Jerusalem, 25 October, 2026 (TPS-IL) — The Israel Tax Authority published its annual automotive sector review, reporting record-high passenger vehicle road registrations in 2025 alongside a steep drop in new vehicle imports.
Total vehicle imports fell 25% to approximately 250,000 units, while import value declined 20.9% to 23.6 billion shekels ($6.3 billion). Revenue officials attributed the lower import volume to extensive front-loading by car importers in December 2024 ahead of major tax hikes enacted in January 2025.
Despite lower import figures, domestic registrations reached an all-time high of nearly 290,000 passenger vehicles, serviced primarily through pre-tax stockpiled inventory. Electric and hybrid vehicles continued market dominance, accounting for roughly 60% of total 2025 registrations.
