Afpedia Products For Sellers For Buyers Trade Shows Industrial Cluster

Online Translation

Sign In

Join Now

Help

简体中文

European brands dominate Egyptian car market

European brands dominate Egyptian car market

Image from dailynewssegypt.com


According to the Automotive Market Information Commission (AMIC), car sales in Egypt increased from 11,467 in January 2019 to 13,873 in January 2020, with an increase of 20.98%. The good start for the Egyptian automotive market is the impact of brand price cuts.

The beginning of 2019 witnessed the full application of the EU-Egypt Association Agreement which removed tariffs on European origin cars so their price declined. A similar scenario occurred this year, as car prices fell due to the depreciation of the US dollar against the local currency and the full application of the Egypt-Turkey Free Trade Agreement which stated that tariffs between the two countries will be phased out to zero by 2020. This situation affected the prices of all cars, not only Turkish origin brands.

Sales of passenger car increased by 10% to 8,747 units in January 2020, compared to 7,947 units in comparison with the same period year before. Bus sales jumped 180.6% to 2,598 units, compared to 926 units, while truck sales fell 2.5% to 2,258 units, compared to 2,594 units in the comparison period.

Imported cars continued to account for the majority of sales in the local market, amounting to 7,237 units, up from 5,909 units, a 22.5% year-over-year increase. As for the locally assembled models, they saw 6,636 sales, up 19.4% from January 2019, which recorded 5,558 units.

Chevrolet topped the best-selling brands in Egypt last month by 2,763 units and 20% market share, followed by Toyota by 2,065 units and 15% market share. Hyundai ranked third by 1,397 units and 10% market share, followed by Nissan by 1,232 units and 9% market share (down from 1,249 units in January 2019). Fiat ranked fifth by 1,032 units and 7% market share, followed by Renault by 1,000 units and 7% market share, and then King Long in seventh place by 666 units and 5% market share.

Kia ranked eighth by 620 units and 4% market share (down from 705 units in January 2019), Chery in ninth place by 591 units and 4% market share, BYD in tenth place by 522 units and 4% market share, Golden Dragon in eleventh position by 400 units and 3% market share, and Peugeot in twelfth place by 247 units and 2% market share (down from 664 units in January 2019). Finally, Citroen tailed the list by 201 units and a market share of 1%. Other brands recorded total sales of 1,137 units with a market share of 8%.

Sales of imported passenger cars increased by 13.6% to 5,765 units in January 2020, compared to 5,074 units in January 2019, while the sales of locally assembled cars increased by 3.8% to 2,982 units, compared to 2,873 units.

European brands dominated passenger car sales by 2,723 units, an increase of 40.4%, followed by Japanese origin sales, which rose by 9.7% to 2,272 cars. Chinese car sales reached 1,218 units, up 52.1%, while American cars tailed the sales after registering 25.2% drop, selling only 535 cars.

It seems that Turkish-origin cars have realised the positive impact after removing customs duties, as they witnessed sales boom in January, in which Toyota achieved 1,300 sales, compared to 709 cars in January 2019, an increase of 83.4%, while Fiat’s sales jumped to 1,018 cars, compared to 266 cars, an increase of 282.7%.

Al-Sabaa a member of the Automobile Division at the Egyptian Federation of Chambers of Commerce, expected an increase in car sales by 20% in the coming period, but remained cautious due to the coronavirus outbreak which led to the disruption of production lines and freight operations in many countries of the world.

However, the stability of the local market will lead to an increase in sales ranging between 10-15% by the year end.

Moreover, Montaser Zeitoun, a member of the Automobile Dealers Association, attributed the increase in car sales to the growing purchasing power supported by the Central Bank of Egypt’s decision to raise debt-to-income rate for consumer loans to 50% and the appreciation of the Egyptian pound against the US dollar. Car companies’ tendency to change their pricing policy in 2020 following customs exemption on Turkish cars also contributed to the sales rise.

He expected more car sales jumps starting April, as the first quarter usually saw low sales, while the real car season begins in the spring and extends until September.

He denied the emergence of negative effects caused by the coronavirus (COVID-19) outbreak on car sales in Egypt, as car imports will not be affected, especially after many car companies around the world announced the reopening of their activities in China, including the factories located in Wuhan, which generated the epidemic.

Follow Us:
Advertising
As an authority of media industry, we can provide you integrated brand communication on your products! Reasonable advertising prices will let you enjoy great over-valued service!”
Customized Service
Customized information such as product prices, company trends, market forecasts, price curves, etc. will help you fully grasp the latest trend!
Investigation
Tailor-made, in-depth, professional research reports which will explore the business opportunities is your effective decision-making reference!
Data
Professional and accurate trade data will help you break through the export bottleneck of products, track peer dynamics, and grasp industry trends!
Others

Buyers Suppliers

Hot Search