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Bucharest
May 12, 2021
BUSINESS

Auto tax smothers second-hand cars’ market

The hiking of the car registration tax has led almost to the disappearance of second-hand car transactions, ‘Evenimentul Zilei’ informs. “The market is jammed. Now you can no longer buy a second-hand German car for EUR 5,000-6,000. This amount of money is only enough for a new mini class car. Because the sales dropped a lot many of the companies that were selling cars haven’t survived, with only physical persons being left now,” Florin Parvu, who owns Autovit, the largest fair for second-hand cars in the country, stated.
17,156 second-hand cars were bought in the first month that followed the car registration tax’s entry into force, but a significant part of them had been bought in the last days of December, thus being registered after the holidays. Since the cars no longer sell, the importers of second-hand vehicles have started to lower their prices. In Constanta an Opel Astra GTC, Euro 4, with a 1.8-liter gasoline engine and up to 70,000 kilometers on the clock can be bought for approximately EUR 7,000. Back in November it had a price of EUR 7,500. The registration tax forces the buyer to pay another EUR 900. In Timisoara a German Ford Focus with a 1.6-liter diesel oil engine and 90,000 kilometers on the clock can be bought for EUR 5,700, following a price cut of EUR 300. The registration tax for it stands at EUR 600.


APIA representatives nevertheless look at 2011 with optimism, estimating a sales hike of 20 per cent. The number of cars sold in January 2011 surpassed the one registered in the same month last year by 500 units, being a first sign of recovery.

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