The opening months of 2014 saw the last of the "polar vortex" artic freeze finally ease up throughout North America. While weather was unsettled globally, the impact on the US market was particularly significant, costing the economy over 2 per cent GDP ¹.
The beginning of the year was also a time of radical upheaval for another huge economy: Russia. From the glory of the Winter Olympics in Sochi to the conflict and siege in Ukraine, the turbulence in Russia resulted in a weakened Ruble, and subsequently, a drop in demand for HDD drills.
So where did the drills go in 2014? While Russia remained a notable importer, the top international destinations this year were Canada, India and Mexico. South America also continued to have a strong demand for drills this year, as did Eastern Europe.
While many drills were moving overseas, it was the domestic market that dominated sales this year. Our top-selling models reflect robust North American demand; for the first time in years the highly-affordable, easily-exportable D24x40A dropped out of the top spot. In 2014, the D24x40 Series II was our best-seller with an average sale price of $130,250 USD. The D24x40A captured 2nd place with an average selling price of $26,400 USD, slightly higher than last year's average of $25,750 USD. The D7x11 Series 2 made its first appearance in the top 3, clearly indicating the strength of the fiber demand in the telecommunications industry.
As our year winds up, demand has been driven by the Tax Increase Prevention Act, recently passed by Congress. For USA-based customers, there is a host of exciting tax-saving opportunities for businesses that purchase new or used equipment by December 31, 2014 ². As always, we recommend you consult with your tax professional.
And finally, we here at HDD Broker would like to wish you and your loved ones a very bright and prosperous New Year. We look forward to seeing you in 2015!