UAE Leads Arab Region in Automotive Investment and Business for 2024

The UAE has emerged as the top destination for investment and business in the automotive sales sector for 2024, according to the Arab Investment and Export Credit Guarantee Corporation (Dhaman).

The Kuwaiti-based organization highlighted the UAE’s leadership in its fourth sectoral report on the automotive industry in Arab countries.

The report revealed that five Arab nations—Saudi Arabia, Morocco, the UAE, Algeria, and Egypt—attracted 145 foreign projects, representing 79% of the region’s total. These projects, valued at over $22 billion, accounted for 89% of the overall investment and created more than 91,000 jobs. China led foreign investment in the region with 27 projects worth $8 billion, generating approximately 20,000 jobs.

Within the Gulf Cooperation Council (GCC), the UAE ranked first, followed by Saudi Arabia, Qatar, Kuwait, Oman, and Bahrain as the most attractive markets for automotive investment.

From January 2003 to October 2024, the automotive sector in Arab countries attracted 184 foreign projects worth over $25 billion, creating more than 102,000 jobs. Notably, five countries—Saudi Arabia, the UAE, Algeria, Morocco, and Kuwait—accounted for 75% of total vehicle sales in the region.

Dhaman projected individual car sales in the Arab region to surpass 1.8 million by the end of 2024, marking a 4.5% increase from 2023. Saudi Arabia is expected to lead with 45% of the market share.

The report underscores the UAE’s strategic position as a hub for automotive business and investment, cementing its reputation as a leader in the Arab world.

News Source: Emirates News Agency