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IronDirect Advantage: New Tier 3 Machines Available Through 2018

Many equipment buyers and fleet managers have been reluctant to dive into purchasing new Tier 4 compliant construction equipment due to purchase cost, maintenance complications, and concerns over resale value. IronDirect offers customers a respite with new Tier 3 excavators, dozers, and wheel loaders, available throughout 2017 and into 2018.

“IronDirect will continue to sell new Tier 3 machines, which have major cost advantages and less complicated maintenance routines,” said IronDirect President Tim Frank. “This is great news for equipment buyers, since it will be easier to eventually resell these machines on the global used equipment market.”

Eight models of Tier 3 Lonking excavators are available from IronDirect.

The U.S. Environmental Protection Agency mandates that manufacturers of off-road diesel-powered equipment meet stringent emissions standards. These Tier 4 machines use exhaust after-treatment technologies to vastly reduce pollutants emitted back into the air. Many equipment manufacturers have fully implemented Tier 4. Others, including IronDirect brands Lonking and Shantui, are using EPA credits to continue selling Tier 3 machines as they implement the new standards by the end of 2018.

Kevin Tanner, IronDirect engineering manager, explains that Tier 3 machines are easier to maintain because they don’t have exhaust after-treatment systems. “Tier 3 machines don’t have diesel-particulate filters to maintain, nor do they require diesel exhaust fluid,” Tanner said. “They also have less complicated engine electronics. These machines are easier to troubleshoot and maintain.”

All Tier 3 excavators, wheel loaders, and dozers from IronDirect have powerful, fuel-efficient Cummins engines.

The following Tier 3 machines are available at throughout 2017:

The CDM6150 excavator, the CDM835 wheel loader, and the SD10 and SD16 dozers will be available with Tier 3 engines until the end of 2018. IronDirect has other size models of Tier 3 Lonking excavators and Shantui dozers available. Excavator sizes range from 8 to 48 tons. Dozers range to 900 horsepower. For pricing or other information on these other machine sizes, contact Chris Price.

Recent news items demonstrate that Tier 4 technology has not yet been warmly embraced by equipment buyers. A survey done by the Independent Equipment Dealers Association  found that 37 percent of respondents believe Tier 4 machines will not retain value as well as those with non-Tier 4 engines. The survey “found that the Environmental Protection Agency’s Tier 4 emissions mandates for diesel powered off-road equipment are driving up demand for equipment with less complex and less costly exhaust emissions technology,” reported Equipment World magazine.

IronDirect offers new Tier 3 excavators, wheel loaders and dozers with Cummins engines during all of 2017, and for some models, through 2018.

A survey by Construction Equipment magazine found that one in four respondents are not yet purchasing Tier 4 equipment. “Equipment managers continue to be slow to integrate Tier 4-Final machines into their fleets,” wrote editorial director Rod Sutton. “Current machines still have useful life in them, and concerns persist around a generation of upgrades that include new technologies and unknown maintenance requirements.” Nearly half of respondents said higher purchase cost for Tier 4 machines is a concern.

Research done in 2015 by Equipment Watch and the Association of Equipment Management Professionals found half of respondents would not invest in Tier 4 equipment over the next 18 months. Four in ten said they expect higher maintenance costs with Tier 4 machines.

Market analyst Frank Manfredi said Tier 4 machines are not only more expensive, but on the used market they will not be exportable to developing countries without the use of expensive de-tiering kits. “A reduction in exports will result in an increase in the supply of used machines in the North American marketplace of between 15 and 20 percent,” Manfredi wrote in a recent report. “…A surplus of used machines will result in a decline of between 15 and 20 percent in the prices of North American used machines with emissions-compliant engines.”

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Joe Hanneman, Director of Industry Engagement for IronDirect.

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