Flash Reports

Saudi Arabia car industry 2012 outlook

Saudi Arabia is World’s 13th largest country covering over 2.1 million square kilometers, in the dry desert area of Persic Gulf, with over 26.5 millions citizens. The country is a Constitutional Monarchy, under King Abdallah, that is leading global interfaith dialogue encouraging religious tolerance and respect. During early 2011 Arab Spring protest in North Africa and Middle East area, the Government announced a plan to progressively encourage a social and democratic country evolution. Arabia is a WTO Member since December 2005 and is largely depending by petroleum industry, counting over 75% of National GDP an over 90% of Exports (2nd global exporter).

Saudi Arabia GDP (purchasing power parity) in 2011 was $ 676 billion (+6.4% on 2010), the 24th globally, with a pro capita income (purchasing power parity) of $24.000 (+4% on 2010). The country is one of the wealthy in the world producing a yearly National Surplus above 14% and having a Public Debt only at 9.4% (2011) of GDP. The great opportunity is represented by the use of these resources to increase people real wellness.

The New 6 Economic Cities

In 2005 the King announced an ambitious and world unique project: to built 6 new “economic cities” entirely built from zero, in order to place Saudi Arabia among the world’s top ten competitive investment destinations and double pro capita income by 2020. With this project the country could change its economy reducing the high and riskful dependance by petroleum sector.

Saudi Arabia domestic car market continues to growth and in the 2011, achieved the 23rd position in global ranking, creating expectations for further growth in the next years.

In the full year 2011, Saudi Arabia light passenger market grew by 33%. Registrations were 594.299, 145.000 more than 2010. This level of sales represented the new all-time record, better than 2008, when 520.000 units were sold.

The sales mix is highly influenced by local climate and territorial characteristic, with high mix achieved by off-road and SUV segments. The market dominated by the Japanese Toyota, which in the 2011 performed an astonishing 38.4% market share, with over 228.000 sales. Toyota is traditionally dominating the market. The new growing star in the country is represented by the Korean Hyundai, able to considerably increase its share in recent years, gaining a wide gap over the others competitors. In 2011 Hyundai sold 104.500 vehicles, with a 17.6% share.

The third brand is Ford, at 46.000 units and 7.8% market share, ahead of Chevrolet, with 36.000 units and 6.1% share.

In the table below, the Top 15 Brand ranking in the full year 2011: 

Rank

Brand

594.299

Share

1

Toyota

228.295

38,4%

2

Hyundai

104.515

17,6%

3

Ford

46.085

7,8%

4

Chevrolet

36.271

6,1%

5

Kia

30.743

5,2%

6

GMC

26.765

4,5%

7

Isuzu

26.261

4,4%

8

Nissan

17.000

2,9%

9

Honda

10.563

1,8%

10

Daihatsu

8.023

1,3%

11

Mitsubishi

5.661

1,0%

12

Renault

5.177

0,9%

13

Lexus

4.268

0,7%

14

Mazda

3.853

0,6%

15

Fuso

2.903

0,5%

To confirm Toyota leadership in the market, we find Three Toyota in the Top 3 best models positions. The Hilux is the leader with 44.744 sales and 7.5% market share, followed by Camry with 38.940 units and 6.6 market share and Corolla, with 38.700 sales and 6.5 share.

Hyundai holds the 4th and 5th position respectively with Elantra and Accent. Behind there are others two Toyota. In the table below, the Top 30 models ranking, full year 2011. 

Rank

Brand

Model

Volumes

Share

1

Toyota

Hilux

44.744

7,5%

2

Toyota

Camry

38.940

6,6%

3

Toyota

Corolla

38.708

6,5%

4

Hyundai

Elantra

38.424

6,5%

5

Hyundai

Accent

29.369

4,9%

6

Toyota

Land Cruiser

23.613

4,0%

7

Toyota

Yaris

20.992

3,5%

8

GMC

Yukon

20.208

3,4%

9

Hyundai

Sonata

20.181

3,4%

10

Ford

Crown Victoria

16.488

2,8%

11

Isuzu

D-Max

16.318

2,7%

12

Chevrolet

Tahoe

13.423

2,3%

13

Toyota

Fortuner

13.275

2,2%

14

Kia

Cerato

9.749

1,6%

15

Honda

Accord

9.208

1,5%

16

Kia

Rio

8.801

1,5%

17

Ford

Expedition

8.225

1,4%

18

Ford

Explorer

8.023

1,3%

19

Toyota

Hiace

7.514

1,3%

20

Isuzu

NPR

7.274

1,2%

21

Nissan

Sunny

7.130

1,2%

22

Toyota

Innova

6.770

1,1%

23

Toyota

Prado

6.486

1,1%

24

Hyundai

Tucson

5.887

1,0%

25

Daihatsu

Gran Max

5.696

1,0%

26

Toyota

Aurion

5.665

1,0%

27

Toyota

Sequoia

5.475

0,9%

28

Toyota

Avalon

5.025

0,8%

29

Hyundai

H1 100 Bus

4.782

0,8%

30

Toyota

Rav 4

4.237

0,7%

Forecast for the future are positive with and expected 10% growth in the next years. Uncertain derives by political situation in the Gulf, with raising temperature in relations between Iran and ONU.

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