SUVs command 68 percent of Nepal’s car market as hatchback share declines

Post Thumbnail

KATHMANDU: SUVs remain the most dominant car segment in Nepal. Import data from January to December 15, 2025 shows that SUVs account for more than two-thirds of total car imports.

A total of 14,513 cars, including electric and petrol models, were imported during the period. SUVs held a 68.41 percent share of the market. Imports stood at 9,931 units, including a small number of MPVs.

SUV imports increased by 19 percent, or 1,584 units, compared to 2024. Last year, 8,346 SUVs were imported. The segment’s market share rose from 60.56 percent to 68.41 percent in one year.

Demand has grown as SUVs are now available at prices close to hatchbacks. Buyers prefer SUVs for higher ground clearance, larger size, and stronger road presence.

More than three dozen SUV brands are available in Nepal. Prices range from Rs 3.5 million to Rs 30 million.

Hatchback imports see drop

Hatchback cars continue to lose market share. In 2025, hatchbacks, including minicars, accounted for 22.45 percent of total imports. The share was 33.08 percent in 2024.

Imports dropped from 4,559 units last year to 3,260 units this year. This is a decline of 28.49 percent. Hatchbacks remain affordable and suitable for city use, but demand has weakened as similarly priced SUVs enter the market. Prices for hatchbacks start at around Rs 1.8 million.

Sedan demand on the rise

Sedan imports increased during the year. Imports rose by 51.2 percent, from 877 units in 2024 to 1,321 units in 2025.

The sedan segment’s market share also increased. It grew from 6.36 percent last year to 9.13 percent this year. Sedans are positioned as premium vehicles with a focus on comfort and design.

However, lower ground clearance limits use on all road conditions. Sedan prices generally start above Rs 7 million.

Overall, 2025 import data shows strong SUV growth, a continued decline in hatchbacks, and a steady rise in sedan demand.

SUVs command 68 percent of Nepal’s car market as hatchback share declines

Carlos Ghosn on the EV shift: how BYD…

Previous article
SUVs command 68 percent of Nepal’s car market as hatchback share declines

China makes “No Fire, No Explosion” EV battery…

Next article