Sharp Decline in Vehicle Sales Revealed by TÜİK – Latest News for Potential Buyers
Vehicle Sales Decline by 15.5% in September: Reasons and Outlook
In September, the number of vehicles registered to traffic witnessed a significant decrease of 15.5% compared to the previous month. According to statistics released by the Turkish Statistical Institute (TUIK), only 198,740 vehicles were registered during this period. This decline in vehicle sales raises questions about the factors contributing to this downtrend.
Hayrettin Erkaynak, the President of the Istanbul Motor Vehicle Dealers Association (İMAS), provided insights into the situation. He noted that the automotive market in Turkey has faced several turbulent years, which had a negative impact on sales. Problems in the supply chain of new automobiles resulted in a scarcity of vehicles and an increase in their market value. As a result, consumers shifted their savings towards this area. Moreover, this situation led to the growth of an unregistered trade sector in the automotive industry.
However, recent efforts by the Ministry of Commerce and improvements in the production process have addressed these challenges. Consequently, unregistered trade has started to diminish, and the demand created by this sector has decreased. Additionally, difficulties in accessing credit and high interest rates have also contributed to the decline in real consumer demand.
While short-term statistics show a decrease in vehicle sales, the long-term outlook indicates growth. Erkaynak highlighted that the market is undergoing a necessary process to rebalance itself. As buyers and sellers engaged in unregistered trade withdraw from the sector, prices are being readjusted, and the gap between new and second-hand cars is narrowing. This trend not only fosters market stability but also enables easier access to vehicles for citizens who had previously faced financial constraints.
In order to stimulate demand during this period of stagnation, the industry has implemented campaigns and discounts for new cars. Moreover, price decreases have been observed in the second-hand car market. Although demand for second-hand vehicles remains low, periodic practices to stimulate demand and improve credit accessibility are expected to facilitate market recovery.
Looking ahead, it is anticipated that there may be a potential decline of 50% in new car sales if access to credit does not improve in the coming months. This projection aligns with the previous high demand from unregistered trade purposes, which accounted for approximately 48% of total demand in the sector.
As for the opportune time to buy a vehicle, İMAS Association advises that the best time is whenever a person needs it. They emphasize that vehicles are a necessity, and individuals should consider their needs and budget when making a purchase. Currently, there are substantial price drops and campaigns for new cars, as well as reduced prices in the second-hand market. Therefore, citizens who want to buy a car can take advantage of the favorable opportunities available during this period.
Despite the challenges faced by the automotive market, the recent developments and efforts made to stabilize the industry have laid the foundation for a healthier and more active market in the future.
