Automobile – In a major turning point for the automobile market in Algeria, a recent reform opened the doors to the importation of utility vehicles less than three years old. This decision, taken within the framework of the 2024 Finance Law, aims to revitalize a sector in shortage and meet the growing needs of local consumers and businesses.
Starting next year, the automobile market in Algeria will see the liberalization of the importation of utility vehicles less than three years old, a decision taken by the Finance and Budget Commission of the National People’s Assembly. This reform, included in Article 113 bis 3 of the 2024 Finance Law, marks a significant change in the country’s automobile import policy.
The Commission justifies this decision by a notable shortage of utility vehicles on the Algerian market. Indeed, even if certain vehicles are available, they do not always meet consumer requirements. This import liberalization therefore aims to fill this void and offer more choices to end users.
This new policy is not limited to classic utility vehicles but also extends to electric tourist and utility vehicles. As well as gasoline-electric hybrid vehicles. This inclusion of electric and hybrid vehicles in the import regime underlines Algeria’s commitment to more sustainable and environmentally friendly mobility.
Alongside this reform, the Commission introduced 16 additional amendments and 5 new articles into the bill. These modifications concern various aspects of taxation and local resource management. Among them, is the revision of Article 15 which proposes a new distribution of revenue generated by the tax on gross domestic product for solidarity, a measure that replaces the abolished tax on professional activity.
Another notable aspect of these changes is the VAT exemption on sales of locally produced tilapia, contrasting with the imposition of a new tax on imported tilapia. This measure aims to support the local fish farming industry by encouraging the consumption of local products.
Finally, the law provides advantages for real estate developers, by modifying Article 81 to encourage the rapid completion of real estate projects. This measure is expected to stimulate the construction sector and contribute to the country’s economic growth.
This series of reforms shows Algeria’s commitment to revitalizing its economy by adapting its policies to meet the current needs of its market and population. With the opening of the commercial vehicle market, the country is taking another step towards modernizing its automotive sector and meeting the needs of its citizens and businesses.
