Uzbek car market showed explosive growth - CERR survey

Uzbek car market showed explosive growth - CERR survey

The Center for Economic Research and Reforms (CERR) monitors changes in automobile sales on a regular basis.

In January 2022, 113,200 vehicles were registered, an increase of 126.4% compared to the corresponding month last year and 138.4% compared to January 2020. At the same time, the increase compared to December 2021 was 96.5%.

Experts attribute the sharp increase in the number of car registrations to the complete abolition of the vehicle purchase fee from January 1, 2022 and the establishment of state duty for notarization of the purchase-sale agreement at 3 BEV (base estimate value).

The fee for the purchase and/or temporary import of vehicles into Uzbekistan was abolished by the State Budget Act of 2022.

Fig. 1. Index of change in the number of registered and re-registered vehicles

It should be noted that, until January 2022, citizens preferred to use a "general power of attorney" in order to avoid excessive costs during the state registration of contracts for the sale of cars in the secondary market.

As a result of the changes in the legislation, citizens who had previously purchased the car under the “general power of attorney" started to transfer the property right for the vehicle to their own title.

The number of cars purchased on the primary market in January of the current year was 27,900. Car sales since the beginning of the year have increased by 2.7% compared to December 2021.

The market growth was mainly supported by the purchase and sale of used vehicles. On the secondary market, the number of cars purchased reached 85.3 thousand (an increase of 180.2%).

Fig. 2. Primary and secondary car market

Significantly increased the number of registrations of new vehicles in Samarkand (95.6%), Surkhandarya (89.4%), Navoi (75.4%) and Fergana (60.5%) regions, as well as in Tashkent (-44.7 %) and Tashkent region. (-0.9 %).

The number of contracts for the purchase and sale of foreign-made vehicles was 1.9 thousand, a decrease of 41% compared to December 2021 (an increase of 71% compared to January 2021).

Fig. 3. The share of sales of new domestic cars and imported cars

The regions with the largest number of registrations of cars purchased on the secondary market are Tashkent - 13.6 thousand (in December 2021 - 2.1 thousand), Samarkand - 9.7 thousand (3.7 thousand), Fergana - 9 thousand (2.9 thousand), Namangan. - 8.1 thousand (2.7 thousand) and Andijan - 7.2 thousand (2.3 thousand) regions.

President Shavkat Mirziyoyev the day before held a meeting on the development of the automobile industry in Uzbekistan, at which he announced that 160,000 cars to be produced in the first half and 275,000 by the end of 2022 to meet domestic demand.

The government was also instructed to develop a draft resolution on reducing the rates of customs duties on car imports from 30% to 15%. This measure should help meet the domestic demand for the purchase of cars.

Khalilullokh Khamidov, Head of the Sector, the CERR

Tel: (78) 150 02 02 (410)

Public Relations Service CERR

Tel: (78) 150 02 02 (417)

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