Rwanda’s car market is transforming as consumers gradually diversify their brand preferences while policy incentives accelerate the adoption of electric vehicles. ALSO READ: Inside surge in hybrid cars in Rwanda’s automotive market Though Toyota continues to dominate the market, newer entrants, such as Kia, are steadily gaining ground, signaling an evolving automotive landscape. At RwandaMotor, an automotive dealership that sells Suzuki, Renault, Changan, and Fiat, consumers remain cautious about experimenting with unfamiliar names. Arsene Bruno Ntirandekura, a sales manager at the dealership, explained that Suzuki continues to lead their sales portfolio. “Government, private companies, and non-government organizations (NGOs) mostly buy Suzuki vehicles. We sell about 90 to 100 Suzuki cars annually, while Chinese brands such as Changan only reach around 30 per year. Customers are slowly warming up to new brands, but Suzuki still enjoys strong loyalty,” Ntirandekura said. ALSO READ: Rwanda seeks to encourage use of electric cars At Akagera Motors, Toyota’s influence remains unshaken. The company also distributes Mercedes-Benz, Nissan, Kia, Fuso, Foton, and Mahindra. “Toyota is not only dominant in Rwanda but also globally. While Kia SUVs are gaining traction — we sell over 100 units annually — Toyota SUVs can reach as high as 600 per year,” said Alexis Habimana, sales manager at Akagera Motors. He noted that Kia is popular among government employees, NGOs, and embassies, while demand for Nissan has weakened in recent years. As Habimana put it, “Toyota may still dominate, but brands like Kia are steadily growing. The real story, however, is how policy and consumer behavior are converging to reshape the future of Rwanda’s roads.” ALSO READ: Why Rwanda needs to train enough EV mechanics Rwanda’s reliance on used cars from abroad continues to shape the market. Huguette Karitanyi, Sales Manager at Be Forward Rwanda, a Japanese exporter, explained that their stock reflects growing demand for South Korean brands. Among 466,097 cars in Be Forward stock today, Toyota leads with 74,938 units, followed by Hyundai at 41,061, Kia at 38,241, and Mercedes-Benz at 21,089. Another change in Rwanda’s automotive market has been the sudden rise of hybrid vehicles, in part due to tax exemptions. According to Rwanda Revenue Authority (RRA), imports of hybrids increased 237-fold between 2021 and 2024, from just 28 units in 2021 to 6,660 in 2024. In comparison, electric vehicles grew from 19 in 2020 to 512 in 2024. ALSO READ: Rwanda explores ‘Vehicle-to-Grid’ technology to boost EV ecosystem This means that out of the 7,172 hybrid and electric cars imported from 2020 to 2024, hybrids account for over 93 percent. Hybrids appeal to buyers not only because they combine fuel and electric power but also due to generous government tax exemptions. These cars consume less fuel and emit fewer greenhouse gases compared to traditional petrol or diesel models. “Hybrids are easier to sell. A Korean hybrid will get a buyer immediately, unlike other vehicles that risk sitting at customs,” said Emmanuel Nizeyimana, a broker dealing in Korean hybrid car brands. Government policy has been central to this shift. According to RRA’s 2022/2023 annual report, exemptions on hybrid and electric vehicles and their spare parts reached Rwf 13.8 billion in forgone taxes. ALSO READ: E-mobility investors welcome extended tax exemption on EVs The exemptions covered import duty, excise duty, and VAT, creating a notable dent in excise revenues, particularly from fuel. “Such exemptions were designed to promote vehicles which produce less environmental damage and air pollution,” the RRA report noted. ALSO READ: Rwanda moves to stimulate transition to electric vehicles on local market Despite the growth, hybrids and EVs remain a small fraction of Rwanda’s car population. A 2021 paper on electric mobility by the Ministry of Infrastructure recorded 264,524 registered vehicles as of mid-2020, excluding government fleet. By 2024, registered private motor vehicles had grown to 346,586, while hybrids and EVs together numbered just over 7,000. ALSO READ: Spike in vehicle ownership reflects Rwanda’s growing prosperity, but poses new challenges Import and registration trends RRA statistics show consistent growth in car imports over the past five years. Imported vehicles rose from 40,290 in 2020 to 54,133 in 2024. Imported jeeps alone increased from 30,853 in 2020 to 43,133 in 2024, while pickups rose from 19,462 to 22,882 over the same period. The same upward trend is seen in buses, trailers, and other categories, underscoring Rwanda’s expanding fleet.