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The GCC automotive market was severely affected by the economic downturn arising from decline in oil prices. The region is however aiming to diversify its economy to decrease its reliance on the oil sector. This will prevent the oil price from having such a significant impact on its economy.Commercial vehicle (CV) sales have dropped year after year, but are expected to recover as the oil price strengthens and the region invests in infrastructure development. Mega projects, which include World Expo 2020 and the FIFA World Cup, will create demand for CVs as well as boost tourism across the region. Public transport systems in the GCC are largely underdeveloped. The low demand for public transport stems partly from low-cost petrol prices. Regulatory changes, such as the implementation of value-added tax (VAT) across the region, and more stringent emission standards are also set to affect vehicle sales and imports of vehicles.CV demand is largely met through imports, and supplemented through local assembly and manufacturing. Locally manufactured vehicles are exported to the greater Middle East region and to countries in Africa. Imported vehicles are also re-exported. GCC’s geographic location provides a strategic advantage to facilitate exports. Japanese and European brands dominate the market across vehicle segments. This study will cover the light, medium and heavy commercial vehicle market in select GCC countries. The base year of this study is 2018 and the forecast period is until 2022. The geographic scope of this study will cover Saudi Arabia, Oman, United Arab Emirates, and Kuwait only.
The core objectives of this study are the following:
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