cycles, and economic uncertainty is pushing buyers toward late-model used equipment - machines that offer immediate availability and significantly lower investment requirements. Balancing cost and productivity One of the central considerations in the used-versus-new debate is whether older machines can deliver comparable productivity. Increasingly, the answer is yes, particularly when buyers target low- hour or well-maintained units. Lawry points out that the market offers a wide spectrum of used equipment options, from “really low-hour machines that have come out of rental fleets to machines that have been completely rebuilt and fitted with new components from the original manufacturers.” These options allow contractors to match their operational needs and financial capacity. Larger, well-established companies may still favour new equipment, while mid-tier contractors often opt for premium used machines. “Because of their expertise, their knowledge, and their cash flows, they can afford to buy the better quality used equipment, either low-hour ex-rental fleet machines or completely rebuilt machines and they operate very successfully with that equipment,” he explains. At the entry level, smaller contractors and artisanal miners prioritise affordability above all else. “They need cheap, and they just want to get in,” says Lawry. “They don’t want to spend a lot of money on equipment and often, they don’t have the resources to.”
“For a 20-ton excavator, 3 000 to 5 000 hours is a low-hour machine,” Lawry explains. “But on a 100-ton + dumper, 15 000 hours is not a lot; those machines are designed to work for 80 000 to 100 000 hours.” This highlights an important point: the true value of a used machine lies not just in its age, but in its remaining lifecycle and maintenance history. Component replacement also plays a key role. “If a final drive was replaced 2 000 hours ago, you know you’ve got at least another 10 000 hours left on that component,” he says. Such insights allow buyers to make informed decisions based on long-term performance rather than headline price alone. Assuring quality from inspection to certification As demand for used equipment grows, so too does the emphasis on quality assurance. Buyers are increasingly seeking transparency and reliability, particularly for high-value assets. Lawry outlines a comprehensive approach to machine evaluation, including physical inspections, service record analysis, and oil sampling. “You check for oil leaks, smoke from the engine, and the general condition of the machine,” he says. “Then you check the service records, because these machines should have proper histories.” Advanced diagnostics, such as oil analysis, can reveal internal wear. “If anything is breaking down, you’re going to have metal particles in the oil; it’s a telltale sign,” he explains. For more detailed assessments, Technical Analysis (TA) reports are used. “A TA2 is a comprehensive technical analysis of the machine.” This level of scrutiny is particularly valuable for cross-border transactions, where physical inspection may not be feasible.
Understanding “low hours” and lifecycle value
A critical factor in assessing used equipment is the concept of machine hours, which varies significantly depending on the size and type of equipment.
CAPITAL EQUIPMENT NEWS APRIL 2026 29
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