Industry data from Ukravtoprom, analyzed by socialbites.ca, shows that new passenger car sales in Ukraine rose by 61% in 2023 compared with 2022. Ukrainians bought 61 thousand new passenger cars over the year.
Leading the market was Toyota with 10.2 thousand units sold, up 47% from 2022. Renault from France held second place with 5.8 thousand cars, a 46% increase year over year. In third came Volkswagen from Germany with 5.6 thousand vehicles, a growth of nearly 2.5 times versus the previous year. Skoda, BMW, Hyundai, Mercedes-Benz, Suzuki, Mazda and Nissan also ranked among the top ten best sellers.
Ukravtoprom also noted that Renault Duster was the most popular model on the Ukrainian market in 2023.
Premium car buyers return to the Ukrainian market
Compared to mass brands in Europe and Korea, premium brands saw a sharper rebound in Ukraine in 2023. BMW sales rose by 139% year over year to 4.1 thousand cars, Porsche nearly doubled to 690 units, and Lexus increased about 2.5 times to 1.9 thousand cars.
Audi grew by 77% to 1.4 thousand units, and Mercedes-Benz rose by 52% to 2.5 thousand cars.
Ukraine’s position in Europe’s car market
Auto-Consulting, an information and analytics group, reported that by the end of 2023 Ukraine climbed three spots in Europe’s new car sales ranking to 23rd, landing between Finland and Croatia. Germany leads Europe with about 2.8 million cars sold annually, followed by Great Britain with around 1.9 million and France with about 1.8 million. Auto-Consulting also reminded readers that Ukraine once ranked seventh in 2008 among European automobile markets.
New arrivals in Ukraine for 2023
The Ukrainian market in 2023 welcomed a broad mix of models from leading global automakers. In the autumn, the hybrid Lexus RX 450h, the electric BMW i5, the new Mitsubishi Outlander, the Peugeot 2008 crossovers, and the Honda ZR-V built on the Civic platform highlighted the season. Sedans joined the lineup as well.
New generations of the Volkswagen Touareg and Mazda CX-90 arrived, along with the Jeep Grand Cherokee, Wrangler and Compass. In 2024, Hyundai plans hybrid versions of the Cona and updates to the Mazda CX-5, with Sonata and Elantra reappearing in showrooms in the spring. Chinese brands also intensified their presence in the market.
In January 2024, Changan announced entry into Ukraine with the Hunter pickup, a model known in China as Lantuozhe, as reported by Auto Advisory. The Foton Tunland pickup, powered by a 163 hp engine and an 8-speed ZF automatic with all-wheel drive, is also offered to buyers in Ukraine. Porsche is expected to introduce four new models, including a new Panamera generation. BMW will showcase the new 4 Series, while Skoda is anticipated to roll out the Kodiaq and Superb in the fall.
Why are sales rising?
The 2023 rebound in Ukraine’s car market is linked to the return of residents who left the country during 2022 after the start of Russia’s actions. However, experts caution that current volumes are far from pre-crisis levels. As one analyst noted, 60 thousand cars nationwide remains modest, especially considering the pre-2014 market peak around 700 thousand vehicles.
The rise in 2023 is attributed to people returning home and renewed optimism across Ukrainian society. Some importers of Mercedes-Benz and BMW report solid demand for the latest models, while affordable segments still see continued activity. Experts point out that while luxury and premium names are seeing a lift, many buyers still rely on imported used cars to meet basic needs.