Ride-Sharing Service Providers Hit Hard by Student Protest Unrest

In 2024, Bangladesh’s vehicle market shrank to its lowest in a decade amid soaring costs, strict foreign currency controls, and declining purchasing power. Only 308,000 vehicles were registered, a sharp drop from previous years.

Bangladesh has registered only 396 electric vehicles (EVs) since allowing registration in 2020, with most being motorcycles (243), followed by 94 hard jeeps, 54 private cars, three microbuses, and one delivery van and auto-rickshaw each.

Sales of heavy-duty trucks and covered vans rebounded in 2024, driven by pent-up demand and fleet replacement cycles, despite economic uncertainties. According to BRTA data, covered van registrations increased by 57% to 2,949 in 2024 from 1,874 in 2023, while truck registrations grew 16.5% to 2,671 from 2,292.

MJLBD is set to bolster its operations with strategic investments in assets and infrastructure. The company has approved the purchase of a 12-year-old Aframax oil tanker, MT Nissos Delos, for $45.3 million, replacing the aging MT Omera Legacy. The vessel, with a capacity of 115,690 tonnes, enhances MJLBD’s transportation capabilities, as disclosed on the Dhaka Stock Exchange (DSE). Additionally, MJLBD plans to acquire a 209-decimal industrial plot in Shajahanpur, Bogura, valued at Tk 18.81 crore, through Agrani Bank's tender process, paving the way for future expansion.

Mitsui & Co., one of Japan's largest general trading companies, has acquired an 18.5% stake in Bangladesh's ACI Motors Limited for $22.75 million through its Singaporean subsidiary. The investment, received as foreign direct investment, aims to leverage Mitsui's global network to help ACI Motors expand internationally and diversify its product range to include rice processing equipment and electric and passenger vehicles.

Motorcycles remain a topic of concern in Bangladesh due to accidents and debates over high-powered engines. Data from the Bangladesh Road Transport Authority (BRTA) shows a consistent decline in motorcycle sales and registrations for three years. In 2023, registrations fell to just over 310,000, the lowest since 2016, and dropped further to 241,768 by November 2024.