Uae Commercial Vehicles Market Forecast and Opportunities: Aarkstore.Com

UAE Commercial Vehicles Market Forecast and Opportunities 2021

 The UAE commercial vehicle market is one of the largest commercial vehicle markets in the GCC region. Demand for commercial vehicles in the country majorly emanates from construction, infrastructure, logistics, tourism and public transport sectors. However, slump in the crude oil prices in 2013-2014 impacted the country’s economy leading to contraction in allocation of funds for infrastructure development, which translated into slowdown of the construction industry. Backed by slowdown in both construction and logistics sectors, the demand for all the three variants of trucks viz. pickup & light trucks, medium trucks and heavy trucks declined in 2015. Decline in commercial vehicle sales was further intensified by implementation of new government regulations regarding use of mini buses as school buses in the country.

According to UAE Commercial Vehicles Market Forecast & Opportunities, 2021, the market for commercial vehicles in the UAE is forecast to grow at a CAGR of more than 7% during 2016-2021. More than 70% of market revenues were generated by Dubai, Abu Dhabi and Sharjah regions on the back of economic development and large scale construction activities in these three emirates. Further, anticipated stabilization in crude oil prices by 2017 is likely to support the construction, infrastructure and logistics industries of the country. In 2015, Toyota, Nissan, Mitsubishi, Isuzu, Ashok Leyland, and Tata were few of the major players operating in the commercial vehicle market. However, backed by easy availability at comparatively lower prices, market share of various Chinese players such as King Long, Donfeng Motors, etc. is anticipated to rise during the forecast period. Bus market in the UAE is also poised to grow at a healthy pace in the coming years on account of the governments increasing focus towards strengthening public transport infrastructure in the country. UAE Commercial...