Iran Used Car Market Overview, 2029

Iran, a country rich in history and culture, has a used car industry that reflects the country's distinct blend of tradition and modernity. The automobile sector in Iran has long been an important part of the country's economic landscape, and the used car market exemplifies the dynamic interplay of forces influencing customer choices. As Iran enters a new period of economic problems and opportunity, the used automobile market serves as a barometer of the Iranian people's adaptability and aspirations. The endurance of Iran's used automobile market in the face of economic changes is critical. The Iranian automotive sector has endured hardships as a result of economic sanctions, but the used car market remains a thriving hive of activity. Iranians, well-known for their ingenuity and resourcefulness, often turn to the pre-owned vehicle market as a practical and economical solution to their transportation needs. This resilience is not only a testament to the pragmatism of Iranian consumers but also an indicator of the market's ability to withstand external pressures. Iran's young population, which is technologically aware, has added a new dimension to the used car industry. Vehicles with modern features, connection choices, and innovative safety technologies are in high demand. This shift is consistent with worldwide automotive industry trends, as younger Iranian customers prefer vehicles that interact smoothly with their digital lifestyles. Furthermore, Iran's wide and diversified terrain influences choices in the used automobile market. The demand for flexible cars that can negotiate varied terrains remains high, from congested urban centers to harsh rural settings. Buyers frequently prioritize qualities like fuel economy, durability, and off-road capability, reflecting the varying needs of people with diverse lifestyles. According to the research report "Iran Used Car Market Overview, 2029," published by Bonafide Research, the Iran Used Car market is expected to add more than USD 4 Billion from 2024 to 2029. In recent years, there has been a surge in interest in ecologically friendly transportation in Iran. The emphasis on sustainable practices and the global push toward greener technologies have influenced used automobile market decisions. Buyers are now considering variables such as fuel efficiency and pollution, which is fueling an increase in the demand for used hybrid and electric vehicles. Cars in Iran frequently have social significance in addition to their utilitarian utility. Owning a well-maintained and aesthetically beautiful used automobile can represent not only transportation but also a sense of pride, status, and cultural identity, making pre-owned vehicle purchases a complicated and culturally rooted practice. Iran's increasing middle class has contributed to an increase in demand for used cars. As more people enter the middle-income bracket, there is a greater desire for personal mobility, and the used automobile market becomes an important source of economical yet dependable transportation solutions. Iranians have a strong DIY culture, which influences their approach to auto maintenance. Many purchasers actively seek well-maintained old cars with a documented service history. This emphasis on maintenance is consistent with a culture that values personal investment in possession upkeep. Iran has a long history of automotive manufacturing, with domestically developed and manufactured vehicles. This history has influenced the availability of a varied range of native brands in the used automobile market, giving buyers a one-of-a-kind choice of possibilities in addition to international brands.

The vehicle type segment of the market is bifurcated into conventional, hybrid and electric. Electric vehicle type is expected to grow at rapid pace in Iran used car market during the forecasted period. Government programs and incentives are quite effective in encouraging the use of electric vehicles. The Iranian government has taken supportive measures for electric vehicles, such as tax breaks, subsidies, or infrastructure development, which are expected to boost growth in the market, including the used car segment. Iran has a young population that is more tech-savvy and open to new technology. This demographic transition may contribute to increased acceptance of electric vehicles, particularly as younger purchasers enter the used car market in search of technologically sophisticated and environmentally friendly options. Based on body type segment market is divided into hatchbacks, sedan, SUV & MUV and others (Coupe & Convertible). Sedan is among common body type used car purchased in Iran. Sedans typically have lower initial purchase prices than bigger vehicle categories such as SUVs or pickups. Furthermore, the cost of ownership, including fuel economy, maintenance, and insurance, is lower for sedans. Sedans are appealing to a wide variety of consumers due to their affordability in a market where economic concerns play a big role in purchasing decisions. Sedans are well-known for their fuel efficiency, making them ideal for both city commuting and long-distance trips. Sedans are well-suited to meet the demands of Iranian consumers, given the issues around fuel costs and the importance of efficiency in a country with changing gasoline rates. The fuel type segment of the market is divided into petrol, diesel, others (CNG, PNG, electric, etc.). Among them Petrol fuel type used cars are common in Iran. Iran is one of the world's main oil-producing countries; therefore, gasoline is readily available and reasonably priced. Because of the abundance of native oil resources, fuel prices are lower, making gasoline cars a more cost-effective option for consumers. Petrol cars often offer a diverse choice of types, such as sedans, hatchbacks, and SUVs, to appeal to a wide range of consumer preferences and needs. Because of their adaptability, gasoline-powered vehicles are appropriate for a wide range of driving situations and lifestyles. Based on size segment market is bifurcated into mid-size, compact and SUVs. Mid-sized used car is majorly purchased in Iran. Mid-sized cars frequently achieve a compromise between being small enough for city commuting and large enough to accommodate families. Mid-sized cars provide enough interior space and comfort for both small and medium-sized families in Iran, making them suitable for a variety of lifestyle needs. Iran has a number of densely populated urban regions, and mid-sized cars are ideal for negotiating city traffic and parking in congested places. Mid-sized cars utility in urban commuting scenarios contributes to their popularity among Iranian consumers who rely on their vehicles for everyday mobility. The distribution channel of the market includes offline and online. Online distribution channel is anticipated to play major role in development of used car market in Iran. The world is undergoing a digital change, and consumers increasingly prefer online platforms for a variety of transactions, including used automobile purchases. With the rise of digital connectivity and the proliferation of smartphones, buyers in Iran now have a quick and accessible way to browse, compare, and purchase used cars. Online marketplaces offer a large and diverse inventory of used cars from a variety of sellers, including dealerships and private sellers. This expanded assortment allows Iranian buyers to investigate a greater range of manufacturers, models, and price points, allowing informed decision-making. Furthermore, by providing thorough information, images, and car history reports, online platforms frequently enhance openness. Considered in this report: • Geography: Iran • Historic year: 2018 • Base year: 2023 • Estimated year: 2024 • Forecast year: 2029

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Aspects covered in this report: • Iran Used Car market with its value and forecast along with its segments • Various drivers and challenges • On-going trends and developments • Top profiled companies • Strategic recommendation By Vehicle: • Conventional • Hybrid • Electric By Body Type: • Hatchbacks • Sedan • SUV • Others (Coupe & Convertible)

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By Fuel Type: • Petrol • Diesel • Others (CNG, LPG, electric, etc.) By Vendor Type: • Organised • Unorganised By Size: • Mid-Size • Compact • SUVs By Distribution Channel: • Offline • Online The approach of the report: This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and list out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, and annual reports of companies, analyzing the government-generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers into regional aspects, tier aspects, age groups, and gender. Once we have primary data with us we started verifying the details obtained from secondary sources. Intended audience: This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to the Used Car industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.