THE GREEKS HAVE BEEN SWEEPING THE CAR MARKET IN RECENT YEARS

Car sales increased by 9.8% in the first quarter of 2024 as according to ELSTAT data, 87,203 cars (new or used foreign) were released for the first time compared to 79,387 cars released in the corresponding period of 2023. Of course, an increase of 16.4% was also recorded in the corresponding quarter of 2023, compared to the corresponding period of 2022.

In general, it is important to highlight the fact that the increase in car sales and ownership by more and more Greeks is a trend that has been formed over time, especially after the period of the economic crisis, with Greeks taking a "breather" and investing in car purchases, but also the coronavirus pandemic, which "took" even more drivers on the roads, even after the lifting of restrictions on travel, many people systematically avoided using public transport, choosing the safer and more 'convenient' option of the car, a trend which, as can be seen from the daily traffic congestion on the central axes of Athens, for example, is here to stay.

At the same time, the increase in disposable income - always in relation to previous crisis data - and, in some cases, the upgrading of infrastructure on the road network, has given an even greater boost to the car market.

Moreover, it is worth mentioning that many Greeks, especially the younger generations, who manage to put together a budget, prefer - and have the possibility - to invest in the purchase of a car, instead of a more expensive and even higher risk, option. Simply put, with the skyrocketing rental prices, and the housing market in general, for example, in the dilemma of "buy a car" or "rent a house so I can move out of the family home", most are choosing the former, leaving the house rent option for...later.?

Indicatively, 100,916 new cars were sold in Greece in 2021, which means that there was a significant 24.6% increase compared to 2020. In fact, this performance placed the country in the 4th highest increase in Europe, following France and Great Britain, which were in 2nd and 3rd place, respectively.

At the same time, it should be mentioned that the pandemic, the war in Ukraine and the delays in the delivery of new cars have caused an increase in demand, and as a consequence, in prices, for used cars, of as much as 15%, as potential buyers, due to the delays in the car industry, could not buy a new car immediately, so they resorted to the solution of used cars. Perhaps this contributes to the fact that Greece is at the top of the list of the oldest vehicle fleet in the European Union.

For some years now, most families in Greece have had more than one car, with two vehicles accounting for the largest proportion of families.

According to a study by ACEA (European Automobile Manufacturers' Association) for 2022, there were 5,495,927 cars on Greek roads. Even more interesting is the fact that there are 496 cars per 1,000 inhabitants, which means that one out of every two Greeks drives a car.

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In 2023, the total number of passenger cars in Greece is on the rise, reaching 5,877,759 units. It is also worth noting that most cars are located in the prefecture of Attica, reaching 3,300,107.

17 -YEAR- OLDS ARE NOW CAPABLE OF DRIVING

The trend was reinforced by the fact that the new Road Traffic Code and the special bill of the Ministry of Transport and Infrastructure, from 3-11-2021, reduced by one year, compared to the past, the age limit for obtaining a driving license. Thus, since then, all minors of 17 years of age can normally take an examination for obtaining a driving licence. The result is an increase in the number of drivers in each family, at a time when most Greeks refuse to give up driving and their vehicle, even if they are over 80 years old, by going through constant renewals. The younger generations are therefore demanding their own car and, as a consequence, we have a greater need for the supply of new cars in every household.

This increase in car sales should, of course, also raise concerns. These have to do with both the obvious issue of the heavy traffic that is now a daily phenomenon, especially in Athens, the need for the continuous improvement of the relevant infrastructure on the part of the state mechanism, and the crucial issue of the environmental footprint, for which efforts are of course being made, through the promotion of electromobility, but, as it seems, in terms of supporting infrastructure, Greece is still behind the rest of Europe.