Asia Pacific Used Car Market Revenue and Forecast to 2027 –Segmentation by Fuel Type, Car Type & Country
Executive Summary
The Asia Pacific Used Car Market is expanding at a moderate rate and in 2020 growth was slow as compared to the previous years. However, by the second half of 2021, the industry has started steadily developing, and it is predicted to grow in the years to come driven by rising need for personal mobility, extreme weather conditions, rising new car prices and many others. The Asia Pacific used car market grew at a CAGR of 4% in last five years. In addition, countries including Japan, Thailand, Philippines and India, are experiencing a sharp rise in demand for used cars.
However, the COVID-19 pandemic has caused havoc in the automotive sector. Customers have shown a preference for private transportation due to time restraints and worries about safety during the outbreak. Similar to the above, the exponential financial slowdown will likely make it more difficult for visitors to purchase brand-new vehicles, which will make used vehicles more tempting to them. As a result, it is projected that the used car market would expand in the years to come.
Moreover, the online sales are now a more important factor in market growth. Websites for vehicle marketplaces have been crucial in enabling one-click access for clients. Together, these factors helped to increase the market for used cars dramatically.
As in almost all buyers of used cars in Thailand and Indonesia began their car-buying process online, which shows how rapidly e-commerce is expanding in these markets. Due to the removal of time and geographical limitations, online used automobile sales are in high demand in the Asian countries including India, China, and Japan. The sector has benefited from practical used-car advertising options owing to digitalization and e-commerce, which has also increased its reach in the area. The first benefit of using an e-commerce platform for used car sales is that it can eliminate many middlemen, lower the cost of sales, and lower the sales price. The second benefit is that it can lower inventory expenses, increase inventory turns, and lower costs.
COVID-19 Impact on Asia Used Car Market: The COVID-19 pandemic had impacted both supply and demand. Countries were compelled, due of the pandemic, to temporarily reduce demand for both new and used vehicles in the Asia-Pacific region. Furthermore, consumer purchasing has been impacted globally due to the global economic slump. Car sales have decreased as a result of this. The demand for new or used cars has increased as a result of the shift in preference from cabs and public transportation to owning a car, which has been brought on by majority of the population to avoid public transportation due to social distancing conventions and fear of infection. In addition, a sizable portion of people want to purchase automobiles now that the epidemic has subsided and the limits on mobility have been eased.
Asia Pacific Economic Performance
In Asia Pacific region, the recovery from the pandemic has been worsened by the ongoing war between Russia and Ukraine exacerbating the GDP growth. On the other hand, the Asian and Pacific region to grew faster in 2022 because of accelerating vaccination and policy support. In the Asian region, the projected GDP growth is higher for India at 9.5% followed by China at 8.0% for the year 2021. For 2022, India leads the race in GDP growth with its economy expecting to grow by 8.5% much higher than any other country in the world. In the Pacific Region, New Zealand is expected to grow by 5.1% and 3.3% respectively in 2021 and 2022 whereas, Australia, another advanced economy is expected to grew by 3.5% in 2021 and 4.1% in 2022.
Asia Automobile Market Performance
Attributed to the rising car sales, especially from China, Japan, and India, the Asia-Pacific region is expected to maintain a strong market position. Major automakers have manufacturing plants in this region to accommodate the increasing market demand. Due to the growing car sector in Asia-Pacific countries, major automotive manufacturers and distributors have numerous investment options. In recent years, there has been a significant increase in the production and manufacturing of automobiles, mainly in Malaysia, Thailand, Indonesia, and Vietnam. Even though all of these nations have focused on the expansion of the automotive sector, their various consumer populations and market niches are highly distinct.
Segmentation
By Vendor Type: The used car market is divided into organised dealers and unorganised dealers based on the type of vendor. In 2021, unorganised dealers dominated the market with organised dealers coming in second. In addition, the number of unorganised independent dealers in the used car market is rising due to affordability and easy access to finance. As a result, given its low prices and lax paperwork requirements, the used car market could present a chance for disorganised dealers.
By Fuel Type: The market is divided into Petrol, Diesel, Electric and CNG. In the Asia Pacific Used Car Market in 2021, the petrol segment had the biggest volume share of more than 40%. This is related to the declining use of diesel vehicles as many governments forbid the acquisition of secondhand diesel vehicles. Whereas, the others segment is predicted to grow significantly during the forecasted period. In emerging countries, the volume of used CNG car sales has also risen over time.
