$800m Saudi tyre market to grow at 12pc
Dubai, April 21, 2011
The Saudi Arabian tyres market, worth approximately $800 million, is set to grow by 12 per cent with more than 13 million tyres being imported annually, said the organisers of an upcoming automotive aftermarket event in Dubai.
With millions of vehicles on the road, the prospects for future growth, both in the Kingdom and the wider region, is bright, as car ownership is on the increase, said Ahmed Pauwels, chief executive officer of Epoc Messe Frankfurt, organiser of Automechanika Middle East – the region’s premier trade, networking and sourcing event for the automotive aftermarket.
“The Saudi market, which is one of the largest in terms of both value and volume in the region, is a big draw for international tyre and tube manufacturers and distributors,” he said.
“With over 60 international brands already present in the Saudi market, more and more tyre manufacturers are expressing interest in being represented at Automechanika Middle East, to gain a foothold into this extremely promising marketplace,” Pauwels added.
A largely import-driven market, as there is little to no local manufacturing, the Saudi market is a magnet for leading international brands, with Japanese and American tyre majors leading the way followed by a strong re-presentation from European and Asian brands.
All tyres imported into Saudi Arabia have to pass the stringent safety specifications laid down by the Saudi Arabian Standards Organisation before they can be marketed in the Kingdom.
Surender Singh Kandhari, chairman of local UAE exhibitor Al Dobowi, said that Automechanika Middle East enables exhibitors to interact with buyers and dealers from countries that are generally difficult to access.
“Middle East and Africa are the key markets for our strategy. We believe that this region offers tremendous opportunity for us. We believe that the show adds value to our business by allowing us to meet the right people at the right time,” he added.
Sudhanshu Agrawal, senior marketing manager, Balkrishna Tyres, said: “In this region and especially catering to the Mena countries there are not many shows especially in the automobile industry and tyres in particular.”
“Since there is dedicated space for tyre exhibitors at this show, it will provide a very good opportunity for all the buyers and sellers to come under one roof.”
Asad, managing director for local exhibitor A-Map, said: "The Middle East market has become the most attractive point of focus for all multinationals around the world. This gives immense opportunities for growth to companies like ours who have had a stronghold in the Middle East for the past 30 years.”
“Automechanika Middle East gives us an incredible platform to reach out to visitors from the entire region, and hence helps us in achieving improved sales and successful branding of our company and products,” he added.
A-Map will launch their new range of Indonesian Tyres during this year’s exhibition.
Automechanika Middle East 2011 will run from June 7 to 9 at the Dubai International Convention and Exhibition Centre, and will feature a wide range of exhibitors from the workshop equipment, batteries, parts and systems, repair and maintenance among others. – TradeArabia News Service