Aze.US
Car imports into Azerbaijan have dropped sharply at the start of the year after tax and customs incentives expired, leaving the Baku customs terminal largely empty following a surge in deliveries late in 2025.
Economists say the slowdown was expected. Businesses and private buyers accelerated purchases ahead of the incentives’ expiration, pushing vehicle imports roughly 30% higher last year and temporarily saturating the market.
With the preferential regime no longer in place, demand for new cars has weakened and is gradually shifting toward the secondary market. Analysts expect increased activity in used-car sales during the first half of 2026.
Additional pressure comes from regulatory limits on the number of taxis allowed to operate in Baku. The official quota stands at about 25,000 vehicles, while the actual number is higher, reducing incentives for further fleet expansion and new imports.
Market specialists view 2026 as a transition year for Azerbaijan’s automotive sector, with import volumes likely to stabilize from 2027 as prices and consumer demand adjust to the post-incentive environment.