Africa’s thriving used car market is expected to grow nearly 7% a year to reach almost $200 billion by 2033, underscoring how older and more affordable vehicles are likely to dominate the region’s automotive sector for years to come.
The continent is the biggest importer of used light-duty vehicles in the world, with Japan, the EU, the US, and South Korea the biggest exporters of used cars. Nikkei recently noted that one Japanese auto trader, Be Forward, does not enjoy much name recognition in its home market but has a “solid” presence in Africa, where it operates in over 50 countries. “We’re given VIP treatment,” said the company’s president. Toyota, Nissan, Honda, and Mitsubishi are the brands that dominate on African roads, noted Bizupon.
However, used cars have also raised safety and environment concerns over the years, with initiatives such as the UN’s Safer and Cleaner Used Vehicles for Africa spearheading the adoption of minimum safety and environmental performance standards: The continent has the highest road traffic fatality rate in the world despite having only about 2% of the world’s vehicles.