Saudi Arabia Vehicle Market in 2025 is decelerating. YTD figures up to September increased by 7%, steadily slowing down after peaking in prior months. Mazda showed the strongest growth, up 48% and 4 spots in 6th.
Economic Environment
In 2025, the IMF raised Saudi Arabia’s GDP growth forecast to 4%, up from 3% in April, citing a faster unwinding of oil production cuts and stronger energy output. Growth for 2026 was also set at 4%, reflecting continued stability in oil markets. The Middle East and Central Asia region is projected to expand 3.5% in 2025 and 3.8% in 2026, supported by Gulf economies.
Saudi Arabia’s non-oil sector grew 4.8% in H1 2025, outperforming total GDP growth of 3.6% and contributing over 55% of total output, underscoring diversification progress under Vision 2030. Despite this, lower oil prices and earlier output cuts have widened fiscal deficits and prompted selective project adjustments. The Kingdom’s diversification efforts continue to focus on tourism, manufacturing, and advanced technology, helping reduce reliance on hydrocarbons. The IMF noted improving regional conditions as oil and shipping disruptions ease and geopolitical tensions moderate. Overall, Saudi Arabia’s growth outlook combines strong non-oil momentum, recovering oil production, and ongoing investment-led transformation, positioning it as a leading driver of Gulf and regional expansion in 2025–2026.
Automotive Industry Trend and Outlook
The Saudi vehicle market gained 7% up to September 2025, mantaining the trend of expansion that was constant in the prior months.
Brand-wise, the leader was Toyota, up 0.1% and with a 26.1% share. Hyundai followed in 2nd, gaining 6.2% in year-on-year volume.
In 3rd place ranked Kia growing 23.7%, followed by Nissan, up 3.7%, Ford up 15.9%, Mazda, -up 4 spots- which grew 48% and Suzuki -down 1 spot- in 7th, down 3%.
Changan -down 1 spot- ranked 8th despite falling 15%; followed by MG down 14.1%, and Isuzu, -up 1 spot- which closed the Top 10 with a 6.1% gain.
Looking at specific models the Hyundai Accent -up 1 spot- became the best seller, up 1.4.%. The Kia Pegas -up 7 spots- followed in second with a 83.8% year-on-year increase.
EV Market Trend and Outlook
Saudi Arabia’s EV landscape is changing quickly, growing by 30.7% up to September 2025. With a 3% share on the total, the country plans to phase out oil revenous by becoming a key hub in the region.
Lucid was still the segment leader despite losing 8.4%, followed by Lexus -up 42%- which climbed 1 spot and Hyundai which instead lost 1 spot.
Medium-Term Market Trend
The Saudi Arabian vehicle market began at 794,557 units in 2014 and peaked at 830,100 units in 2015, driven by strong economic growth and consumer confidence. However, sales began to decline sharply due to subsidy reforms, higher vehicle costs, and economic restructuring, dropping to 403,857 units by 2018.
A brief recovery in 2019 was cut short by the COVID-19 pandemic, which reduced sales by 13% to 452,419 units in 2020. The market rebounded quickly, rising 25.9% in 2021 and 7% in 2022, reaching 609,375 units. In 2023, despite global economic pressures, sales jumped 22.8% to 758,791 units and climbed a further 8% in 2024 to 826,580 units.
EV adoption remained negligible until 2023, with only 779 units sold. In 2024, EV sales surged to around 24,092 units, marking a turning point in the Kingdom’s mobility landscape. This growth is linked to Vision 2030, which aims for 30% of vehicles in Riyadh to be electric by 2030. Massive investments in charging infrastructure, including 5,000 fast chargers by 2030, have supported this push. Local manufacturing initiatives, such as Ceer Motors and partnerships with Lucid and Hyundai, are increasing EV availability. Growing environmental awareness is also boosting consumer demand. Together, these factors position Saudi Arabia as a rising player in the global EV market.
Tables with sales figures
In the tables below we report sales for top 10 brands.
