A rental company is considering two machines. A used scissor lift is available locally and could enter service soon. A Chinese supplier offers a new machine; after importing it, the difference in purchase price might be small.
The choice should not be made from the used-unit sticker price and the Chinese ex-factory price. First establish that both machines can do the same work. Then compare their cost over the same holding period and the value of any rentals one machine could start earlier.
1. Make the machines comparable
For a lift used in indoor warehouse maintenance, confirm required working height, platform capacity, access clearances, power supply and other non-negotiable site conditions. A machine with better headline specifications is not an alternative if it cannot get through the doorway.
For the used unit, request its identity, service and inspection records and present condition, together with relevant local compliance information. For the Chinese new unit, obtain a specific model and offered configuration rather than a brochure family. Only proceed to the cost comparison once both options can meet the job.
2. First calculation: cost to make each machine rental-ready
All values below are hypothetical and are not market quotations.
| Initial cost | Local used (USD) | New from China (USD) |
|---|---|---|
| Purchase price | 15,700 | 12,000 |
| Inspection, preparation and initial work | 1,000 | 1,000 |
| Local transport and handover | 300 | — |
| International freight and insurance | — | 3,000 |
| Destination port charges, non-recoverable taxes and clearance | — | 2,000 |
| Cost to enter rental service | 17,000 | 18,000 |
The new-unit example assumes an FCA price at a Chinese factory. Only costs not already covered by the seller are added. The two USD 1,000 preparation allowances have different practical contents; both are included because both machines must be made ready for local use. Recoverable taxes should be kept separate from final economic costs even when they tie up cash at import.
For an item-by-item import budget, consult the landed-cost guide.
The new machine starts USD 1,000 higher in this example. That is still not the end of the comparison.
3. Second calculation: the cost of holding each machine for three years
Assume comparable rental tasks and a three-year ownership plan:
| Three-year cost component | Local used (USD) | New from China (USD) |
|---|---|---|
| Initial cost | 17,000 | 18,000 |
| Planned maintenance and inspections per year | 1,200 | 650 |
| Three-year maintenance total | 3,600 | 1,950 |
| Estimated net proceeds on sale after three years | −6,000 | −8,000 |
| Three-year net holding cost | 14,600 | 11,950 |
Used unit: 17,000 + 3,600 − 6,000 = USD 14,600. New unit: 18,000 + 1,950 − 8,000 = USD 11,950.
Under these assumptions, the new unit costs USD 2,650 less to hold over three years. Maintenance and resale values are forecasts, not guarantees. Add any materially different insurance, storage, finance charges, downtime or other items before using this model for a real purchase.
4. Third calculation: what is earlier rental availability worth?
Suppose the used lift can start working before the imported lift. Count only genuine additional rental jobs that the used unit could serve during that interval and which your existing fleet or a reasonable sub-rental alternative cannot already cover.
Assume each additional billable day yields USD 180 in net incremental cash contribution, after its relevant additional expenses—not USD 180 in headline rental revenue.
| Additional billable days gained by the used unit | Incremental cash contribution | Net comparison |
|---|---|---|
| 0 | USD 0 | Chinese new unit retains USD 2,650 cost advantage |
| 10 | USD 1,800 | Chinese new unit retains USD 850 advantage |
| 20 | USD 3,600 | Local used unit gains USD 950 advantage |
Break-even incremental billable days: 2,650 ÷ 180 ≈ 14.7 days.
In this illustration, about 15 extra genuinely billable days for the used unit would offset the new unit's lower holding cost. It is not a universal threshold. If the shortfall can be met through sub-hire, compare the profit from that arrangement rather than assuming all possible rental income is lost.
5. Practical tip: send a short RFQ that creates a fair comparison
Do not ask a Chinese supplier for “something similar, at your best price”. Give the operating requirements and demand a quotation for a specific machine, with the delivery scope made explicit:
See the guide to scissor lift RFQ template for the relevant checks.
Subject: New Scissor Lift Quotation for Comparison
Hello [Name],
We are comparing a locally available used scissor lift with a new machine from China. Our requirements are working height [ ] m, platform capacity [ ] kg, maximum stowed width [ ] m, for use in [country].
Please quote one specific new model, stating its configuration, price, Incoterms® 2020 rule and named place, expected ready-to-ship date, packed dimensions and weight, included accessories, and warranty. Please flag anything your model cannot meet.
Thank you.
This asks for information the Chinese supplier can actually verify. Condition and expected repair costs of the local used machine must be checked with the local seller or an appropriate service provider.
6. What should the owner choose?
If there are no credible rentals waiting, lower expected holding cost may favor the new machine. If the used lift can immediately fulfil jobs with meaningful extra cash contribution, it may be the better business decision despite its higher holding cost. Small projected differences deserve sensitivity checks on repairs, resale and delivery charges.
Have a used-lift quotation? Get a comparable new-machine price from China.
Send Levantis the local used-unit quotation or specifications and your destination. We can obtain or verify a real Chinese quotation for a new model with comparable working requirements, including configuration, delivery scope and timing. Then you can put two clearly defined alternatives into the cost comparison above.
We do not assume the new machine wins. We help you find out what the China alternative actually costs.
