Inflation in Spain deeply impacted consumers' buying behavior, with some 85 percent of respondents to a July 2022 survey who had purchased a second-hand vehicle mentioning their decision to do so had been impacted by the new car price hike. By November 2022, new car purchasing intentions were slightly higher than for second-hand vehicles—22 percent compared to 16 percent—as inflation had also begun affecting the used car market. By June 1st, 2023, the online business-to-consumer used car retail price index had significantly decreased but remained above prices recorded in January 2022.
While used car sales to private individuals dropped between 2021 and 2022, companies and leasing businesses expanded their used vehicle fleets by nearly 28 and 36.5 percent, respectively, across the same period. Despite this sharp growth in the companies and leasing segments, this might not be enough to offset the uncertainty the used vehicle market faces. In 2022, second-hand vehicle imports increased by 20 percent. This was the only year-over-year increase recorded across used vehicle points of origin as companies, renting services, and leasing businesses provided fewer second-hand vehicles than in 2021. As these typically tend to offer younger used cars on the Spanish market, the decreased stock from these sources contributed to the aging of the Spanish used car market. In 2022, 60.7 percent of the second-hand automobiles sold were over 10 years old, the highest share recorded by this segment from 2009 to 2022. However, forecasts are optimistic that this share will decrease to just over half of the market in 2025.
Used cars in Spain: Differing from the national automotive retail
In 2022, Andalusia was the Spanish autonomous community reporting the largest used vehicle market, exceeding the sales recorded in Madrid, second in the ranking, by 51,600 sales (around 17.7 percent). However, the used car market is more qually balanced between regions than new cars counterpart. The Community of Madrid recorded over 342,400 new passenger car registrations in the same year, over triple the volume of Catalonia, the second-largest new automobile market. This is only one of the differences between the used and new vehicle markets in Spain, with the most popular vehicle segments also greatly differing. In the second-hand automobile market, most transactions involved purchasing medium and small passenger cars, while sport utility vehicles were the most prevalent among new car acquisitions.This dissimilarity is further visible in the best-selling brands. In 2022, three of the leading five car makes based on new registrations were headquartered in Asia, with Spanish car manufacturer SEAT not quite reaching the top five. In contrast, SEAT held the second-highest market share of the used vehicle market at 8.5 percent, behind Volkswagen. The five automotive brands with the largest market share in this ranking were also all European makes. This difference could be due to the available stock of specific brands and models on the second-hand market. In December 2022, the Toyota Corolla, C-HR, and RAV-4 were the fastest-selling used car models across fuel types, despite not ranking among the 2022 best-selling models.
Used electric vehicles: hurdles and opportunities
Though fossil fuel vehicles were still prevalent in both the used and new car markets, diesel was the leading fuel type for used passenger cars and used light commercial vehicles in 2022. In contrast, petrol still comprised Spain's biggest share of new passenger car sales that year. However, while the percentage of used alternative fuel vehicles in Spain remained low, the Spanish government has been taking active steps to improve the country's fleet electrification through its MOVES III plan. Initially set up in 2021, the plan has provided financial subsidies for the purchase of used electric vehicles under one year old since May 31st, 2023. Before then, grants had included Km0 vehicles (also known as nearly-new vehicles), also considered used vehicles. Used battery-electric vehicles are among Spain's most expensive used cars, second only to plug-in hybrids–the most popular new electric vehicle type as of 2022, which contributes to the higher price point of its used counterpart. In January 2023, fully electric vehicles had an average list price of nearly 42,200 euros, while plug-in hybrid electric cars cost an average of 57,400 euros. However, 57 percent of respondents to a September 2022 survey in Spain were unwilling to pay over 20,000 euros for a used electric vehicle.Despite the disconnect between consumer expectations and price point, over 1,800 used electric vehicles (EVs) under one year old were sold in Spain in the first half of 2023, making it the most prominent age group for used EVs, just above those between one and three years old. Older vehicles over five years old were less common, partly due to range anxiety and concerns relating to battery lifespan.