Singapore Used Car Market Size (2024 - 2029)

Singapore Used Car Market Analysis

The Singapore Used Car Market size is estimated at USD 45.81 billion in 2024, and is expected to reach USD 57.36 billion by 2029, growing at a CAGR of greater than 4.60% during the forecast period (2024-2029).

Over the medium term, factors such as increasing purchasing power and easy availability of finance are expected to contribute positively to the growth of the used car market in Singapore. Rising digitalization, internet penetration, and an increase in online players are likely to act as critical factors in boosting the sale of used cars. They have made the overall process of selling and buying used cars quite convenient and prompt.

However, recent incidents, such as a surge in used car prices across the country due to rising certificate of entitlement (COE) premiums and large car COEs breaching the USD 100,000 mark, indicate signs of a weakening market. Such instances are forcing dealers to uphold prices on cars they had bought when the market price was high. If prolonged, these factors are estimated to act as potential challenges.

• The rise in value-added service offerings and the variety of finance providers offering credit for used cars are also expected to drive the growth of the used car market in the region. However, the higher interest rates might turn away some potential customers.
• Another major factor aiding the market's growth is the emergence of various non-banking finance companies offering low interest rates compared to banks and flexible installment options.
• Central Singapore, followed by the North East and North West community development council, is expected to see positive growth during the forecast period. The demand is expected to be driven by high-net-worth individuals and consumers' inclination toward immersive purchase experiences provided by several used car dealers operating across these regions in the country.

Singapore Used Car Industry Segmentation

A used car, a pre-owned vehicle, or a secondhand car is a vehicle that has previously had one or more retail owners. Used cars are sold through various outlets, including franchise and independent car dealers, rental car companies, buy-here-pay-here dealerships, leasing offices, auctions, and private party sales. The scope of the report covers details on the latest technologies, trends, and developments in the market.

The used car market in Singapore is segmented by vehicle type, fuel type, booking type, and vendor type. By booking type, the market is segmented into hatchback, sedan, sports utility vehicle (SUV), and multi-purpose vehicles (MPVs)). By fuel type, the market is segmented into gasoline, diesel, and other fuel types. By booking type, the market is segmented into online and offline booking. By vendor type, the market is segmented into organized and unorganized. For each segment, market sizing and forecast are done based on value (USD).