Auto sales accelerate its decline, passenger cars down by 50% in July 2022 | AMIC

Automotive sales are still struggling with import restrictions, inflation and a weak EGP, revealed the latest data by the Automotive Information Council (AMIC).  The council added that the foreign currency shortage and reduced import operations have also heavily impacted the sector.

Passenger car sales have fallen 50% year-on-year in July to record 8.9K sold vehicles, June saw passenger car sales drop by 35.2% to around 12.3k.

Bus and truck sales declined further, dropping by 30% y-o-y for both segments, recording sales of 1.3K buses and 2.6K trucks.

Total vehicle sales fell 46% year-on-year to 12.8K vehicles, according to AMIC data.

Passenger car sales continue to see sharp declines, attributed to the letters of credit system which has led to new cars and spare parts being stuck at ports and certain international car manufacturers to suspend importing to Egypt.

Egypt’s finance minister recently announced that measures are being rolled out to facilitate the release of imports and reduce importer burdens.

Currently, there are rumors that new central bank head Hassan Abdalla may be looking to abolish the letters of credit system and returning to the previous system in order to make importing easer for importers and investors.