By Countries: In 2021, China held the largest market share in Asia Pacific Used Car Market followed by Japan, Indonesia and India. China is one of the world's largest auto marketplaces, producing more than half of all automobiles worldwide. China is both the world's largest used car market and the world's largest automobile producer. China’s government has introduced a series of measures over the recent years with the view of stimulating the sale of used cars in the country.
Whereas, the used car market in Japan offers a wide range of vehicles, including accident-damaged, brand-new, and damaged vehicles. All across the world, used Japanese cars were sold through auction houses. The main factor contributing to Japan's used car's growth is the country's exquisite reputation for used car sales, which is attracting domestic as well as foreign customers.
While new car sales are declining in Indonesia, the used car market is booming as more people opt for used vehicles over new ones since they are more affordable. Many consumers opt to buy used automobiles, according to used car dealers, not only because they are less expensive, but also because vehicles between the ages of three and seven are still in good condition.
India, on the other hand, has the smallest market share because the used automobile industry there is still developing and has a lot of space to grow. Before the COVID pandemic, purchasing a used car was frowned upon, but when the pandemic reduced savings and purchasing power, individuals started turning to used cars as first-time buyers.
Scope of the Study
Makreo Research has published Asia Pacific used car industry titled Asia Pacific Used Car Market Revenue and Forecast to 2027–Segmentation by Fuel Type, Car Type & Country". The report delves deeply into various parameters such as Market size, segmentation value chain analysis, and industry cause and effect analysis. The study discusses, Asia car sales statistics in comparison to Second hand car sales in Asia.
The study includes market dynamics that provide an understanding of industry opportunities, driving forces, major challenges impeding growth, and an analysis of future opportunities that may help market players capitalise on untapped business potential in the specific geography. Future growth of Asia used car market has also been discussed in the report in detail. Asia Pacific used car market report is the right blend of qualitative and quantitative factors.
Asia Pacific Used Car Market Segmentation
The Asia Pacific Used Car Market is expanding at a moderate rate and in 2020 growth was slow as compared to the previous years. However, by the second half of 2021, the industry has started steadily developing, and it is predicted to grow in the years to come driven by rising need for personal mobility, extreme weather conditions, rising new car prices and many others. The Asia Pacific used car market grew at a CAGR of 4% in last five years. In addition, countries including Japan, Thailand, Philippines and India, are experiencing a sharp rise in demand for used cars.
However, the COVID-19 pandemic has caused havoc in the automotive sector. Customers have shown a preference for private transportation due to time restraints and worries about safety during the outbreak. Similar to the above, the exponential financial slowdown will likely make it more difficult for visitors to purchase brand-new vehicles, which will make used vehicles more tempting to them. As a result, it is projected that the used car market would expand in the years to come.
Moreover, the online sales are now a more important factor in market growth. Websites for vehicle marketplaces have been crucial in enabling one-click access for clients. Together, these factors helped to increase the market for used cars dramatically.
As in almost all buyers of used cars in Thailand and Indonesia began their car-buying process online, which shows how rapidly e-commerce is expanding in these markets. Due to the removal of time and geographical limitations, online used automobile sales are in high demand in the Asian countries including India, China, and Japan. The sector has benefited from practical used-car advertising options owing to digitalization and e-commerce, which has also increased its reach in the area. The first benefit of using an e-commerce platform for used car sales is that it can eliminate many middlemen, lower the cost of sales, and lower the sales price. The second benefit is that it can lower inventory expenses, increase inventory turns, and lower costs.
COVID-19 Impact on Asia Used Car Market: The COVID-19 pandemic had impacted both supply and demand. Countries were compelled, due of the pandemic, to temporarily reduce demand for both new and used vehicles in the Asia-Pacific region. Furthermore, consumer purchasing has been impacted globally due to the global economic slump. Car sales have decreased as a result of this. The demand for new or used cars has increased as a result of the shift in preference from cabs and public transportation to owning a car, which has been brought on by majority of the population to avoid public transportation due to social distancing conventions and fear of infection. In addition, a sizable portion of people want to purchase automobiles now that the epidemic has subsided and the limits on mobility have been eased.
Asia Pacific Economic Performance
In Asia Pacific region, the recovery from the pandemic has been worsened by the ongoing war between Russia and Ukraine exacerbating the GDP growth. On the other hand, the Asian and Pacific region to grew faster in 2022 because of accelerating vaccination and policy support. In the Asian region, the projected GDP growth is higher for India at 9.5% followed by China at 8.0% for the year 2021. For 2022, India leads the race in GDP growth with its economy expecting to grow by 8.5% much higher than any other country in the world. In the Pacific Region, New Zealand is expected to grow by 5.1% and 3.3% respectively in 2021 and 2022 whereas, Australia, another advanced economy is expected to grew by 3.5% in 2021 and 4.1% in 2022.
