Isuzu East Africa offices.[Photo/Nation]
New cars sold last year dropped by 21 per cent as of a new report by car dealer Isuzu East Africa.
As of the end of December, a total of 10,722 new cars were sold which is a down fall from 13,535 units that were sold a year earlier.
The firm shows that sales of close to all classes of vehicles had a drop except in the medium trucks and mini-bus classes, signalling tough times for dealers.
The tense political situation in the country has been cited as the reason behind the drop in sales.
Economic performance was also low with credit growth rating over the demand for goods such as cars. Major customer like the government has opted to lease rather than buy new cars.
The leased cars are not captured as new report.
Only 36 half-tonne pick-ups were sold last year compared to 72 in 2016. Sales of large buses registered the second-highest drop, with 338 being sold last year compared to 689 in 2016.
There were fewer one-tonne pick-ups sold in 2017, with sales standing at 1,284 vehicles compared to 2,042 the previous year. Isuzu East Africa continues to dominate the market, with a market share