The GCC Electric Vehicle Market Report is Segmented by Vehicle Type (Passenger Cars and Commercial Vehicles), Propulsion Type (Battery Electric Vehicles, Plug-In Hybrid Electric Vehicles, Fuel Cell Electric Vehicles, and Hybrid Vehicles), and Country (United Arab Emirates, Saudi Arabia, Qatar, Oman, Kuwait, and Bahrain).

The GCC Electric Vehicle Market is likely to witness an exponential growth in the coming years, says MarkNtel Advisors.

The GCC electric vehicle (EV) market is experiencing rapid growth, fueled by supportive government policies, increasing environmental awareness, and falling battery costs. With a current market size of approximately $4.36 billion (2025 estimated), and a projected Compound Annual Growth Rate (CAGR) of 19.03%, the market is poised for significant expansion throughout the forecast period (2025-2033). Key drivers include government initiatives promoting EV adoption through subsidies, tax breaks, and charging infrastructure development. The rising cost of gasoline and concerns about air quality further incentivize consumers to switch to cleaner transportation alternatives. Market segmentation reveals strong growth potential in both passenger cars and commercial vehicles, with battery electric vehicles (BEVs) leading the propulsion type segment. While the initial investment in EVs remains a restraint for some consumers, the long-term cost savings and environmental benefits are increasingly outweighing this concern. Leading automotive companies like Tesla, Nissan, Hyundai, Volkswagen, and General Motors are actively expanding their EV offerings in the region, fostering healthy competition and driving innovation. The specific growth within the GCC region will likely mirror broader global trends. Considering the region's high per capita income and focus on infrastructure development, we can anticipate accelerated EV adoption compared to other global markets. The increasing availability of charging stations within the GCC region is further bolstering the growth of the EV market. However, challenges remain such as addressing the range anxiety of consumers, ensuring a reliable supply chain for EV components, and overcoming challenges to widespread adoption in less urbanized areas. This robust growth trajectory is expected to continue, driven by further governmental support and enhanced charging infrastructure, potentially surpassing the projected CAGR if technological advancements further reduce EV costs and enhance performance. The diversification of vehicle types available to consumers, including increased offerings within the commercial vehicle segment and the potential for fuel-cell vehicle adoption are also likely to accelerate growth. While challenges remain, the long-term outlook for the GCC EV market remains exceptionally positive, making it an attractive investment opportunity for both manufacturers and supporting infrastructure providers. Recent developments include: In September 2021, L-Charge, a manufacturer of charging infrastructure for electric vehicles, announced that it would be launching its EV charging solutions in the United Arab Emirates., In June 2021, Qatar General Electricity and Water Corporation (Kahramaa) unveiled the 19th charging station for electric cars at Katara. It is the fastest charger for electric vehicles in Qatar, with a capacity of 180 KW. It has a direct current system that can fully charge a car in less than 10 minutes., In April 2021, Qatar General Electricity and Water Corporation announced that it would be installing 100 charging stations for electric cars by the end of 2022 to reduce harmful carbon emissions by at least 7% of total emissions., In October 2020, Schneider Electric announced that it would be installing three new electric vehicles DC fast-charging stations at Prince Mohammad Bin Fahd University (PMU).. Notable trends are: Heavy Investments by Automakers for Electric Vehicles.

The GCC Electric Vehicle Market was valued at USD 3.2 Billion in 2024 and is expected to reach USD 11.3 Billion by 2030 with a CAGR of 18.3% during the forecast period.

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Market Size	2024: USD 3.2 Billion
Forecast Market Size	2030: USD 11.3 Billion
CAGR	2025-2030: 18.3%
Fastest Growing Segment	Passenger Car
Largest Market	Saudi Arabia
Key Players	1. Tesla, Inc. 2. BYD Company Limited 3. Hyundai Motor Company 4. Nissan Motor Co., Ltd. 5. Lucid Group, Inc. 6. Volkswagen AG 7. BMW AG 8. Renault S.A. 9. Toyota Motor Corporation 10. Ceer Automotive Company

The GCC electric vehicle market size was approximately USD 1.62 Billion in 2024. The market is estimated to grow at a CAGR of 22.30% between 2025 and 2034, reaching a value of USD 12.13 Billion by 2034.

GCC Electric Vehicle Charging Infrastructure market was valued at USD 2.04 Billion in 2024 and is expected to reach USD 5.58 Billion by 2030 with a CAGR of 18.32% during the forecast period.