Asia Automobile Market Performance
Attributed to the rising car sales, especially from China, Japan, and India, the Asia-Pacific region is expected to maintain a strong market position. Major automakers have manufacturing plants in this region to accommodate the increasing market demand. Due to the growing car sector in Asia-Pacific countries, major automotive manufacturers and distributors have numerous investment options. In recent years, there has been a significant increase in the production and manufacturing of automobiles, mainly in Malaysia, Thailand, Indonesia, and Vietnam. Even though all of these nations have focused on the expansion of the automotive sector, their various consumer populations and market niches are highly distinct.
Segmentation
By Vendor Type: The used car market is divided into organised dealers and unorganised dealers based on the type of vendor. In 2021, unorganised dealers dominated the market with organised dealers coming in second. In addition, the number of unorganised independent dealers in the used car market is rising due to affordability and easy access to finance. As a result, given its low prices and lax paperwork requirements, the used car market could present a chance for disorganised dealers.
By Fuel Type: The market is divided into Petrol, Diesel, Electric and CNG. In the Asia Pacific Used Car Market in 2021, the petrol segment had the biggest volume share of more than 40%. This is related to the declining use of diesel vehicles as many governments forbid the acquisition of secondhand diesel vehicles. Whereas, the others segment is predicted to grow significantly during the forecasted period. In emerging countries, the volume of used CNG car sales has also risen over time.
By Countries: In 2021, China held the largest market share in Asia Pacific Used Car Market followed by Japan, Indonesia and India. China is one of the world's largest auto marketplaces, producing more than half of all automobiles worldwide. China is both the world's largest used car market and the world's largest automobile producer. China’s government has introduced a series of measures over the recent years with the view of stimulating the sale of used cars in the country.
Whereas, the used car market in Japan offers a wide range of vehicles, including accident-damaged, brand-new, and damaged vehicles. All across the world, used Japanese cars were sold through auction houses. The main factor contributing to Japan's used car's growth is the country's exquisite reputation for used car sales, which is attracting domestic as well as foreign customers.
While new car sales are declining in Indonesia, the used car market is booming as more people opt for used vehicles over new ones since they are more affordable. Many consumers opt to buy used automobiles, according to used car dealers, not only because they are less expensive, but also because vehicles between the ages of three and seven are still in good condition.
India, on the other hand, has the smallest market share because the used automobile industry there is still developing and has a lot of space to grow. Before the COVID pandemic, purchasing a used car was frowned upon, but when the pandemic reduced savings and purchasing power, individuals started turning to used cars as first-time buyers.
Scope of the Study
Makreo Research has published Asia Pacific used car industry titled Asia Pacific Used Car Market Revenue and Forecast to 2027–Segmentation by Fuel Type, Car Type & Country". The report delves deeply into various parameters such as Market size, segmentation value chain analysis, and industry cause and effect analysis. The study discusses, Asia car sales statistics in comparison to Second hand car sales in Asia.
The study includes market dynamics that provide an understanding of industry opportunities, driving forces, major challenges impeding growth, and an analysis of future opportunities that may help market players capitalise on untapped business potential in the specific geography. Future growth of Asia used car market has also been discussed in the report in detail. Asia Pacific used car market report is the right blend of qualitative and quantitative factors.
Asia Pacific Used Car Market Segmentation
- Asia Pacific Automobile Market
- Asia Pacific Used Car Market
- By Vendor Type
- Organized
- Unorganized
- By Fuel Type
- Petrol
- Diesel
- Electric
- CNG
- By Country
- China
- Japan
- Indonesia
- India
- Cars24,
- Mahindra First Choice,
- eBay,
- Autohome INC,
- Carousell,
- Carro,
- Carsome,
- Maruti True Value,
- Unix Group,
- K Car,
- iCar Asia,
- SBT Co Ltd.
- How Asia pacific Used Car industry performed in the past and how is it performing in present?
- What are the main factors affecting the micro and macro levels of the Asia Pacific Used Car Industry's growth?
- What is the expected future growth of Asia used car market?
- Asia Pacific Used Car Market Revenue and Forecast.
- What major economies in the region have been adversely affected by the virus outbreak and how is the Asian economy doing as a result?
- Where does Asia-Pacific fit into global trade, and how is the used car industry doing right now?
- How is the Asia Pacific automotive industry faring in spite of the global economic downturn?
