An 11% drop in vehicle deliveries in January, Chinese brands gain strength

The car market is cooling: An 11% decline in vehicle deliveries in January 2026. Preliminary data show that 41,800 new cars were registered with the Licensing Office last month, compared with 47,000 in January 2025. Traditionally, January is the strongest delivery month in the market, accounting for about 15% of all new-car registrations each year. These figures include vehicles imported through parallel and small-scale import channels, not only those delivered by official importers.

Hyundai continues to lead the sales tables with 4,880 deliveries. In second place is the Chinese brand Jaecoo with 4,519 deliveries, overtaking Toyota, which was the best-selling brand in Israel in 2025 and delivered 4,465 vehicles. Skoda delivered 3,569 vehicles and Kia 4,017. Also in the top ten are Chery (3,266), BYD with 2,488, MG with 1,034, Mitsubishi with 945, and Citroën with 791.

Omoda, the new sister brand of Jaecoo, delivered only about 300 vehicles in January. However, among the ten best-selling brands in Israel last month, four are from China.

Among the best-selling models, Jaecoo supplied the market leader, the Jaecoo 7, which was also the best-selling vehicle last year, with 2,566 deliveries. It also placed fifth with the new Jaecoo 8, a seven-seat crossover that, despite a base price of NIS 230,000, delivered more than 1,300 units last month.

The Hyundai Kona Hybrid holds second place with 2,001 deliveries, ahead of the Kia Picanto with 1,758, which jumps onto the podium as it is currently the only non-electric mini car sold in Israel. The Toyota Corolla Cross crossover recorded 1,358 deliveries, while the comeback month of the Corolla sedan ended with fewer than 200 deliveries, further evidence of Israelis abandoning the classic family-sedan configuration.

In the luxury segment, Mercedes recorded 732 deliveries, BMW 700, Lexus 366, Audi 338, and Volvo 206. Four Israelis received a new Ferrari last month, and 70 customers took delivery of a 2026 Porsche.

Electric vehicle sales posted another decline. With 4,000 units delivered last month, they account for a market share of just 9.5%. Hybrid vehicles, both conventional and plug-in, jumped to a 22% share.

The decline in sales is attributed mainly to around 30,000 vehicles that importers were forced to register as used in recent months after remaining unsold during their first 12 months in Israel. These vehicles are now being offered at discounted prices as an alternative to buying a brand-new car.