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Market Size	2024: USD 2.04 Billion
Forecast Market Size	2030: USD 5.58 Billion
CAGR	2025-2030: 18.32%
Fastest Growing Segment	Commercial
Largest Market	UAE
Key Players	1. ABB Group 2. Siemens AG 3. Schneider Electric 4. Tesla 5. ChargePoint, Inc. 6. Engie 7. Shell Plc 8. Al-Futtaim Group 9. Dubai Electricity and Water Authority (DEWA) 10. BMW Group

Explore the GCC electric vehicle charging station market size, key trends, growth drivers, and forecasts from 2026 to 2030. Get insights by type and country.

GCC Electric Vehicle Market size was valued at USD 2.1 Billion in 2024 and is projected to reach USD 7.8 Billion by 2032, growing at a CAGR of 17.9% from 2025-2032.

GCC Electric Vehicle Market: Definition/ Overview

An electric vehicle is a type of vehicle that uses one or more electric motors for propulsion, powered by rechargeable battery packs instead of traditional internal combustion engines. EVs are primarily used for personal transportation, public transit, and goods delivery, offering a cleaner and more energy-efficient alternative to conventional vehicles.

With the global push toward reducing carbon emissions and achieving sustainability, the future scope of EVs is expansive, with continued advancements in battery technology, infrastructure development, and government policies supporting cleaner energy solutions.

In GCC Electric Vehicle Battery Separator Market, It plays a vital role in the global energy storage ecosystem, acting as a key component in lithium-ion and other battery chemistries.

In 2023, the highest number of new vehicles sold or registered in the Gulf Cooperation Council countries was in Saudi Arabia, with about *** thousand vehicles. The United Arab Emirates followed with approximately *** thousand new vehicles that year. Vehicle market in the GCC The total number of vehicles sold in the GCC countries has been significantly increasing over the years. During 2018, Toyota was the leading vehicle manufacturer with the highest market share in Saudi Arabia. The wholesale, retail trade, and repair of vehicles is a large market in Saudi Arabia with operating revenues that exceeded ** billion U.S. dollars in 2017. Automobile manufacturing facilities in the GCC are not very prominent, but small steps are being taken to develop that area. Saudi Arabia and other GCC countries are removing subsidies on fuels along with other goods and services as a transition to meet market prices. This caused an increase in fuel prices and the full imposition of market prices is expected in the next few years. Electric vehicles in the GCC Electric Vehicles (EVs) have recently started to penetrate the GCC market. They are characterized by their lower fuel and maintenance costs as compared to Internal Combustion (IC) vehicles. The majority of the public in the GCC have never owned a hybrid or a full electric vehicle which highlights significant untapped market potential. Among the GCC countries, Saudi Arabia and the United Arab Emirates have the highest awareness level concerning EVs. As the manufacturing costs of EVs fall, along with the spotlight on the importance of reducing carbon emissions as part of the climate change control goal, EVs are expected to gain more popularity worldwide. However, EVs are priced significantly higher than what the public are willing to pay and this is hampering the adoption rate in the GCC.

In GCC Electric Vehicle Charging Infrastructure Market , was valued at approximately USD 10.11 billion in 2022 and is projected to reach USD 12.45 billion by 2029,

According to Cognitive Market Research, the global Micro Electric Vehicle Market size was estimated at USD 8315.6 Million, out of which the Middle East and Africa held the major market share of around 2% of the global revenue with a market size of USD 166.31 million in 2024 and will grow at a compound annual growth rate (CAGR) of 12.1% from 2024 to 2031.. The GCC Countries Micro Electric Vehicle Market is projected to witness growth at a CAGR of 12.9% during the forecast period, with a market size of USD 71.18 million in 2024. The GCC countries dominate the Micro Electric Vehicle market due to substantial investments in sustainable infrastructure and favorable government policies promoting green transportation. The Egypt Micro Electric Vehicle Market is projected to witness growth at a CAGR of 12.4% during the forecast period, with a market size of USD 17.46 million in 2024. The South Africa Micro Electric Vehicle Market is projected to witness growth at a CAGR of 13.1% during the forecast period, with a market size of USD 26.28 million in 2024. South Africa is the fastest-growing country in the Micro Electric Vehicle market, driven by increasing urbanization and government initiatives to enhance eco-friendly transport solutions. The Turkey Micro Electric Vehicle Market is projected to witness growth at a CAGR of 11.6% during the forecast period, with a market size of USD 14.30 million in 2024. The Nigeria Micro Electric Vehicle Market is projected to witness growth at a CAGR of 11.2% during the forecast period, with a market size of USD 17.46 million in 2024. The Rest of the MEA Micro Electric Vehicle Market is projected to witness growth at a CAGR of 11.1% during the forecast period, with a market size of USD 19.62 million in 2024. Latin America's Micro Electric Vehicle Market will be USD 415.78 million in 2024 and is estimated to grow at a compound annual growth rate (CAGR) of 11.8% from 2024 to 2031. The Micro Electric Vehicle Market in the Middle East & Africa is nascent but shows promise due to increasing urbanization and rising awareness of environmental issues. The region's market is characterized by a slow adoption rate influenced by high initial costs and underdeveloped E.V. infrastructure. Nevertheless, ongoing investments in renewable energy and government efforts to diversify transportation options are expected to boost market growth gradually.s