- Was COVID-19 a chance for the used car market in Asia and the Pacific?
- What are the key segments of used car in Asia Pacific?
- Asia Car sales statistics vs. second hand car sales in Asia Pacific.
- Which Fuel Type Vehicle is Gaining Popularity in the Used Car Market in Asia and the Pacific?
- Who are the key market players in Asia used car market?
- What prospects are anticipated to support the revenue of the Asia Pacific used automobile market in the future?
- Report Synopsis
- Industry Overview
- 1. Research Methodology
- Objective of the Study
- Research Process
- Data Collection Methods
- Analytical Framework
- 2. APAC EPTD Analysis (Economic, Political, Technological and Demographic)
- APAC Overview – EPTD Analysis
- EPTD Analysis: Economic Overview
- EPTD Analysis: Political Overview
- EPTD Analysis: Technological Overview
- EPTD Analysis: Demography Overview
- 3. Asia Pacific Used Car Market – Trade Performance
- Asia-Pacific Automobile Trade Performance- An Overview
- Asia-Pacific New Cars Trade Performance
- Asia-Pacific Used Cars Trade Performance- Key Facts
- China Used Cars Trade Performance- Key Facts
- China Used Vehicle Demand & Trade by Type
- India Used Cars Trade Performance
- Japan Used Car Export Performance
- Asia Pacific Used Cars Trade Performance
- 4. COVID-19 & Impact Assessment
- Impact of COVID-19 over Asia Pacific Economy
- Impact of COVID-19 over Asia Pacific Automobile Industry
- Impact of COVID-19 over Asia Pacific Automobile Industry – Country Assessment
- Impact of COVID-19 over Asia Pacific Used Car Markets
- 5. Asia Pacific Automobile Market Performance
- Asia Pacific Automobile Market – Post COVID-19 Scenario: Key Facts
- Car Sales in Key Asian Economies
- Asia Pacific Automobile Production
- Asia Pacific Automobile Production by Countries
- Asia Pacific Automobile Sales by Countries
- Asia Pacific Automobile Sales in 2021
- Comparative Analysis of Used Cars Vs. New Cars
- 6. Asia Pacific Used Car Market Revenue and Segmentation Analysis
- Asia Pacific Used Car Market Structure
- Asia Pacific Used Car Market – An Overview
- Asian Countries Used Car Demand (Japan, Indonesia, China, India)
- Asia Pacific Used Car Market Revenue (Past and Present Performance)
- Asia Pacific Used car Market Segmentation by Vendor Type (Organized and Unorganized)
- Asia Pacific Used Car Market Segmentation by Fuel Type (Petrol, Diesel, Electric, CNG)
- Asia Pacific Used Car Market Segmentation by Geography
- 7. Asia Pacific Used Car Market Segmentation by Geography – China, Japan, Indonesia, India
- Asia Pacific Used Car Market Performance: By Countries (China, Japan Indonesia India and Rest of APAC)
- China Used Car Market Performance
- China Used car Market Revenue and Forecast
- Japan Used Motor Vehicle Sales by Vehicle Type
- Japan Used Car Market Revenue and Forecast
- Indonesia Used Car Market – An Overview
- Indonesia Used Car Market by Type (MPV, SUV, Hatchback, Sedan, Commercial, Others)
- Indonesia Used car Market Revenue and Forecast
- India Used Car Market – An Overview
- India Used vs New Passenger Vehicles Demand
- India Used car Market Revenue and Forecast
- 8. Asia Pacific Used Car Market Future Outlook
- Asia Pacific Used Car Market Future Driving Factors
- Asia Pacific Used Car Market Future Forecast
- 9. Asia Pacific Used Car Market– Macro Economic Factors
- 10.Asia Pacific Used Car -Market Dynamics
- Industry Trends and Developments
- Industry Driving Forces
- Industry Challenges
- 11.Asia Pacific Used Car Market –Mergers & Acquisition
- APAC Used Car Market Companies Mergers /Acquisitions/ Investments 2018-2022
- Asia Pacific Used Car Market – Funding Timeline
- 12.Asia Pacific Used Car Market – Company Profiles
- Company Profile – Cars24
- Company Profile – Mahindra First Choice
- Company Profile – eBay
- Company Profile – Autohome INC
- Company Profile – Carousell
- Company Profile – Carro
- Company Profile – Carsome
- Company Profile – Maruti True Value
- Company Profile – Uxin Group
- Company Profile – K Car
- Company Profile – SBT Co. Ltd.
- Company Profile – iCar Asia
- Limitations of the Study
Research Assistance
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