{"id":672417,"date":"2025-09-24T00:00:00","date_gmt":"2025-09-24T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2025\/09\/24\/car-prices-fall-further-as-dealers-race-to-clear-inventory\/"},"modified":"2025-09-24T00:00:00","modified_gmt":"2025-09-24T00:00:00","slug":"car-prices-fall-further-as-dealers-race-to-clear-inventory","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2025\/09\/24\/car-prices-fall-further-as-dealers-race-to-clear-inventory\/","title":{"rendered":"Car prices fall further as dealers race to clear inventory"},"content":{"rendered":"

Egypt\u2019s car market sees further price cuts: <\/strong>Car prices are seeing reductions of 10-20% on top of last month\u2019s dip in prices as auto dealers look to reignite demand. <\/p>\n

(Tap or click the headline above to read this story with all of the links <\/strong>to our background as well as external sources.)<\/p>\n

REMEMBER-<\/strong> Car prices had fallen by 25-30%<\/a> last month, as the market began correcting after years of overpricing. That round of cuts came as local assembly picked up and distributors looked to clear out aging stock. At the time, sources warned that further price cuts could continue if inventory remained unsold.<\/p>\n

2026 mo<\/strong>dels are now going for less than 2025 models:<\/strong> Several distributors are offering 2026 models at lower price points than the 2025 stock in an effort to spur demand \u2014 a move some market players told us could backfire. Many consumers are now delaying purchases in anticipation of further markdowns, a dynamic that is fueling continued price instability.<\/p>\n

Prices could fall even more: <\/strong>Auto marketplace Karcel COO Hany El Kholy expects the trend to persist until at least June 2026, saying the market will remain in flux until a pricing structure tied to real production costs is established. Meanwhile, Federation of Chambers of Commerce\u2019s auto division member Montasser Zaytoon told us reductions will likely persist through the end of the year as dealers work to offload surplus inventory.<\/p>\n

Part of the reason is that recent local auto localization news<\/strong> and competitive pricing are pushing companies and distributors to lower prices, Egyptian Auto Feeders Association\u2019s Khaled Saad told us. El Kholy said that customers who recently bought cars at higher prices are already lodging complaints, adding that dealers should have diversified their promotional offerings to include maintenance packages or service offerings instead of resorting to price reductions.<\/p>\n

The result? <\/strong>A paralyzed market:<\/strong> Saad and Zaytoon both agreed that heavy reductions have stalled the market, with buyers adopting a wait-and-see approach. The arrival of large volumes of stock amid fears of renewed FX volatility has worsened the problem, with 2026 models now more widely available \u2014 and cheaper \u2014 than some 2025 models.<\/p>\n

\n

USED CARS STRUGGLE TO KEEP UP-<\/p>\n

Lack of price logic hits used cars:<\/strong> Used car prices have collapsed by as much as 50%, El Kholy told us. A used Range Rover that sold for EGP 1.6 mn just months ago is now fetching closer to EGP 1 mn. The problem? There\u2019s no pricing benchmark \u2014 just what sellers are willing to accept and what buyers are willing to pay. Saad added that the used car market, which saw a run-up in prices during the FX crunch, is now facing a correction.<\/p>\n

To make matters worse: <\/strong>Many used car owners are holding onto their vehicles to avoid selling at a loss, further freezing activity.<\/p>\n

\n

DON\u2019T COUNT ON RATE CUTS TO BOOST SALES-<\/p>\n

Auto loans aren't tempting buyers just yet:<\/strong> While the CBE is expected to continue cutting interest rates, El Kholy and Zaytoon say this won\u2019t be enough to revive demand for auto financing \u2014 not until car prices stabilize. \u201cAuto loans used to account for 70% of market sales,\u201d El Kholy says, \u201cbut with these steep price cuts, buyers would rather wait than finance at a slightly lower rate.\u201d<\/p>\n

