Forecast: New Vehicles Registrations in Saudi Arabia

The new vehicle registrations in Saudi Arabia initially saw steady growth, peaking in 2015 with a minor increase. However, there was a significant downturn between 2016 and 2018. The market showed a rebound in 2019 and a dramatic drop in 2020, largely due to the COVID-19 pandemic. A gradual recovery was seen in 2021, with an impressive surge in 2022, reaching 1,779.7 thousand units by 2023.

Looking forward from 2024 to 2028, forecasts imply a robust and sustained growth trend with a 5-year CAGR of 14.39%, suggesting a possible expansion in the automotive market. By 2028, vehicle registrations are expected to nearly double from the forecasted values in 2023.

Future trends to watch for include the adoption of electric vehicles, advancements in automotive technology, and economic policies favouring vehicle imports. Consumer preferences, fuel price fluctuations and regulatory changes will also play significant roles in shaping the market landscape.