Azerbaijan Auto Market in 2025 shows mild growth. Full-year sales gained 1.2%, with BYD reporting the most impressive surge and climbing 4 spots into 5th. The chinese carmaker also secured EV leadership, driving sector’s growth to a 16% share.
Economic Environment
Azerbaijan’s economy grew by 1.4% in 2025, a clear slowdown from 4.1% in 2024, indicating weaker overall momentum. The main drag came from the oil and gas sector, where value added fell by 1.6%, while the non-oil economy remained the main source of growth with a 2.7% increase. This continues to highlight Azerbaijan’s broader economic trend of gradual diversification, with non-energy sectors helping offset volatility in hydrocarbons.
On the production side, industry remained the largest part of the economy at 33% of GDP, followed by trade and vehicle repair (11.3%), transport and warehousing (7.1%), and construction (6.5%). Agriculture, forestry, and fishing also made a meaningful contribution, showing that growth is spread across several domestic sectors even if not at high rates. The structure of GDP suggests the economy is still heavily influenced by industrial output, but services and trade are playing an important stabilizing role.
Automotive Industry Trend and Outlook
After stumbling in 2024, the Azerbaijani vehicle market reported growth again in 2025. Full-year sales increased by 1.2%, despite still not able to catch peak figures reached in 2023.
Brand-wise, Hyundai became the new leader, despite losing 2.2%. Kia dropped 7.6% into 2nd, followed by Toyota in 3rd up by 5.7%. Chevrolet fell 9% and ranked 4th while BYD in 5th grew 4 spots and 78%.
Looking at the best selling models, the Kia Sportage retained leadership despite losing 9.2%, while the Hyundai Elantra followed in 2nd, dropping 11.1%.
EV Market Trend and Outlook
The Azerbaijani EV Market is undergoing a structural shift, growing 45.5% in year-on-year change. With about 16% of the whole market, the sector growth is driven by government’s commitment to expand charging infrastructure as well as greater chinese involvement in localized production.
BYD was the leader, with 43% of the segment (+84.8%). Hyundai followed in 2nd while Mercedes closed the top 3.