Automakers are trying to sweeten the pot<\/strong>, with some throwing in extended warranties of up to seven years or 250k kms, free maintenance packages, more flexible payment plans, and better after-sales service \u2014 but it hasn\u2019t been enough to increase demand.<\/p>\n

\n

NEW COMPONENT PLANT IN THE WORKS-<\/p>\n

A US-Turkish auto component plant? <\/strong>American auto seating company Adient<\/a> and Turkish auto components firm Diniz Holding<\/a> will set up an auto component production complex in Ismailia, according to a statement<\/a>.<\/p>\n

The details:<\/strong> The joint venture \u2014 Diniz Adient<\/a> \u2014 will start with a first phase spanning 3k sqm to produce car seats and seating mechanisms, creating some 800 jobs. The second phase will include a USD10 mn, 15k sqm factory, which will create 3k additional jobs. <\/p>\n","protected":false},"excerpt":{"rendered":"

More distributors are offering 2026 models at lower price points than 2025 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AMIC data shows that around 18.9k cars were sold in March, down from 19.5k in the same period last year. That ends a run\u2026","rel":"","context":"In "Automotive"","block_context":{"text":"Automotive","link":"https:\/\/enterpriseam.com\/egypt\/category\/industries\/automotive\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2022\/5\/80.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":619389,"url":"https:\/\/enterpriseam.com\/egypt\/2024\/05\/01\/auto-sales-fall-43-m-o-m-in-march-as-customers-wait-for-further-price-reductions\/","url_meta":{"origin":672417,"position":3},"title":"Auto sales fall 43% m-o-m in March as customers wait for further price reductions","author":"enterpriseam admin","date":"1 May 2024","format":false,"excerpt":"Distributors sold a mere 4.2k units last month, down just over 43% m-o-m","rel":"","context":"In "Automotive"","block_context":{"text":"Automotive","link":"https:\/\/enterpriseam.com\/egypt\/category\/industries\/automotive\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2024\/4\/2208.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":546688,"url":"https:\/\/enterpriseam.com\/egypt\/2022\/05\/25\/dont-hold-your-breath-if-you-expect-to-buy-a-new-car-anytime-soon\/","url_meta":{"origin":672417,"position":4},"title":"Don\u2019t hold your breath if you expect to buy a new car anytime soon","author":"enterpriseam admin","date":"25 May 2022","format":false,"excerpt":"Need a new car? Good luck. Some foreign car manufacturers have suspended sales to Egypt after a change to how imports are paid for has left local dealers unable to purchase vehicles, industry sources say, confirming reports first published by Al Borsa and Al Mal on Monday.The new supply constraints\u2026","rel":"","context":"In "Automotive"","block_context":{"text":"Automotive","link":"https:\/\/enterpriseam.com\/egypt\/category\/industries\/automotive\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2022\/5\/331.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":669979,"url":"https:\/\/enterpriseam.com\/egypt\/2025\/08\/12\/car-prices-fall-up-to-30-as-the-auto-market-corrects-after-years-of-overpricing\/","url_meta":{"origin":672417,"position":5},"title":"Car prices fall up to 30% as the auto market corrects after years of overpricing","author":"enterpriseam admin","date":"12 August 2025","format":false,"excerpt":"The variety of brands already in the market \u2014 and more models on the way \u2014 is also pushing companies to accept smaller margins to move cars","rel":"","context":"In "Automotive"","block_context":{"text":"Automotive","link":"https:\/\/enterpriseam.com\/egypt\/category\/industries\/automotive\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2025\/8\/690.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]}],"_links":{"self":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/672417","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/comments?post=672417"}],"version-history":[{"count":0,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/672417\/revisions"}],"acf:post":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/issue\/672406"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/media\/672418"}],"wp:attachment":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/media?parent=672417"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/categories?post=672417"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/tags?post=672417"},{"taxonomy":"brand","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/brand?post=672417"},{"taxonomy":"newspack_spnsrs_tax","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/newspack_spnsrs_tax?post=672417"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}