The Saudi Arabian electric vehicle (EV) market is poised for substantial growth, exhibiting a Compound Annual Growth Rate (CAGR) of 24.50% from 2025 to 2033. With a market size of $0.56 billion in 2025, the market is driven by government initiatives promoting sustainable transportation, increasing environmental awareness among consumers, and falling battery costs making EVs more affordable. Significant investments in charging infrastructure are further fueling adoption. The market is segmented by vehicle type (passenger cars and commercial vehicles) and fuel type (BEV, FCEV, HEV, and PHEV), with Battery Electric Vehicles (BEVs) expected to dominate due to their lower cost and readily available charging infrastructure compared to other options like Fuel Cell Electric Vehicles (FCEVs). Key players like Lucid Group, Renault Group, BMW AG, and Toyota are actively participating, introducing various models to cater to the evolving consumer preferences. While initial adoption might be concentrated in urban areas with better infrastructure, the market's expansion into other regions will depend on widespread charging network development and government incentives. The projected growth trajectory indicates a significant increase in market value over the forecast period. Considering the 24.50% CAGR, a reasonable projection suggests a substantial expansion in the market size in the coming years. The continued focus on diversifying the Saudi Arabian economy away from oil dependence, coupled with long-term vision plans focused on sustainability, ensures a robust environment for EV adoption. However, challenges remain, including the need for further advancements in battery technology to increase range and reduce charging times, along with addressing consumer concerns about range anxiety and the overall cost of vehicle ownership. Overcoming these challenges will be crucial for sustaining the projected growth and achieving widespread EV adoption across the Kingdom. This in-depth report provides a comprehensive analysis of the burgeoning Saudi Arabia electric vehicle (EV) market, offering invaluable insights for investors, manufacturers, and policymakers alike. The study covers the period from 2019 to 2033, with a focus on the base year 2025 and a forecast spanning 2025-2033. This report meticulously examines market trends, growth drivers, challenges, and future prospects, incorporating key industry developments and competitive landscapes. We analyze the market size in Million units. Recent developments include: In January 2024, ABB and Electric Vehicle Infrastructure Co (EVIQ) achieved a milestone in the Middle East's electric vehicle transition by installing the first ABB Terra 360 chargers for public use in Saudi Arabia., In October 2023, Saudi Arabia's Public Investment Fund collaborated with the Saudi Electricity Company (SEC) to launch an electric vehicle infrastructure company, further signaling the kingdom's commitment to advancing its electric mobility initiatives., In June 2023, Saudi Arabia inked a substantial USD 5.6 billion deal with Chinese electric and self-driving car maker Human Horizons. The agreement encompasses the development, manufacture, and sale of electric vehicles, representing a significant portion of the total USD 10 billion investment., Canoo Inc. (GOEV) announced a collaboration with GCC (General Contracting Company) Olayan in January 2023, marking plans for the sales, service, and distribution of its EVs in Saudi Arabia. Additionally, a joint venture is in the works, aiming to co-develop a "digital vehicle ecosystem" for local assembly and EV manufacturing., In November 2022, Siemens entered into an agreement to supply ultra-fast EV chargers to Electromin, expanding its charging network in Saudi Arabia and outlining plans for broader EV services and infrastructure development across the Middle East.. Key drivers for this market are: Aggressive Government Focus to Promote the Adoption of Electric Vehicles Fosters the Growth of the Market. Potential restraints include: High Cost of Setting Up EV Charging Stations Hampers the Growth of the Market. Notable trends are: Passenger Vehicles are Expected to Lead the Market.

The GCC Light Commercial Vehicle market was valued at 8.35 Billion in 2024 and is expected to reach USD 13.36 Billion by 2030 with a CAGR of 8.15%.

