Ukraine's new commercial vehicles market up 11% in Jan 2024, China's JAC is in its top three for first time

MOSCOW. Feb 6 (Interfax) - The number of new commercial vehicles (trucks and specialized vehicles) were registered in Ukraine in January 2024 increased 11% to 783 compared to the respective period of 2023, Ukrainian media outlets said, citing information circulated by the Ukravtoprom association on social media.

"It is 13% less than the figures seen in his segment of the auto market in January 2021, i.e. before the start of the crisis," Ukravtoprom said.

Renault remains the market bestseller with 259 vehicles registered (a decline of 13.7%, or by 41 vehicles, from January 2023).

China's JAC is now the first runner-up with 50 vehicles registered. In January 2023, JAC was not even among the top 15 brands on the Ukrainian market, but climbed to the 12th position with 44 vehicle registered in December 2023.

Opel is in third place (41 vehicles), Citroen is one position down (39 vehicles), and Mercedes-Benz is fifth (36 vehicles).

As reported, Ukravtoprom's top five brands of commercial and specialized vehicles in January 2023 were Renault, Fiat, Mercedes-Benz, Ford, and Volvo.

The Auto-Consulting information analysis group, in turn, said on its website that China's JAC became the truck segment's leader in January 2024 with a 17.2% market share, due to a large-scale cooperation program with Ukrainian special hardware producers and its updated model range.

"Major changes occurred on the truck market in January. The total volume of sales rose 11.7%, but the number of heavy-duty trucks shipped to customers dropped 28%. The latter indicator is very alarming. Market growth in January was aided by trucks in the light-duty and medium-duty segment, which allowed the new brand to become the leader," Auto-Consulting said.

JAC's share has almost reached the market share once held by Belarusian MAZ trucks, it said.

Meanwhile, European producers of heavy-duty trucks saw a "sluggish start" in January amid a decline in demand for trucks over 16 tonnes, and in tender purchases these players have a less attractive price than Chinese brands.

"The January truck market showed that the trend toward the European Seven's [largest truck manufacturers] dominance on the market will gradually subside in 2024, while budget-funded and tender purchases will enable new leaders to take a foothold," it said.

Meanwhile, the Budshlyakhmash company, the JAC official distributor in Ukraine, said that it is starting to assemble JAC vehicles under license in 2024.

"During the visit [to China as part of the JAC Global Partners Conference], the company was recognized as the fastest growing in terms of selling and promoting JAC brand vehicles among more than 90 representatives," it said.

A strategic partnership for 2024-2026 was secured at negotiations with the JAC director general, and an agreement was reached on assembling JAC trucks in Ukraine under license, the company said.

Budshlyakhmash said it imported 500 JAC trucks to Ukraine in 2023 and in early 2024.

As reported, according to Ukravtoprom, Ukraine's market for commercial and specialized vehicles increased 65% to over 11,300 vehicles in 2023 year-on-year. According to Auto-Consulting data, Sweden's Scania was far ahead in the segment of trucks weighing more than 3.5 tonnes.