Saudi Arabia’s car imports grew to 93,300 vehicles in 2023, up from 66,900 the previous year. Japan, India, South Korea, US, and Thailand are the leading exporters of cars to Saudi Arabia.
The Saudi Zakat, Tax and Customs Authority (ZATCA) recently announced that during the last two years (2022-2023), Saudi Arabia imported a total of over 160,000 vehicles, accounting for over 50% of total car sales in the Gulf Cooperation Council and making Saudi Arabia one of the world’s top 20 markets for cars.
In 2023 car sales grew almost 40% to 93,300 vehicles up from 66,900 the previous year.
according to Matthias Zeigler, managing director of Volkswagen Middle East, consumer preferences in the Kingdom present a distinct perspective compared to other markets.
According to Karim Henain, partner at Bain & Co. in an Arab News article, “Saudi consumer preferences for new vehicles are increasingly aligned with those in Western markets. There is a growing demand for advanced connectivity, infotainment systems, and driving assistance technologies such as Advanced Driver Assistance Systems, autonomous parking, and 360-degree cameras, driven by the country’s tech-savvy youth.”
Matthias Zeigler, managing director of Volkswagen Middle East, added that, “while sedans remain present, a clear trend toward SUVs is evident, particularly for larger 7-seater models that align with the strong emphasis on family transportation within the region.”
Also speaking with Arab News, Sami Malkawi, managing director of sales at Ford Middle East, noted that, “brands have responded to the growth in interest in this kind of SUV, which offers practicality, power, interior space, and ease of handling in a smaller package – and buyers are spoilt for choice. In fact, there are currently more than 40 types of small SUVs available in this market.”