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Market Size	2024: USD 8.35 Billion
Forecast Market Size	2030: USD 13.36 Billion
CAGR	2025-2030: 8.15%
Fastest Growing Segment	Electric
Largest Market	Saudi Arabia
Key Players	1. Tata Motors Limited 2. Ford Motor Company 3. Nissan Motors Company Ltd 4. Volkswagen AG 5. Isuzu Motors Limited 6. Mercedes-Benz AG 7. Toyota Motor Corporation 8. Mitsubishi Motors Corporation 9. Peugeot SA 10. Great Wall Motors Company Limited

The GCC used car market, currently experiencing robust growth, presents a lucrative opportunity for investors and businesses. A Compound Annual Growth Rate (CAGR) of 8.58% from 2019 to 2024 suggests a consistently expanding market. This growth is fueled by several factors: increasing affordability compared to new cars, a rising young population entering the driving age, and the prevalence of online platforms facilitating easier transactions. The segmentation reveals a diverse landscape, with SUVs and MUVs likely holding significant market share due to family-oriented preferences in the region. Online sales channels are experiencing rapid expansion, mirroring global trends, alongside continued strength in the traditional offline market. While the exact market size for 2025 isn't provided, extrapolating from the 8.58% CAGR and assuming a reasonable 2024 market size (a figure readily available through market research databases), we can project a substantial value for 2025. The competitive landscape includes both established players like Abdul Latif Jameel Motors and Al-Futtaim Group, alongside online marketplaces such as Yalla Motors and Dubizzle, indicating a mix of traditional and innovative business models thriving in the market. Growth may be constrained by economic fluctuations and government regulations impacting vehicle imports and sales. However, the long-term outlook remains positive, supported by continuous infrastructural development and economic diversification initiatives across the GCC. The significant presence of international and regional players indicates a mature market with established distribution networks. The organized sector likely commands a greater share than the unorganized sector, reflecting a growing preference for verified vehicles and warranties. However, the unorganized sector continues to play a role, particularly in catering to price-sensitive buyers. Future market trajectory will depend on factors such as fuel prices, economic growth in the GCC, and the emergence of new technologies like electric vehicles impacting the used car market. Further research into specific vehicle types, regional variations within the GCC, and the evolving preferences of consumers will be crucial for optimizing market entry strategies and maximizing profitability. Analyzing data on average vehicle age, average transaction prices, and the penetration of online sales channels will provide a more comprehensive understanding of the market's dynamics and future potential. Key drivers for this market are: The Increasing Demand for Luxury Cars is Anticipated to Boost the Market. Potential restraints include: Comparatively Limited Market Transparency May Hinder the Market. Notable trends are: Hatchback Segment is Expected to Gain Traction.

The number of vehicle sales in the electric vehicles market in the United Arab Emirates was forecast to continuously increase between 2025 and 2029 by in total ***** vehicles (+***** percent). After the fifth consecutive increasing year, the number of vehicle sales is estimated to reach ****** vehicles and therefore a new peak in 2029. Find more key insights for the number of vehicle sales in countries and regions like the average electric vehicles price in the electric vehicles market in the world and the revenue per charging station in the electric vehicles market in the United States.The Statista Market Insights cover a broad range of additional markets.

GCC Micro Electric Vehicles Market Market is driven by several key factors, including increased focus on sustainable urban transportation, government incentives for electric mobility, and rising popularity of last-mile delivery solutions.

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The automotive market share in GCC is expected to increase by 346.37 thousand units from 2021 to 2026, and the market's growth momentum will accelerate at a CAGR of 6.74%.

This automotive market in the GCC research report provides valuable insights on the post COVID-19 impact on the market, which will help companies evaluate their business approaches. Furthermore, this report extensively covers the automotive market in GCC segmentations by type (passenger cars and commercial vehicles) and geography (Saudi Arabia, UAE, Kuwait, and Others). The automotive market in GCC report also offers information on several market vendors, including BMW AG, Daimler AG, General Motors Co., Hyundai Motor Co., Kia Motors Corp., Mitsubishi Motors Corp., Nissan Motor Co. Ltd., Stellantis NV, Toyota Motor Corp., and Volkswagen AG among others.

What will the Automotive Market Size in GCC be During the Forecast Period?

Download the Free Report Sample to Unlock the Automotive Market Size in GCC for the Forecast Period and Other Important Statistics

Automotive Market in GCC: Key Drivers, Trends, and Challenges

The growing investment in smart cities is notably driving the automotive market growth in GCC, although factors such as the shutdown of manufacturing and production units may impede market growth. Our research analysts have studied the historical data and deduced the key market drivers and the COVID-19 pandemic impact on the automotive industry in GCC. The holistic analysis of the drivers will help in deducing end goals and refining marketing strategies to gain a competitive edge.

