Muscat: Total light vehicle sales in the Middle East is estimated to reach 4.4 million by 2020 as compared to the 2015 total of 3,2 million, according to Frost & Sullivan. At the same time, the number of vehicles in operation on the region's roads will rise from 34.8 million in 2015 to 44.5 million in 2020.
This burgeoning growth is expected to drive up demand for parts and accessories, for which sales in 2020 is expected to reach $17.2 billion as compared to the 2015 total of $12.98 billion. This represents a projected pan-regional compound average growth rate 9CAGR0 of 5.9 per cent.
This surge in demand is being driven by a variety of factors, chief among which are rapid urbanisation and growing infrastructural and industrial development in the surging economies across the region.
As the automotive aftermarket in the Middle East and Africa continues to post impressive growth rates, international auto aftermarket players are keen to be a part of this growth by increasing their footprint across the region.
Automechanika Dubai 2016, the Middle East and Africa’s largest automotive aftermarket exhibition, proved to be among the most successful editions yet, with hectic business deal making and networking as well as a series of product launches being among the main features of the show.
The 14th edition of the trade and networking mega event that draws in the who's who of the automotive industry from around the wider region and its hinterland, featured as many as 2,017 exhibitors from 58 countries, and attracted 30,018 visitors from 119 countries.
The robust participation by the international trade underlines the continued high interest in the region from global automotive players, who see the region as a key driver in their future business plans.
Targeting the fast-growing regional markets were a majority of the world's leading brands who showcased their innovative automotive technologies across six product groups of Parts & Components; Electronics & Systems; Repair & Maintenance; Tyres & Batteries; Accessories & Tuning; and Service Station & Car Wash.
“The Middle East is now one of the world’s most significant automotive markets, thanks to higher income levels and a penchant for quality automobiles,” said Ahmed Pauwels, CEO of Messe Frankfurt Middle East, organiser of Automechanika Dubai. “The advantages of maintaining a base in the region gives companies the ability to better access and meet the needs of their regional customers.”