The Algerian market declined sharply in the first half of 2014
- The Algerian market (PC + LCV) has declined sharply in the first half of 2014, down around 25% compared to the same period in 2013, this bodes well for a volume of about 300 000 units throughout the year, against 400 000 in 2013 and 437 000 in 2012, the market decline actually began in 2013 with the second half of year well bellow that of the first half.
- Factors specific to the Algerian market which are not related to economic growth explain this fall. Thus, the end of the salary recall of civil servants (salaries weren't paid for several years and when they eventually were they were backdated) and the change in priority of household spendings towards other things, such as housing have impacted the market. After exponential growth between 2010 and 2013, the 2014 market volume is therefore more in line with its potential.
- Algeria having had to import all of its vehicles until the end of 2014, the level of imports was consequently also down. A decrease accentuated by the high level of current stocks. To regulate the importation of new vehicles, the Government introduced several measures including limiting the importation of vehicles by car dealers, banning the latter from importing vehicles on the behalf of other dealers or individuals outside of their distribution networks and the obligation to set up an industrial or service activity within three years.
- It is in this specific context that the Renault plant in Oran should begin operation in November 2014.
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