Key Automotive Market Driver in GCC

One of the key factors driving the automotive market growth in GCC is the growing investment in smart cities driven by growing urbanization, which has resulted in the continuous expansion of urban areas, leading to a shortage of land availability.
According to the World Bank Group estimates, the share of the urban population is expected to reach 90% of the total population by 2050 in the GCC. Hence, the concept of smart cities is gaining momentum globally. For instance,

  In June 2020, Huawei and Smart City Solutions Company (SC2), a leading Saudi Arabian service provider and operator and part of the Batic Group, signed an agreement to collaborate on smart city projects in Saudi Arabia.


Smart cities will provide smarter solutions that can be deployed to reduce the strain due to urban population growth; these solutions will include the introduction of energy-efficient road networks leading to efficient public transportation systems.
The growing momentum of smart cities and massive investments in their development are expected to spur the growth of the automotive market in GCC during the forecast period.

Key Automotive Market Trend in GCC

Another key factor driving automotive market growth in GCC is the technological advances in EVs.
The growing adoption of EVs is offering new opportunities for different stakeholders, such as system integrators, vehicle manufacturers, engine manufacturers, and component providers.
Consumers have become aware and started understanding the benefits of EVs and the government is supporting the trend with incentives.
EV vendors will be trying to cater to the increasing demand and provide better options during the forecast period.
Vendors are investing more time and energy in R&D and coming up with better models of EVs. For instance;

  In December 2021, General Motors announced its plan to launch 15 EVs in the GCC by 2025.


These factors are expected to positively impact the market in focus during the forecast period.

Key Automotive Market Challenge in GCC

One of the key challenges to the automotive market growth in GCC is the shutdown of manufacturing and production units as the COVID-19 pandemic severely affected this sector, especially in 2020 and early 2021.
Various countries had imposed nationwide lockdown to stop the spread of the disease and had also stopped cross-border trade. This resulted in an increase in the price of raw materials and components required for manufacturing vehicles.
The absence of customer footfalls across automobile showrooms, owing to the implementation of stringent lockdowns, resulted in the shutdown of automobile production units in the region.
Such factors are expected to negatively impact the growth of the automotive market in GCC during the forecast period as well.

This automotive market in GCC analysis report also provides detailed information on other upcoming trends and challenges that will have a far-reaching effect on the market growth. The actionable insights on the trends and challenges will help companies evaluate and develop growth strategies for 2022-2026.

Parent Market Analysis

Technavio categorizes the automotive market in GCC as a part of the global automotive market. Our research report has extensively covered external fac

GCC Passenger Car Market was valued at USD 27.14 Billion in 2023 and is expected to reach USD 46.62 Billion by 2029 with a CAGR of 9.53% during the forecast period.

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Market Size	2023: USD 27.14 Billion
Forecast Market Size	2029: USD 46.62 Billion
CAGR	2024-2029: 9.53%
Fastest Growing Segment	SUV
Largest Market	Saudi Arabia
Key Players	1. Toyota Motor Corporation 2. Nissan Middle East FZE 3. BMW AG 4. Audi Volkswagen Middle East FZE 5. Hyundai Motor Company 6. General Motors Company 7. Jaguar Land Rover Limited 8. Honda Motor Co., Ltd 9. Mercedes-Benz AG 10. Mitsubishi Corporation

The market is expected to reach a value of USD 50.6 million in 2025 and grow to USD 71.4 million by 2035, reflecting a compound annual growth rate (CAGR) of 3.5% during the forecast period.

Metric	Value
Industry Size (2025E)	USD 50.6 million
Industry Value (2035F)	USD 71.4 million
CAGR (2025 to 2035)	3.5%

City-wise Outlook

City	CAGR (2025 to 2035)
Riyadh	3.4%

City	CAGR (2025 to 2035)
Abu Dhabi	3.6%

City	CAGR (2025 to 2035)
Dubai	3.8%

City	CAGR (2025 to 2035)
Al Asimah	3.2%

City	CAGR (2025 to 2035)
Doha	3.5%

City	CAGR (2025 to 2035)
Muscat	3.3%

Competitive Outlook

Company Name	Estimated Market Share (%)
Club Car	18-22%
Yamaha	15-18%
EZ-GO	12-15%
Cushman	8-10%
STAR EV	5-7%
Other Companies (combined)	28-32%