Algeria 2023. Vehicle Market Slightly Grows 10.1% But Is Still In A Nightmare

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The 2023 Mercedes-Benz EQS SUV
The 2023 Mercedes-Benz EQS SUV

Algerian Vehicle Market slightly increases. Total sales reach 27,975 units (+10.1%). Market gains momentum after being down 22.5% in 2022. Fiat booms gaining 24 spots.

Market Trend and Outlook

Algerian vehicle market in 2023 increased 10.1% with registrations reaching 27,975. December reaches new figures at 2,621 despite being down 7.2%.

Looking at cumulative data up to December 2023 brand-wise, Dacia ranks in 1st with 7,135 sales (+0.7%), followed by Chery -up 2 spots with 3,696 registrations (+69.5%) and Fiat -up 24 spots- with 3,557 units sold.

Kia loses 2 spots into 4th position with 3,063 total sales (-2.9%), in front of Seat -up 7 spots- at 1,723 (+240.5%), Peugeot at 1,338 (-7.8%) and Toyota with 966 new vehicle registrations (-7.3%).

Geely rises 9 spots into 8th with 760 sales (+263.6%), followed by Audi -down 1 spot- with 684 units sold (-18.7%) and Renault in 10th -down 5 spots- with 510 new registrations (-67.4%).

Looking at specific models the Dacia Sandero maintains leadership being up by 0.7% in year-on-year sales, followed by the Fiat Tipo sedan.

Medium-Term Market Trend

The Algerian vehicle market grew from 201,382 in 2010 to 298,043 sales by the end of 2013. In 2014 demand for light vehicles fell substantially for the following 3 years, dropping more than 50% to 99,481 in 2017. The market bounced back in 2018 rising up to 149,858 by the end of 2019.

The introduction of new sharp limits to the vehicles import caused was a disaster and in 2020 the market collapsed 83.1%, down to 25,286 sales, the lowest levels of the previous decade.

In 2021 sales grew up to 30,178. In 2022 demand for light vehicles began to fall again, with the year projected to close around 23k (-22.5%). A combination of factors are behind the current industry struggle: restrictions imposed on light vehicle imports and lack of raw materials world wide, in particular for the production of microchips. Both of these factors have made it more and more expensive to buy a light vehicle in Algeria.