Boom or bust for Africa’s used truck market?

Africa’s booming used truck market is a lifeline for businesses, but behind the growth lie major challenges. Can affordability outweigh maintenance struggles and regulatory roadblocks?

The used truck market in Africa is a vital component of the continent’s transport and logistics sector, facilitating cross-border trade, infrastructure development, mining, and agriculture. Two recent reports – MarkNtel Advisors’ Africa Used Trucks Market Research Report (2024-2030) and Research and Markets’ (R&M’s) Africa Used Truck Market Competition Forecast & Opportunities (2028) – offer key insights into this rapidly evolving market. While both reports highlight the growing demand for used trucks due to affordability and infrastructure expansion, they also reveal differences in emphasis, challenges, and trends shaping the market.

Infrastructure development driving growth

Both reports agree that infrastructure development is a major driver of the used truck market across Africa. Governments across the continent are investing in roads, bridges, ports, and other essential infrastructure, increasing demand for trucks to transport construction materials and equipment. MarkNtel in particular emphasises the role of construction projects in boosting demand, noting that used trucks such as tippers, flatbeds, and cranes are indispensable for these projects.

R&M, however, highlights the broader economic role of used trucks, stressing their importance in sectors such as agriculture and mining. It notes that trucks are crucial for transporting agricultural goods from rural areas to markets and moving extracted minerals across vast distances. The report also underscores the role of cross-border trade in sustaining demand for used trucks, as businesses rely on them to move goods between countries in the absence of extensive railway networks.

Despite these differences in focus, both reports conclude that the market is set for steady growth, with MarkNtel forecasting a 5.6% compound annual growth rate (CAGR) between 2024 and 2030.

Affordability and the shift to Indian and Chinese brands

A key theme in the reports is the preference for used trucks over new ones due to their lower upfront cost. Many African businesses, particularly small operators, cannot afford new trucks and turn to used vehicles to sustain operations.

Another major trend identified is the rise of Indian and Chinese truck brands in the used truck market. MarkNtel emphasises that cost-effective models from India and China are gaining traction because they offer affordability while still meeting the demands of African road conditions. R&M reinforces this point, but goes further by noting that these brands are also competing with established European manufacturers like Volvo, MAN, and Scania in the used truck sector.

Challenges facing the market

While the reports agree on the opportunities in Africa’s used truck market, they also highlight several challenges that could hinder growth.

• Maintenance and Spare Parts Availability

MarkNtel identifies a lack of reliable maintenance networks as a major challenge. With harsh road conditions leading to increased wear and tear, used trucks require regular servicing. However, finding skilled mechanics and genuine spare parts remains difficult in many African countries, particularly for older or lesser-known models.

R&M also highlights maintenance as a critical issue, particularly in rural areas where service centres are scarce. Its report further points out that inconsistent import regulations hinder the availability of spare parts, as some governments impose restrictions on certain truck models or components.

• Regulatory Hurdles and Import Restrictions

R&M stresses that complex customs procedures and regulatory inconsistencies between African nations create obstacles for the used truck market. Varying emission standards, import duties, and licensing requirements make it difficult to create a seamless trade network for used vehicles.

MarkNtel, on the other hand, touches on regulatory issues but focuses more on the impact of fluctuating economic conditions on truck availability and affordability.

• Road Infrastructure and Terrain Challenges

Both reports acknowledge the harsh road conditions in many African countries, which shorten the lifespan of trucks and increase operational costs. R&M notes that off-road capabilities and durability are key factors influencing purchasing decisions in Africa.

Technology to the fore

MarkNtel and R&M both identify technological advancements as a rising trend in Africa’s used truck market. There is growing interest in trucks equipped with advanced safety features, fuel efficiency enhancements, and connectivity options. According to MarkNtel, some companies now offer certified pre-owned trucks that undergo quality inspections before resale, increasing buyer confidence. R&M also highlights the influence of digital platforms, noting that online marketplaces for used trucks are becoming more prevalent, making it easier for buyers and sellers to connect.

Another important trend mentioned in both reports is the shift towards sustainability and eco-friendly transport solutions. While diesel remains the dominant propulsion type in Africa, there is growing interest in electric and hybrid trucks. The introduction of Volvo’s first large electric truck in Morocco is an example of how manufacturers are beginning to explore alternatives to traditional diesel engines. However, infrastructure limitations and high costs mean that widespread adoption of electric trucks remains a long-term goal rather than an immediate reality.

South Africa rules the roost

Both reports highlight South Africa as the dominant player in the continent’s used truck market. The country benefits from a well-established truck manufacturing industry, a robust port and logistics network, and a steady demand for trucks across multiple industries.

However, R&M points out that, while South Africa currently leads the market, countries like Nigeria, Kenya, and Morocco are experiencing rapid growth. These nations are investing in infrastructure and industrial expansion, which is driving demand for used trucks.

Poised for growth, but challenges remain

The African used truck market is set for continued expansion, driven by infrastructure development, cost-effective truck options, and increasing cross-border trade. Both MarkNtel and R&M predict steady growth, with a strong demand for affordable and durable vehicles.

However, challenges such as maintenance network gaps, regulatory barriers, and road infrastructure limitations must be addressed to unlock the market’s full potential. Whether Africa’s used truck market