New cars in Colombia: these are what fell the most in sales - Sectors

Car sales have not recovered in recent months. Colombians refrain from purchasing new vehicles, which has been reflected in the sharp drop since August 2022.

(In context: New vehicle sales complete 9 months of decline in Colombia: what’s behind it?).

In the first half of 2023 alone, 90,868 automobiles were sold. In other words, there was a 26.6% drop in sales, since in the same period of 2022 123,849 were sold, according to a report by the National Association for Sustainable Mobility (Andemos).

The cars that fell the most in sales

By vehicle segment, the car fell 57% in June compared to the same period a year earlier. On the other hand, the pick up type fell by 33% and the taxi by 10%.

Based on the data provided by Andemos, Toyota is the manufacturer that sold the most cars in Colombia during June. However, the units purchased are going down like those of other competitors since of the ‘top 10 best sellers’ eight had a collapse and only two increased.

The Suzuki brand had the biggest drop in sales in that ‘top 10’ with a drop of 74.6%. Volkswagen follows with a decrease of 69.3% and Renault with -59.6%.

Suzuki brand car.

(Also read: This is how you can take advantage of the prices of used cars in Colombia).

Contrary to the other brands, Mazda and Ford increased sales (155% and 17%, respectively).

This is how the ‘top 10’ of the best-selling manufacturers and their percentage of fall remained:

Car sales by brand in June 2023
Units and YoY variation (%)

1. Toyota 2,315 (-16.6%)

2.Renault 2,042 (-59.6%)

3. Mazda 1,762 (155.0%)

4. Chevrolet 1,619 (-49.9%)

5. KIA 1,262 (-27.1%)

6. Nissan 744 (-35.6%)

7. Suzuki 663 (-74.6%)

8.Volkswagen 474 (-69.3%)

9.Ford 426 (17.0%)

10. Hyundai 339 (-32.2%)

(Also: The price of cars in Colombia falls: what are the brands that have fallen the most?).

Why are new cars so expensive?

Mazda increased its sales in June 2023.

As the cost of money becomes more expensive, the willingness to buy on the part of households is greatly tightened

Oliverio García, president of the National Association for Sustainable Mobility (Andemos), explained to EL TIEMPO in a past talk that prices have risen due to the the covid-19 pandemic and the current conditions, such as the devaluation of the peso, world inflation and the increase in interest rates on credits.

“It must be taken into account that this is a market highly leveraged by the financial sector, by regulation when people buy a car they finance it. As the cost of money becomes more expensive, it greatly tightens the willingness to buy on the part of households,” he said.

(Expand here: Why are new cars so expensive? Experts reveal possible causes.)

“Another factor that already has to do with a domestic one, has been the devaluation that the peso has had in the last 12 months, that at some point translates into the price of vehicles. Let’s not forget that this market is elastic to variations of price, if these increase, the demand contracts and has an inverse relationship; if the prices fall, the demand expands”, he added.