Rise in new registrations due to higher taxis and rental vehicles registered

Vehicle Registrations October 2017

  Oct 17 Sep 17
Aug 17
Jul 17

New Registrations
329 311 374 279

Total of 329 new vehicles were registered in October 2017, 18 vehicles (5.8%) more than the 311 total registrations recorded last month. The rise in total vehicles registered was mainly due to an increase in taxis & rentals and cars registrations. Registrations of taxis & rentals increased by 17 (94.4%), followed by a rise in the registrations of cars by 8 vehicles (6.3%). This was outweighed by the decrease in light and heavy vehicle registrations. Taxis and rental companies projected a high demand for taxis and rental vehicles in preparation for the upcoming holidays and Christmas season which explains the increase in the number of taxis and rental cars imported. This may enhance access to tourist and recreation businesses, thus support the Tourism and Services sector. Additionally, the continuous buying of vehicles online from Japan at relatively cheaper price, contributed to the increase in car registrations over the month. As a result, this may improve access to markets, shops and plantations which would further support the Retail sector. Government vehicles also increased by 4 vehicles which contributed to the overall rise. The increase in total vehicle registrations coincided with the rise in vehicle import payments by $0.2 million (11.11%) in October 2017. However, the registration of light and heavy vehicles declined by 14 vehicles (10.9%) and 5 vehicles (15.6%) respectively.

Over the year to October 2017, the total volume of vehicles registered rose by 493 (14.8 %), reflecting the continued strong demand for vehicles. Majority of the annual rise were for cars which rose by 246 (18.2 %) followed by a 110 (8.6 %) increase in light vehicle registrations. The annual rise was in line with the $4.08 million (24.8%) increase in import payments for vehicles recorded in the Overseas Exchange Transactions reports. Moreover, the rise in the purchasing power of the returning Recognised Seasonal Employees (RSE) may have also contributed to the annual rise. The annual increase in the level of vehicle registrations can also be attributed to the availability of hire purchase options for consumers wishing to buy vehicles, and the convenience of purchasing vehicles online.

Looking forward, vehicle registrations are projected to continue to rise in the near term. This is supported by the return of Recognised Seasonal Employees from Australia and New Zealand. Additionally, the upcoming holidays and Christmas season may contribute to higher demand for vehicles. Furthermore, preference by locals for second hand cars ordered online from Japan is expected to remain high as the price is cheaper and the road conditions in Tonga are improving. Therefore, more vehicles would be imported in future despite the progressive increase in petrol prices.


Vehicle Registrations - October 2017
Released on 16 January 2018 | pdfIcon 261 KB - Download a copy of the full report.

See more Vehicle Registrations releases.
You are here: Home 2018 Releases News 2018 Economic Releases Rise in new registrations due to higher taxis and rental vehicles registered