With the freeze on car imports in Algeria for more than 5 years, Chinese vehicles returned to the local market in a completely different way to what they were, as they were supported by modern technology, modern designs, and high-quality safety and luxury equipment, which made them compete with European cars in their homeland, and with the announcement of specifications. And the prices of both Geely and Chery brands in Algeria, such that citizens were amazed by the beauty of the design of these cars, their equipment, and their competitive prices.
The Chery brand chose to market its fully equipped “Tiggo Pro2” car for 199.9 million cents, which includes modern daytime running lights, a touch screen, 4 electric windows, 16-inch metal wheels, 4 airbags, a rear parking sensor, an electronic stability system, enhanced steering, an anti-lock braking system, and other equipment that… It made it a modern car par excellence, which forces the rest of the brands to engage in marketing competitive cars to attract customers.
Initial news issued by Chery Algeria indicates that Chery showrooms distributed across many states witnessed a large influx of citizens to ask about the details of receiving customer requests, which expresses the desire of a wide segment of citizens to buy modern Chinese cars at competitive prices, contrary to the previous stereotypical image of vehicles. Chinese cars, which have long been known for their poor quality compared to European and Asian cars.
Towards more discounts…
In this context, economic expert Kamal Deeb announced that the year 2024 will witness further reductions in the prices of new cars, as factories enter the production of various types of brands, adding that the Finance Law of 2024 included tax and customs privileges for parts related to the automobile industry, and this is what makes vehicles Manufactured in Algeria is cheaper than imported.
Our speaker added that Algeria will turn into a pole for the automobile industry in Africa, providing many attraction points, such as subsidized energy prices, which is what many car manufacturers in the world are looking for, to escape the high prices applied in Europe, in addition to the privileges of industrial real estate and the availability of labor. This is what makes Algeria the focus of interest for various brands looking for safe, inexpensive shelters that have shown great readiness to venture into automobile manufacturing, and to transform Algeria into an export platform for various Arab and European countries. This is what will enable our country to achieve what is called industrial localization, technology transfer, and achieve abundance. A large number of cars of various brands, “which will be reflected in the diversity of offers and enable Algerians to buy new cars and sell used ones, and will enable the supply to increase and prices to decline.”
After the decline in prices… the challenge is in achieving abundance
For his part, Fadi Tamim, in charge of the automobile file at the level of the Algerian Federation for Consumer Protection, said that the announced prices of the Chery brand are considered a real shift in the car market in Algeria, moving away from crazy prices towards reasonable prices and diverse offers.
He added that the real challenge facing various brands today is the extent of their response to the large demands of customers, which far exceed the quantities that will enter the national market, saying that the Chery brand will enter only 11 thousand cars in the year 2023, while the demand for cars that does not exceed 200 million will be record. .
Our speaker said that the Consumers Organization conducted a study that proved that the national market urgently needs one million cars to achieve a balance between supply and demand, and this is what makes the government required, according to him, to increase the import quota in 2024 and encourage the work of more assembly factories so that the marketing rate reaches between 300 thousand and 400 thousand cars. annually.
Regarding expectations of a decline in prices, our source reported that the car markets are currently suffering from an unprecedented recession, with neither buying nor selling, because most citizens want to buy new cars at competitive prices, which according to him will lead to a decline in prices by 30 percent.
To avoid the activity of brokers, Fadi Tamim advised agents to centrally manage customer requests to avoid any manipulation at the showroom level.