Oct 10,2022 | Automobile
Electric vehicles, also known EV’s are the newest find in the automobile sector encouraging better drive experience, while considering the environmental factor too. With the growth of this technology and its eco-friendly features, the car makers are also providing a good deal of advanced mechanisms. The automobile industry is one of the few segments that rarely experience a slowdown in its business. The growing technological developments are creating new spaces for newer cars which are stylist in their looks and better in their performance.
Saudi Arabia electric vehicle revenues witnessed a steady growth during 2018-19 owing to the lift of ban from the imports of electric vehicles however encountered a decline in 2020 owing to the outbreak of Covid-19. The sudden outbreak of the Covid-19 pandemic resulted in supply chain disruptions in 2020 which affected the sales of automobiles including electric cars in Saudi Arabia.
In addition, the initiation of EV penetration in KSA enables it to be on a track to diversify its economy by decreasing its dependence on oil. Saudi Arabia electric vehicle market trends would witness improved demand for electric cars from the booming logistics and passenger transport sector. Government projects and policies are also affecting electric vehicle market’s growth and are estimated to upkeep the growth over the near future.
The Saudi Arabia electric vehicle market size is projected to grow at CAGR of 42.5% during 2021-2027. Saudi Arabia electric vehicle market is expected to be robust owing to government’s focus on renewable energy and shift towards lower dependence on oil-based economy along with increased standard of living are the primary reasons contributing to the rising demand for electric vehicles. The country has signed a memorandum of understanding (MoU) with the United Kingdom in a move to reduce carbon emissions and support Saudi Vision 2030. The MoU commits both countries to cooperate and share expertise to develop technologies, including smart grids and electric vehicles.
Within vehicle types, passenger cars acquired more than 60% of the market share in terms of revenue. They are projected to show significant growth during the forecast period owing to the growing population that suggest a long-term potential in electric vehicle segment attributed to the rising disposable income of households and lower emissions targets set by the government. The country has decided to curb GHG emission by 130 million metric-tons of CO2 equivalent by 2030 under Paris goal and INDC.
Categorized under the Automobile market reports, Bharatbook offers the exclusive study on the Saudi Arabia Electric Vehicle Market that comprehensively covers the market by vehicle types and regions. The market report provides an unbiased and detailed analysis of the on-going trends, opportunities/high growth areas, market drivers which would help the stakeholders to devise and align their market strategies according to the current and future market dynamics.
Saudi Arabia electric vehicle market share was dominated by the Central region in 2020 which includes Riyadh, Jeddah including many more populous cities as over 70% of the power in the Central region is met by gas and around 54% of Saudi Arabia’s electricity was generated from gas in the past few years.
For more information on the market, please visit Saudi Arabia electric vehicle market