Motorcycles - Ethiopia

Ethiopia

In 2024, the projected revenue in the Motorcycles market in Ethiopia is expected to reach US$752.20m.
It is also anticipated that the revenue will show an annual growth rate (CAGR 2024-2028) of 1.53%, resulting in a projected market volume of US$799.30m by 2028.
The largest segment in the market is On-road Motorcycles, which is expected to have a projected market volume of US$357.90m in 2024.
Furthermore, the unit sales of Motorcycles market in Ethiopia are predicted to reach 379.90k motorcyles in 2028.
Additionally, the volume weighted average price of Motorcycles market in the Ethiopian market is expected to be US$2.06k in 2024.
It is worth noting that Bajaj Motorcycles is projected to have the highest market share in the selected region, with a motorcycle unit sales share of 0.0% in 2024.
Moreover, the value market share of Bajaj Motorcycles is expected to stand at 0.0% in 2024.
From an international perspective, it is interesting to observe that the country generating the most revenue in the Motorcycles market in 2024 is in India, with a projected revenue of US$31,140.00m.
Despite the lack of proper infrastructure and limited purchasing power, the demand for motorcycles in Ethiopia is steadily increasing due to their affordability and versatility in navigating through congested city streets.

Key regions: Thailand, Italy, Indonesia, Spain, Germany

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Analyst Opinion

The Motorcycles market in Ethiopia has been experiencing significant growth in recent years.

Customer preferences: Motorcycles are a popular mode of transportation in Ethiopia due to their affordability and fuel efficiency. In rural areas, where public transportation options are limited, motorcycles provide a convenient and reliable means of travel. Additionally, motorcycles are often used for commercial purposes, such as delivery services and transportation of goods, further driving the demand for these vehicles.

Trends in the market: One of the key trends in the Ethiopian motorcycles market is the increasing demand for electric motorcycles. As the government focuses on promoting sustainable and environmentally friendly transportation options, the adoption of electric motorcycles has been on the rise. This trend is in line with the global shift towards electric vehicles and reflects the growing awareness of the need for cleaner transportation solutions. Another trend in the market is the emergence of motorcycle ride-hailing services. Similar to popular ride-hailing platforms in other countries, motorcycle ride-hailing services provide an affordable and convenient mode of transportation for city dwellers. This trend has gained traction in urban areas, where traffic congestion is a major issue, and motorcycles can navigate through congested roads more easily than cars.

Local special circumstances: Ethiopia has a large rural population, with limited access to public transportation. This has created a strong demand for motorcycles in rural areas, where they serve as a primary mode of transportation. The rugged terrain and poor road infrastructure in some parts of the country make motorcycles a more practical choice for navigating these areas.

Underlying macroeconomic factors: Ethiopia has been experiencing steady economic growth in recent years, which has contributed to the increasing purchasing power of the population. As more people are able to afford motorcycles, the demand for these vehicles has grown. Additionally, the government has implemented policies to support the growth of the automotive industry, including the reduction of import tariffs on motorcycles, which has made them more affordable for consumers. In conclusion, the motorcycles market in Ethiopia is witnessing significant growth due to customer preferences for affordable and fuel-efficient transportation options. The trends in the market, such as the increasing demand for electric motorcycles and the emergence of motorcycle ride-hailing services, reflect the global shift towards sustainable and convenient transportation solutions. The local special circumstances, including the limited access to public transportation in rural areas and the poor road infrastructure, further drive the demand for motorcycles. The underlying macroeconomic factors, such as the steady economic growth and government support for the automotive industry, have also contributed to the growth of the motorcycles market in Ethiopia.

Methodology

Data coverage:

Data encompasses B2C enterprises. Figures are based on motorcycle sales and revenue excluding scooters/mopeds under 50cc category.

Modeling approach / Market size:

Market sizes are determined by a Bottom-Up approach, based on a specific rationale for each market segment. As a basis for evaluating markets, we use manufacturer websites, national statistics offices, motorcycle associations, motorcycles sales websites. Next we use relevant key market indicators and data from country-specific associations such as GDP per capita, consumer price index, consumer spending, and population. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. For example, the forecasting is done on a make level for Motorcycles, using a mix of standard approaches, e.g., exponential smoothing, and uses parameters which best fit the historical data. The main drivers are GDP per capita, consumer price index, consumer spending, and population.

Additional Notes:

The market is updated once a year.