Costa Rica, Panama and Nicaragua are the Central American markets which reported reductions in sales of new and used vehicles during 2018.
According to figures from the Ministry of Finance of Costa Rica, from January to November 2018 imports of new vehicles totaled 31,008 units, and used vehicles 17,134 units, registering falls of 12% and 23% respectively compared to the first eleven months of 2017.
Car dealerships in Nicaragua report that only 200 units were sold in July, well below the 2,000 vehicles sold on average several months ago.
Figures from the Central Bank of Nicaragua show that between January and June of this year $45 million worth quadricycles and sedan-type vehicles were imported, 22% less than in the first semester of last year, when $58 million were imported.
The motorcycle dealers union plans to close the year 2017 with the sale of 65,100 units nationwide, which would represent an increase of almost 5% compared to 2016.
The aim of the Nicaraguan Association of Motor Vehicle Dealers (Andiva) is to sell around 3,100 motorcycles more than last year.
The union of vehicle distributors projects better results in the second semester than those obtained between January and June, closing the year 2017 with 19,000 units sold.
At the Andiva Motor Show 2018, which begins today in Managua, the Nicaraguan Association of Automotive Vehicle Distributors (Andiva) plans to sell between 1,800 and 2,000 units.
A reduction has been foreseen of between 15% and 20% in car sales this year, due to changes in the conditions of bank financing and insurance policies.
According to Rafael Lacayo, president of the Nicaraguan Association of dealers of Motor Vehicles (Andiva), the decision taken by banks to demand as a deposit 15% of the value of the vehicle instead of 10%, as has been the case until recently, will have a direct impact on sales this year.
The union of dealers attributed the slowdown in sales of compact cars to increased traffic accidents and the consequent increase in the cost of insurance.
The Nicaraguan Association of Motor Vehicle Distributors (Andiva) last year estimated that insurance premiums for small and compact cars increased by 15%, due to growth in traffic accidents in the country.Because of this situation, the union estimates that at the end of 2016"... possibly we will reach the same number of vehicles sold in 2015 or perhaps a growth of 1%."
In 2015 55,000 motorbikes were sold and importing companies plan to increase sales by 11% during 2016 to reach 62,000 units.
An article on Elnuevodiario.com.ni reports that "... Sales of these vehicles in the Nicaraguan market reached a volume of 55,000 units in 2015, representing the best commercial result since 2008 and an increase of 23% compared to 2014, according to the Nicaraguan Association of dealers of Motor Vehicles (Andiva).
In 2015 the import of new cars grew by 25%, led by sales of compact cars, and driven by an increase in purchasing power and greater access to credit on the part of Nicaraguans.
Between January and October 2015, Nicaragua imported 14,765 new motor cars, up from 11,860 in the same period in 2014, which represents growth of 25%, according to the Directorate General of Customs (DGA) of Nicaragua.
Up until September 2015 imports of ground vehicles, tires and lubricants amounted to $450 million.
The Nicaraguan Association of Motor Vehicle Distributors (Andiva) confirmed that record high sales have been reached, with 19,000 units sold in 2015, 25% more than in the previous year. Its projected sales figure for that period was $300 million.
The union of importers of vehicles projects closing the year with a total of 19,000 new units sold, 25% more than the figures of 2014.
In 2014 more than 15,000 new vehicles were sold in the country, with sedan cars leading Nicaraguan preferences. At the end of the year, the Nicaraguan Association of Motor Vehicle Distributors (Andiva) projects having sold up to 19 thousand units, including motorcycles.
42% of the 8400 vehicles that entered the country in the first half of the year were sedans, followed by pick-up trucks, which accounted for 28%.
Vehicle imports in the first half of the year increased by 22% over the same period of 2014, when 6892 units came into the country, according to figures from the Nicaraguan Association of Motor Vehicle Distributors (Andiva).
At the Andiva Fair held on 20 to 24 November 1200 cars were sold, almost double the amount reported in 2012.
In terms of trade this sector of the economy generates up to $400 million a year.
According to Alvaro Rodriguez, vice president of the Nicaraguan Association of Motor Vehicle Dealers (Andiva), the event's success is due in part to the banks which took part offering credit facilities with low interest rates and quick credit approval.
Distributors expect that at the end of 2013 a record will be broken when they register sales of 14,000 new cars.
Laprensa.com.ni reports: "The stabilization that the industry has experienced in recent years has been driven in part by attractive financing rates and the various marketing strategies which have been carried out."
One of the strategies is the trade sector fair Andiva Motor Show produced annually by the Nicaraguan Association of Automotive Vehicle Dealers (Andiva). In 2013 the sector expects 5% growth in sales, reaching 14,500 new vehicles, said Rafael Lacayo, president of Andiva.
In Nicaragua economic improvement has also translated into more sales of new and used cars, which grew by 25% and 6.4% respectively compared to 2011.
$300 million in imported vehicle sales was reported by the Directorate General of Customs up to September 2012.
Meanwhile, the Nicaraguan Association of Motor Vehicle Dealers, Andiva, reported that last year about 12,200 new vehicles were sold. The increase was 25%.
The year 2012 closed with about 13 000 new cars having been sold, 25% more than in 2011.
Laprensa.com.ni reports that "The sale of new cars reached a new record in Nicaragua. Up to 31st October 11.163 car sales were reported, according to the Nicaraguan Association of Motor Vehicle Dealers (Andiva ). This is superior to anything sold in 2011, and even exceeds the sales of the best year on record: 2008 when 10.545 units were sold.