The Center for Economic Research and Reforms (CERR) assessed changes in prices in the secondary car market. Experts compared prices for July-October 2020-2021.
As the press service of the analytical center, to analyze the secondary car market of Uzbekistan, the web scraping method was applied using machine learning methods, in which a computer program extracts data from the source data created by another program. Data cleansing occurs when an application is used to retrieve information from the website. The most common uses of web scraping include data collection, price monitoring and comparison, market research and product analysis.
According to the State Statistics Committee, in Uzbekistan last year the number of cars increased by 14.5%. On average, there are 50 cars for every 100 families. The domestic brand UzAuto Motors remains the leader of the secondary car market. In July-October 2021, cars of this brand occupied 67.7% of the used car market. The second place is taken by the Lada brand, the specific weight of which is 15.3% of the secondary car market.
In 2021, compared to 2020, despite the factor of obsolescence by a year, prices for some national car models have slightly increased. If in 2020, $9.6 thousand was offered for the second position of 2019 Chevrolet Cobalt, then in 2021, the offer price increased to $10.2 thousand.
The analysis showed that prices for all options of Chevrolet Cobalt increased by an average of 4%, Chevrolet Spark – by 4%, and Chevrolet Lacetti – by 2%.
At the same time, Chevrolet Captiva became cheaper by 5%, Chevrolet Matiz – by 2%, Chevrolet Damas – by 2%, Labo – by 10%. Russian imported cars also fell slightly in price: Lada Vesta – by 2% and Lada Largus – by 2%.
When comparing prices for relatively new cars (the reporting year of production), it turned out that prices rose significantly in 2021. If in 2020, $10 thousand was offered for a Chevrolet Cobalt of the second position of the same year of production, then in 2021, the offer price of a car of 2021 production increased to $11.2 thousand.
Prices for all options of Chevrolet Cobalt went up by 12%, Chevrolet Spark – by 5%, Chevrolet Lacetti – by 7%, Chevrolet Malibu – by 18%, Chevrolet Tracker – by 14%. At the same time, prices for Damas and Labo remained almost unchanged. A significant increase in prices was observed mainly for the middle car positions (second and third positions).
A sharp jump in prices in the secondary car market may be associated with a slowdown in the production of new domestic cars, which, with a constant level of demand growth, led to the activation of the secondary market. In its plant, UzAuto Motors was closed from mid-July to the end of August this year due to the ongoing modernization. In addition, due to the global shortage of semiconductors, production of Chevrolet Lacetti and Chevrolet Spark vehicles has also been suspended. The company has now resumed production of all popular car models.
Analysts note that according to the results of last year’s study of the auto aftermarket, based on the econometric modeling method, one-year wear and tear of a car led to a decrease in its value by an average of about $300-400. At the same time, due to the ongoing pandemic and caused by the global shortage of microchips and the rupture of global supply chains, the supply curve has shifted to the left.