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15 February 2016

Abu Dhabi’s AED3.1 billion vehicle maintenance service market to grow to AED4.4 billion by 2020

Automechanika Roadshow to Abu Dhabi spotlights growing opportunities in UAE capital’s automotive aftermarket

Abu Dhabi, UAE: Auto industry professionals gathered in Abu Dhabi today (15 February), to discuss increasing opportunities in the Emirate’s automotive aftermarket, as the steady growth in registered vehicles in the UAE capital increases demand for spare parts and services.

According to analysts Frost & Sullivan, Abu Dhabi’s maintenance service market for cars, buses, and trucks was valued at AED3.1 billion in 2015, up from AED2.9 billion in 2013, and set to grow a further 6-8 per cent annually to reach AED4.4 billion by 2020.

There’re currently 670,000 cars, buses, and trucks plying Abu Dhabi’s roads according to Frost & Sullivan, with 90 per cent of that number being cars.  Consequently the car segment, including taxis, rental cars, leasing, and private cars, is the largest contributor to the Emirate’s booming maintenance service market.

More than 85 industry professionals at the Automechanika Roadshow to Abu Dhabi debated how to tap into this growth market and understand the nuances of Abu Dhabi’s automotive service industry.

The networking event at the Crowne Plaza Abu Dhabi was organised by Messe Frankfurt Middle East, the organiser of Automechanika Dubai – the Middle East and Africa’s largest trade exhibition for the automotive aftermarket – and Automechanika Jeddah, Saudi Arabia’s only automotive aftermarket trade show.

Ahmed Pauwels, CEO of Messe Frankfurt Middle East, said: “Posting a 45 per cent rise in the number of registered vehicles between 2009 and 2014, Abu Dhabi is a key market for local and international automotive aftermarket players.”

“There’s a lot of room for further growth, particularly when one takes into account an expanding economy fuelled in part by tourism and infrastructure investments.  This is also reflective in the growth of Abu Dhabi trade visitors to Automechanika Dubai, which in the last three years alone has increased by 33 per cent,” added Pauwels.

Subhash Joshi, Frost & Sullivan’s Associate Director for Automotive & Transportation in the Middle East, North Africa and South Asia, was one of the speakers at the Automechanika Roadshow to Abu Dhabi.

Joshi said the long-term prospects and opportunities for Abu Dhabi’s auto maintenance services market looked good, with vehicle sales from 2017-2020 expected to increase by 7-9 per cent annually.

“Opportunities vary by type of services a company offers, for example for a company who is offering repair services for the car segment, the opportunity lies in taxi, rental, leasing and private cars,” said Joshi.

“In the bus segment, we’ve seen a lot of emphasis on the tourism industry by Abu Dhabi Government, which will drive growth of private transport buses. Similarly, industrial activities will continue to drive demand for labour transport buses.

“In terms of common opportunities available for all, the key one is the spill over effect of the Dubai Expo 2020, which will drive demand for tourist and hotel buses in Abu Dhabi,” added Joshi.

The Automechanika Roadshow to Abu Dhabi is the third of a series of dedicated Automechanika Roadshows in the build-up to Automechanika Dubai 2016, which takes place from 8-10 May at the Dubai International Convention and Exhibition Centre.

The exclusive networking platforms bring together key industry figures to discuss key topics within the automotive aftermarket as well gain important business knowledge of various countries across the Middle East and Africa. The next stop is the Automechanika Roadshow to East Africa, taking place on 15th March in Ethiopia, and 16th March in Kenya.

Automechanika Dubai 2016 is expected to attract more than 2,000 exhibitors from 60 countries.  The 14th edition of the three-day event will deliver an unmatched platform for the world’s leading auto aftermarket suppliers and manufacturers to establish long-lasting business relationships with buyers and distributers from throughout the region.

In 2015, Automechanika Dubai featured 1,882 exhibitors from 59 countries, and welcomed 30,365 visitors from 134 countries – 53 per cent coming from outside of the UAE.  The global appeal of the three-day event was reinforced with the presence of 21 country pavilions and 38 international trade associations, while 88 per cent of the exhibitors came from outside of the UAE.

Automechanika Dubai 2016 will feature six core product groups: Parts & Components; Electronics & Systems, Repair & Maintenance; Tyres & Batteries; Car Wash, Care & Reconditioning; and Accessories & Customising.

Returning is the Truck Competence initiative, where more than 900 exhibitors will showcase their products dedicated to the entire value chain in the truck sector, from truck parts and accessories, to workshop equipment, body repairs and care.

Automechanika Dubai 2016 will also feature the popular Automechanika Academy – a series of seminars and workshops given by leading experts and prominent industry figures. These seminars will focus on key issues that affect the automotive aftermarket.


  • 2016