Azerbaijan Auto Market in 2024 continues momentum, growing 11% and posting the 3rd consecutive year of growth. Kia became the new leader, surpassing Hyundai which dropped to 2nd.
Economic Environment
Azerbaijan’s economy saw strong growth in recent years, driven by high energy prices, but momentum slowed in 2023 with GDP growing just 1.5%. Inflation eased but remained high, while declining oil production and slowing non-oil sector growth weighed on the economy.
Stable energy prices and rising gas revenues provided support, and GDP is forecast to grow by 2.5% in 2024. Key reforms focus on diversification through renewable energy, IT development, and digitalization of capital markets. The Middle Corridor’s enhancement is a priority for trade and energy transmission, supported by regional and European collaboration. Advancing the green energy transition and strengthening regulatory frameworks will be crucial for long-term growth and investment.
Automotive Industry Trend and Outlook
The Azerbaijani EV Market surged 20.4% in 2024, experiencing an impressive boom in EV adoption compared to regional trends.
Hyundai led the EV rankings, growing 22.6%, followed by Toyota in 2nd, up 24.5%.
Regarding the overall Azerbaijani vehicle market, full-year sales for 2024 grew by 11%, marking the third consecutive year of expansion and reaching the highest volume in a decade.
Brand-wise, Kia -up 1 spot- became the new leader, up 22.4%. Hyundai -down 1 spot- dropped 17.1% into 2nd, followed by Toyota in 3rd up 22.7%. Gaz gained 22.7% and ranked 4th while BMW in 5th grew 22.7%.
Looking at the best selling models, the Kia Sportage confirmed itself as the leader growing 22.7%, while the GAZon NExt followed in 2nd, up 22.8%.
