Actual dialogue

At the initiative of the Export and Investment Promotion Agency of Azerbaijan – AZPROMO, the Association of Automobile Dealers of Azerbaijan (AADA) convened a forum with a substantial delegation from the Tiancin Association for the Export of Used Cars, which visited from the People's Republic of China. The forum was held at "Baku Auto Mall," Azerbaijan’s largest car sales center, which had recently commenced operations and was exclusively selling vehicles from official dealers.

The forum was characterized by vibrant and engaging discussions rather than formal proceedings. Natig Zarbaliyev, Chairman of the Board of AADA, outlined the purpose and outcomes of the forum:

"We were already aware of the Chinese car manufacturers' association, and the establishment of associations for second-hand car exporters underscores a strategic plan for the global expansion of Chinese vehicles. The Chinese automotive industry is experiencing rapid growth, with vehicles becoming progressively more technological, reliable, and enjoyable. The number of officially represented Chinese brands in our country is approaching 30, and we frequently see the opening of new sales and service centers. However, despite this progress, parallel imports account for 70 percent of Chinese cars entering our market. This indicates that a significant proportion of these vehicles are sold without warranties and lack adequate after-sales technical support and spare parts. It is important to recognize that vehicles produced for the Chinese domestic market may differ in certain details and components from those intended for export. Consequently, when technical failures occur, obtaining spare parts can be challenging.

During the forum, AADA members noted that while the importation of used cars that comply with our regulations is acceptable, challenges arise when local dealers in China create alternative sales channels via the internet, sending vehicles with zero mileage to our country. This practice disrupts the local car market. Since unofficial dealers do not incur the costs associated with establishing showrooms, service centers, or training specialists, they can offer vehicles at lower prices, leading to unfair competition. Although the introduction of quality cars can contribute to the renewal of our vehicle fleet, the high-risk nature of cars necessitates that sales and technical services be managed by professional companies. AADA members invited the Chinese delegation to engage in constructive cooperation.

From the perspective of the visiting guests, the business representatives expressed pleasure at witnessing the growing popularity of Chinese cars in Azerbaijan, as demonstrated by the diverse range of models on display at the "Baku Auto Mall." They conveyed their willingness to support the sale of new and used cars in a structured manner and were keen on establishing new partnerships. After the formal proceedings, participants enjoyed informal interactions during a tea reception.