The Market for New Cars in Lebanon – 2016

In 2016, the registration of new passenger and commercial cars witnessed its first drop since 2011[1]. According to data from the Association of Car Importers in Lebanon (AIA), the number of new registered passenger and commercial cars dropped by an annual 6.67% to 38,874 in 2016. In details, the number of registered new passenger cars totaled 36,326 in 2016, down by 7.71% compared to 39,361 new registered cars in 2015. The AIA’s monthly statement lists the poor economic context as a main reason behind the subdued registrations.

The decline in the number of registered new passenger cars overshadowed the upturn in commercial cars. The number of new registered commercial cars increased by 11% yearly to 2,548 in 2016. This is the most pronounced upturn in registered new commercial cars since 2009, which was a year of exceptional growth where real GDP grew by 10%. However, this rise should be considered in relative terms; in 2015 the registration of new commercial cars barely moved, slipping by 1%. This means that this growth should be looked at over a two-year span and is therefore considered a small growth. The registration of commercial cars in Lebanon is also getting a share of the market’s slump. Moreover, the registration of commercial cars is burdensome and bureaucratic, acting as a further deterrent to growth.

[1] The figures in this report are only relevant to new cars. It is not to be confused with previous editions of this report where reference was made to figures for both new and used imported cars.

To read the full report, click below:

The Market for New Cars in Lebanon – 2016

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