Small Cars - Ukraine

Ukraine

Highlights

Revenue in the Small Cars market is projected to reach US$172m in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 0.21%, resulting in a projected market volume of US$174m by 2029.
Small Cars market unit sales are expected to reach 9.7k vehicles in 2029.
The volume weighted average price of Small Cars market in 2024 is expected to amount to US$18k.
From an international perspective it is shown that the most revenue will be generated China (US$13bn in 2024).

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Small Cars market in Ukraine has been experiencing significant growth in recent years.

Customer preferences: Ukrainian consumers have shown a strong preference for small cars due to their affordability, fuel efficiency, and compact size. Small cars are particularly popular in urban areas where parking spaces are limited and fuel costs are high. Additionally, the younger generation in Ukraine is increasingly opting for smaller, more environmentally friendly vehicles.

Trends in the market: One of the key trends in the Small Cars market in Ukraine is the increasing demand for electric and hybrid vehicles. As the government has introduced incentives and subsidies to promote the use of electric vehicles, more consumers are considering these eco-friendly options. This trend is expected to continue as the government continues to invest in charging infrastructure and implement stricter emissions regulations. Another trend in the market is the growing popularity of car-sharing services. Many urban dwellers in Ukraine are choosing to forgo car ownership and instead rely on car-sharing platforms for their transportation needs. This has led to an increase in demand for small cars that are well-suited for short trips and city driving.

Local special circumstances: The ongoing political and economic instability in Ukraine has had a significant impact on the Small Cars market. The depreciation of the local currency and the high inflation rate have made it difficult for consumers to afford larger, more expensive vehicles. As a result, many are turning to small cars as a more affordable alternative.

Underlying macroeconomic factors: The economic recovery of Ukraine has played a crucial role in the growth of the Small Cars market. As the country's economy has stabilized and incomes have increased, more consumers have been able to afford cars. Additionally, the government's efforts to improve infrastructure, such as road construction and maintenance, have made car ownership more feasible for many Ukrainians. In conclusion, the Small Cars market in Ukraine is experiencing growth due to customer preferences for affordability and fuel efficiency, as well as the increasing popularity of electric vehicles and car-sharing services. The local special circumstances, such as the economic instability, have also influenced the market. The underlying macroeconomic factors, including the economic recovery of Ukraine and infrastructure improvements, have further contributed to the market's growth.

Data coverage:

The data encompasses B2C enterprises. Figures are based on the sales of new passenger cars. Data on the specifications of the sold vehicles is based on the base models of the respective makes.

Modeling approach:

Market sizes are determined through a bottom-up approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use company reports and websites, vehicle registries, car dealers, and environment agencies among other sources. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP and car stock per capita. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, we use the ARIMA model for the Passenger Cars market. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:

The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year. In some cases, the data is updated on an ad hoc basis (e.g., when new, relevant data has been released or significant changes within the market have an impact on the projected development).