Cuba 2018. Despite prices are on the sky, the market hits new record

cuba auto

Cuba Auto sales in the 2018 hit the new all time record despite the huge duties on registrations limit the purchase to public companies and rentals. However, the market benefit from the arrival of Chinese brands and by the sudden success of Russian Lada hitting the new record.

The growth of the new vehicles domestic market in Cuba continued in the 2018, despite the huge level of duties imposed over import which gave to the cars sold in this Caribbean market the record of the highest price in the World, with a mid size car costing more than a 100 square meter flat.

As no retail operations are yet allowed in the country, the state corporation CIMEX is the only in charge for selling vehicles.  New vehicles are sold for private customers applying a 800% tax and a 1.500% tax for used vehicles.

Just few units (less than 10% of total) are privately purchased and the rest is split by State companies – including public taxis – and rental for tourists.

The current best estimate for the total new vehicles annual volume has been revised to a level of 4.500 units, which represents the record level and a marginal increase from the previous years. The market leader is still Peugeot while fast growing brands are Chinese and the Russian Lada, landed here in early 2018, is already in third place.