Preventing the import of used cars in Syria … economic pressure or organizational steps? | economy

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In a move that sparked widespread controversy in the economic and popular circles, the Syrian Ministry of Economy and Industry issued a decision to stop the import of used cars from the date of its issuance, with limited exceptions that include the heads of the locomotive, trucks, public works mechanisms, and agricultural tractors, provided that it does not exceed 10 years except for the year of manufacture, in addition to passenger buses that contain 32 seats or above, on condition that not It exceeds 4 years, except for the year of manufacture. The decision also included preventing the import of new two -year -old cars, with the exception of the year of manufacture.

It seems that the government trend aims to reduce the import bill and reduce the depletion of foreign pieces, in an attempt to control the trade deficit and direct resources towards the productive sectors.

However, the decision raises wide questions about its actual reflection on the Syrian street, in the absence of real local alternatives to the auto industry that can block the gap resulting from the stopping of import.

High prices and increase burdens

The decision directly led to the high prices of used cars in the local market as a result of the decrease in the supply, which constituted an additional burden on citizens, especially those with limited income who were dependent on used cars as a less expensive option.

Traders who imported before the decision will be the largest beneficiaries of it (Al -Jazeera)
Traders who imported before the decision will be the largest beneficiaries of it (Al -Jazeera)

Fears have increased that the decision will contribute to stimulating smuggling or increasing dependence on the black market, which may lead to counterproductive results at the economic and supervisory levels.

Government view

Speaking to Al -Jazeera Net, Qasim Kamel, Director of Governmental Communication at the Syrian Ministry of Economy, stated that the decision came as a result of a clear imbalance in the market balance, after the entry of large quantities of used cars from the regions of northern Syria, which were not subject to previous customs and tax duties, which caused pressure on the infrastructure and the offering of vehicles that do not meet the safety standards.

Kamel pointed out that the decision comes within a comprehensive economic vision aimed at rationalizing import and directing foreign pieces towards productive priorities, as well as limiting the introduction of low -standard vehicles without technical control, and reducing waste in resources.

He stressed that the decision does not include the cars registered in advance, and does not prevent the sales, purchase or regular registration, noting that the contracts were contracted before the decision will be issued soon, while ensuring the rights of those who entered into contracts for purchasing the condition of registration in the official customs outlets.

He added that the limited income groups are often exposed to the purchase of low -quality cars that later cause exorbitant maintenance burdens, in the absence of a technical guarantee or sufficient technical supervision. He said that the current monitoring mechanisms are not sufficient to ensure safety, which prompted the Ministry to adopt the suspension as an immediate step until the development of more effective control tools.

He concluded his entire statement by emphasizing that the ministry is closely following the repercussions of the decision, and it is open to reviewing policies within the framework of protecting the national economy and the consumer alike.

A necessary decision .. but!

On the other hand, economist Firas Shaabu believes that the decision in principle carries a sound economic logic, especially if we look at the depletion of the auto sector for nearly two billion dollars in just 6 months, a number of nearly two -thirds of the state budget for the year 2023 of $ 3.5 billion.

The government says that the aim of the decision is to reduce the depletion of foreign pieces (Al -Jazeera)
The government says that the aim of the decision is to reduce the depletion of foreign pieces (Al -Jazeera)

At the same time, he criticizes the application mechanism, as it reduces the period of allowing the import of modern cars only to raising prices significantly, which brought out large categories of the market, especially those with limited incomes. He added that modern cars conforming to the new conditions, their prices range between 20 and 25 thousand dollars, which are not available to most Syrians.

Shaabu notes that the problem is not only in import, but also in the absence of clear criteria for examining imported cars. He called for the formation of a specialized committee that controls the quality, and suggests alternative mechanisms such as allowing 2016 models and above, on the condition of specifications, instead of full prevention.

He also criticized the fluctuation of government policies and its sudden change without a gradual plan, stressing the need for a middle approach that organizes the market without harming the purchasing power of citizens.

Between the interests of merchants and the needs of the citizen

In turn, Abdel Malik Al -Akhras, a car dealer who imports vehicles from Africa and Europe, believes that the decision will double the profits of merchants who imported quantities before its issuance, explaining that the demand will increase significantly before entering the decision, which allows the full application, which gives them a wide margin of profit.

But he admits that the decision is unfair to the poor and the middle class, saying that modern cars at prices exceeding $ 25,000 are far from the reach of most citizens, while used cars of good quality were sold at 3 thousand to 5 thousand dollars and constituted an appropriate alternative.

In the city of Sarmada, in northern Syria, Mustafa Azzam expresses his anger after he was unable to buy a car, as prices rose by about 4 thousand dollars in just two days, and many traders refrained from selling in light of the mystery of the market.

Road congestion due to the density of cars (private) decision to prevent the import of used cars in Syria - Al -Jazeera Net
Infrastructure in Syrian cities cannot tolerate the increase in random cars (Al -Jazeera)

Azzam notes that the decision organizationally may be justified if it is implemented gradually, but it harms large segments that still depend on individual solutions to move, in the absence of an effective public transport system.

The future of the decision and the concerns of citizens

Observers believe that the decision effectiveness is linked to the extent of the government’s ability to implement parallel alternatives, whether by improving the transportation infrastructure or providing reduced loans to purchase appropriate cars. In the absence of these options, the repercussions of the decision remain a nominate for breadth, economically and socially.

The most important question remains: Will the government succeed in achieving an accurate balance between the requirements of the macroeconomic and the daily living reality? Is there a real intention to review or amend the decision in accordance with the results that it will make on the ground?

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