Chinese Car Brands Boost Car Importer Carasso Motors’ Market Share to 15% Amid Mazda Importer Decline

The Israeli car market is witnessing a significant shift as Chinese car brands gain popularity, impacting the financial results of major importers Carasso Motors and Delek Automotive. Carasso Motors, led by Itzik Weitz, has expanded its market share to a record 15.3% in the first half of 2026, up from 13.8% last year and just 7.4% five years ago. This growth is largely driven by the Chinese brands Chery and Xpeng, with Chery alone selling 17,600 vehicles, a 62.5% increase compared to the previous year.

Conversely, Delek Automotive, managed by Gil Agmon, has seen a steep decline, with its market share dropping to a historic low of 3% in the first half of 2026 from 6.1% the previous year. The company sold 5,186 new vehicles, a 42% decrease, including a 68% drop in Mazda sales and an 8.5% decline in Ford sales. Although Delek's premium BMW brand remained stable and its Chinese brands Dongfeng and Nio showed some growth, these gains were insufficient to offset losses in its core brands.

Financially, Carasso Motors reported a 36% increase in vehicle sales to 32,500 units and a 15% rise in automotive revenue to 3.4 billion shekels in the first half of the year. However, its net profit fell by 32% to 150 million shekels, affected by a 21 million shekel impairment and an 11.5 million shekel fine related to warranty issues. Delek Automotive posted revenues of 3.26 billion shekels, a slight 1% increase, but reported a net loss of 12.6 million shekels, compared to a 92 million shekel profit the previous year. The loss was largely due to a 161 million shekel write-down on its investment in chipmaker Hailo.

Profit margins per vehicle have also declined for both companies. Carasso’s average profit per car dropped 7% to 14,600 shekels, reflecting the lower profitability of Chinese vehicles. Delek’s average profit per car fell more sharply from 21,400 to 13,600 shekels, impacted by the decline in sales of higher-margin legacy brands. Carasso Motors is currently valued at 2.7 billion shekels, down 17.5% this year after a 120% rise over the past three years, while Delek Automotive’s stock has fallen about 40%, with a market value of 1.4 billion shekels.

This data highlights the changing consumer preferences in Israel’s automotive market, with Chinese brands reshaping the competitive landscape and challenging traditional importers.