Flash Reports

Cameroon 2016. Good news by the new legislation against used cars

Cameroon vehicles industry Toyota Off Roads

Cameroon vehicles industry in the 2016 recovered 15% after the previous year shortfall, still standing at 5% of total vehicles imported in the country, but new rules can change the perspectives from January 2017.

Cameroon’s economic activity slowed in 2016. GDP growth is estimated to reach 5.6% at the end December 2016, 0.2 point below its level of 2015. This outcome is due to slower growth in oil production (+3% in 2016 against 37% in 2015) resulting from the maturity of the main oil fields, and to the avian flu epidemic that has damaged the local poultry industry, particularly in the West province which represents 80% of production.

However, continued implementation of the government’s ambitious infrastructure plan and interventions to boost the agriculture and forestry sectors have significantly contributed to maintain strong growth in public works and construction and services.

The automotive sector is growing fast for near 95% is fueled by very old pre owned vehicles, while the new vehicles market is still very little.

Following the 15 percent drop reported in the 2015, new vehicles market recovered in 2016 raising at 3.720 units, the second best level after the record scored in the 2013, at 3.900 units.

Effective from January he 1st, 2017, a new legislation will limit the import of vehicles used with over 15 years representing the first step toward a more healthy motorization policy. Indeed the 23 million citizens so far had imported scrap vehicles, with very high level of pollution, poor safety and huge maintenance cost, but it seems that a new deal is starting.

The country is a feud of Toyota that hold over 50% of market share, French makes have a share relatively high compared with their average in Africa.

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