News dalla rete ITA

8 Aprile 2021

Emirati Arabi Uniti

UAE AUTO INDUSTRY SHOWS SIGNS OF RECOVERY

While the underlying demand is still yet to recover to its pre-coronavirus levels, the UAE auto industry is definitely seeing a recovery.This is driven by the fast roll-out of the vaccine, the run up to Expo later this year, and a job sector that is starting to recover.In a highly competitive marketplace customers are looking for great value and reliability, and they are starting to return to showrooms.The overall market is down around 17 percent on 2019 levels, which is the last robust benchmark. However, we’re seeing significant growth in demand for hybrid technology, things like the Toyota Highlander, and the smaller compact SUVs are starting to pick up as consumers are starting to adopt and embrace the new technology. People are also starting to move more to personal transport in a post-Covid-19 era as health concerns regarding public transport are heightened.Another trend we’re seeing is the significant demand for commercial vehicles as businesses start to reengage and move forward with more confidence, which is a positive underlying trend, as this is an indicator of the state of the overall economy and suggests business confidence is bouncing back.The demand growth for commercial vehicles is powered by everything, from more people buying online, to start-ups creating and investing in new business models and using commercial vehicles, which is powering the UAE economy in an encouraging way. The growth in our retail cars sales also shows that consumers are gaining increased confidence when it comes to spending. Everyone is price-conscious, but when it comes to personal contract purchase (PCP), the UAE is more of a follower market. In car markets in places like Europe you would likely see them running at 60-80 percent PCP penetration, but that is much lower here. There is still a desire to own in the UAE, but we are starting to see a bit more acceptance of PCP as people are looking for more affordable ways of motoring. This comes either in the way you buy the car, with PCP or leasing being the most viable options, or in terms of the technology inside the car which brings us on to the next trend.While the UAE is dominated by big SUVs, and that market will remain in tact as people like to use their vehicles for both the desert at the weekend and going to the office in the week. But the demand for bigger cars will start to fade and you’ll begin to see alternative engine and propulsion come through.There is no doubt that globally there is a move to electric so we will see more electric vehicles driven by global consumption as there is more focus on air quality, emissions and fuel efficiency. You’re starting to see more electric vehicles on the UAE roads and that will only grow as people start to accept this new technology.  (ICE DUBAI)


Fonte notizia: Arabian Business