Automotive Industry in Greece

1. Overview

The automotive industry in Greece is – unlike in many Central European countries – not a traditional manufacturing sector but a market- and service-driven industry. Its focus lies on import, distribution, maintenance, mobility services, logistics, and increasingly on electromobility and sharing models.

The current situation is shaped by a stabilized macroeconomic environment, rising consumer spending, growing tourism demand, and the ongoing modernization of government incentive programs.

 

2. Market Structure and Production

2.1 Vehicle Production

Greece does not possess any significant domestic automotive manufacturing.

Historically, a few small manufacturers (e.g., Namco) existed, but their relevance is marginal today.

Value creation is concentrated in the areas of vehicle import, assembly, fleet customization, and special-purpose vehicle construction (emergency vehicles, light commercial vehicles).

2.2 Vehicle Imports & Brand Presence

All major European, Japanese, and Korean carmakers are represented in Greece through general importers or subsidiaries of international groups.
High-demand segments include:

  • SUVs

  • Hybrid and mild-hybrid vehicles

  • Small city cars

  • Commercial vehicles for tourism, construction, and logistics

 

3. Sales Development

3.1 Passenger Car Market

Following the severe economic downturn between 2010 and 2018, the Greek automotive market has been recovering steadily.
Recent trends include:

  • Increasing new registrations, still below pre-crisis levels

  • Renewal of an aging vehicle fleet (average age > 12 years)

  • Strong demand from the tourism sector (rental fleets)

3.2 Commercial Vehicles

  • Solid growth in light commercial vans and transporters

  • Strong relevance for tourism, last-mile logistics, and infrastructure projects

 

4. Electromobility

Greece is visibly accelerating the transition toward electric mobility.
Key drivers:

  • “Κινούμαι Ηλεκτρικά” – the national incentive program for EVs and charging infrastructure

  • Tax benefits for companies

  • Expansion of public charging stations, particularly in Athens, Thessaloniki, and tourist regions

Market development:

  • Double-digit growth in EV new registrations

  • Market share still below the EU average, but rising dynamically

  • Particularly strong growth: plug-in hybrids (PHEV) in the corporate sector

 

5. Aftermarket, Workshops, and Suppliers

5.1 Aftermarket

The Greek aftermarket is well-developed and dominated by independent workshops, spare parts retailers, and multibrand service chains.
High demand is driven by:

  • An aging vehicle fleet

  • Heavily used rental and tourism fleets

5.2 Supplier Industry

A traditional supplier industry is largely absent.
Instead, the sector consists of:

  • Companies providing spare parts, accessories, and logistics services

  • Small manufacturers of special components and equipment (firefighting, marine, military vehicles)

 

6. Mobility Services

6.1 Car Rental

Greece is one of the largest car rental markets in the Mediterranean region.
Demand is particularly strong in:

  • Crete

  • Rhodes

  • Santorini

  • Attica (Athens)

6.2 Carsharing & Ride-Hailing

  • Carsharing is growing, though more slowly than in Central Europe

  • Ride-hailing (e.g., Beat) is widespread in major cities

  • The digitalization of mobility is actively supported by the government

 

7. Opportunities & Challenges

Opportunities

  • Growing tourism → increasing demand for rental and transport vehicles

  • Government incentives for electric mobility

  • Rising international investment in logistics

  • Modernization of major fleets (taxis, rental cars, delivery services)

Challenges

  • No domestic automotive production → strong dependence on imports

  • Slow bureaucracy and complex taxation

  • Infrastructure bottlenecks, especially charging points outside metropolitan areas

  • Lower household purchasing power

 

8. Outlook

The automotive sector in Greece is expected to grow moderately yet steadily in the coming years.
Key growth drivers remain:

  • Electrification

  • Tourism-related fleet investments

  • Digital mobility platforms

  • Logistics and urban delivery services

A return to traditional automotive manufacturing remains highly unlikely. Greece will continue to be an import-driven, service-oriented mobility market with dynamic expansion in innovative mobility solutions.