Some 900,000 cars expected to be sold this year

Taylan Özgür Dil - ISTANBUL

Representatives of the auto industry expect around 400,000 to 450,000 vehicles to be sold in the next 7 months with total car sales on the local market reaching around 900,000 this year.

The first five months of 2023 saw record sales of passenger cars and light commercial vehicles as many consumers turned to cars as safe “investment.”

A total of 445,000 vehicles were sold in the January-May period.

Some four in 10 consumers bought a car as investment during this period, experts said.

The market’s performance in the first five months signaled that sales could reach 1.2 million in 2023. But representatives of the industry have recently revised their forecast.

They now think that demand for new cars - which consumers see as an investment - will weaken in the remainder of the year to be replaced by demand from individuals and companies that will purchase vehicles only for transport purposes.

“Demand is likely to fall in the second half of 2023, as expectations regarding higher prices and higher interest rates will materialize,” said Berk Çağdaş, general manager of MAİS.

Auto prices already increased by 8 percent within a week amid the depreciation of the Turkish Lira.

Selen Alkım, general manager of Citroen Türkiye, forecast that total sales will be a little above 900,000 vehicles this year.

The data in the first five months hinted at sales between 1.3 million to 1.5 million units this year, Alkım said.

“People invested in cars. But at the same time many people delayed their car purchase. We are confident about the market. We believe there is strong demand for cars,” the company executive said.