Taylan Özgür DİL
Created Date: January 08, 2025 04:00
Contrary to all expectations, the automotive market closed 2024 with record sales. Last year’s sales reached 1 million 238 thousand units. The leader of the total market was FIAT, and the leader of the passenger car market was Renault. Last year, electric car sales reached 100 thousand units, overtaking diesel ones; Togg T10X was at the top of the most preferred electric car models.
Monetary tightening steps in the TURKISH economy caused the automotive industry, which closed 2023 by breaking a historical record, to start 2024 cautiously. The messages given by industry managers until April predicted that the market would shrink by 30-35 thousand percent and close 2024 at the level of 750-800 thousand units. However, the opposite happened and at the end of 2024, the total automobile and light commercial vehicle market broke a record for the second time in a row. According to the January-December 2024 data announced by the Automotive Distributors and Mobility Association (ODMD), the market increased by 0.5 percent compared to last year, reaching 1 million 238 thousand 509 units. In the previous year, sales in the automotive market were 1 million 232 thousand 635 units.
Last year, the best selling brand in the total market (automobile and light commercial) was FIAT with 138 thousand 749 units. The brand that sold the most cars in this period was recorded as Renault with 117 thousand 919 units. The Ford brand sold the most light commercial vehicles. The best-selling car model in 2024 will be FIAT Egea, which has been on the throne for nine years; Togg T10X maintained its top position in battery electric vehicle sales. Electric for the first time in 2024 automobile sales overtook diesel cars. While 99 thousand 489 battery electric cars were sold throughout the year, diesel engine car sales remained at 95 thousand 985 units.
MAJOR CHANGE IN CONSUMER DEMAND
There were many important reasons why the automotive market broke a historical record for the second time in a row. Many new and competitive models have entered the market. But the most important thing was the big change in consumer habits. Manufacturer brands such as Togg and Tesla are in technology; Chinese manufacturers have redefined the standards in price. Some managers were wrong in their predictions because they could not read these changes well.
The four main reasons that will lead the automotive industry to a historical record in 2024 are listed as follows:
GSR 2: Within the framework of compliance with EU legislation, standard safety equipment offered in new cars and commercial vehicles has been increased as of July 7, 2024. When the earlier than expected implementation of this regulation, known as GSR 2 (Global Security Regulation 2), increased the stock pressure on brands, serious campaigns were carried out in May and the following months.
SCT-exempt sales: The limit on SCT-exempt vehicles that disabled individuals can purchase increased to 1.6 million TL at the beginning of the year. Significant sales volumes came from here in the first quarter of the year. In the second half, messages came that conditions would change and expectations increased sales again. As a matter of fact, conditions became more difficult at the end of the year. More than 20 percent of sales were SCT-exempt vehicles.
Prices could not exceed inflation: Real prices in automotive industry remained below inflation. The price increase rate in 8 of the 10 best-selling cars could not exceed the transportation inflation of 26.2 percent. For example, the Sedan version of Fiat Egea, the best-selling car model of 2024, received only a 6.5 percent increase throughout the year. The high stocks of brands and the increasing competitive environment played a major role in this.
New brands: Consumer choice has increased. Brands such as Togg, Tesla, Chery, Jaecoo, MG and BYD have expanded the market. If BYD had not sold 6 thousand units in December, the record would not have been broken. If brands such as Togg, Tesla and Chery were removed, the market would only exceed 1 million units.
Source: bigpara.hurriyet.com.tr
