Gcc Commercial Vehicle Market
GCC Commercial Vehicle (CV) Market, By Vehicle Type (Light Commercial Vehicles (LCVs), Heavy Trucks, Buses & Coaches); By Fuel Type (Internal Combustion Engine (ICE), Electric); By End Use (Industrial, Mining & Construction, Logistics, Passenger Transportation, Others); By Region (Saudi Arabia, UAE, Qatar, Kuwait, Oman, Bahrain), Trend Analysis, Competitive Landscape & Forecast, 2019–2030
- Published Date: November 2024
- Report ID: BWC24900
- Available Format: PDF
- Page: 246
Report Overview
An increasing number of large infrastructure development projects, thriving e-commerce sector, and economic growth are expected to drive GCC Commercial Vehicle (CV) Market during the forecast period between 2024 and 2030.GCC Commercial Vehicle (CV) Market – Industry Trends & Forecast Report, 2030
GCC Commercial Vehicle (CV) Market size was estimated at USD 13.7 billion in 2023. During the forecast period between 2024 and 2030, GCC Commercial Vehicle (CV) Market size is projected to grow at a CAGR of 6.60% reaching a value of USD 21.6 billion by 2030. Prominent drivers of the market include economic diversification as governments shift focus from oil dependence to industries like manufacturing, retail, and tourism, alongside significant investments in infrastructure such as seaports, airports, roads, and logistics facilities to enhance connectivity and efficiency. The GCC’s strategic location as a trade hub, the rising adoption of e-commerce fueling demand for light commercial vehicles (LCVs) for last-mile delivery and the expansion of cold chain logistics, further accelerates market growth. Additionally, increasing fuel costs are driving demand for fuel-efficient vehicles, while government initiatives promoting electric and hybrid models support the shift toward eco-friendly transportation. Technological advancements, including automation, IoT, and data analytics, are enhancing vehicle functionality and aligning with the growing preference for connected CVs. Major events like Dubai Expo 2020 and Qatar’s FIFA World Cup 2021 have also bolstered demand for CVs in tourism & hospitality and infrastructure development projects, while the region’s efforts to reduce oil dependency aim to create a sustainable foundation for market expansion.
Commercial Vehicle (CV) – Overview
A commercial vehicle (CV) is a type of motor vehicle used primarily for transporting goods, materials, or passengers for business or commercial purposes. These vehicles are designed to perform tasks related to industries such as logistics, transportation, mining, and construction. Common types of CVs include trucks, vans, buses, and cars, with passenger commercial vehicles specifically capable of carrying more than 15 passengers. Typically, CVs are registered to businesses or organizations rather than private individuals and are essential for sectors like public transport, retail, industrial operations, and e-commerce.
GCC Commercial Vehicle (CV) Market
Growth Drivers
Increasing Demand for CVs from Infrastructure Development Projects
The rapid pace of infrastructure development across the countries in Gulf Cooperation Council (GCC) region has emerged as a significant driver of GCC Commercial Vehicle (CV) Market. Massive investments in highways, bridges, ports, and logistics facilities are enhancing connectivity, reducing transit times, and optimizing supply chain efficiency, thereby increasing the demand for CVs. This modernization of infrastructure is not only streamlining logistics operations but also opening new markets and trade opportunities, fostering economic growth across the region. Companies like ALSI Global are leveraging these advancements to enhance their operations, aligning with the expanding infrastructure to maintain industry leadership. As these developments continue to reshape the GCC logistics landscape, the Commercial Vehicle (CV) Market is expected for substantial growth, fueled by enhanced connectivity and strategic market access enabled by infrastructure expansion.
Challenges
High Initial Cost
The high initial cost of commercial vehicles (CVs) poses a significant challenge to the growth of the GCC Commercial Vehicle (CV) Market. Advanced technologies, such as fuel-efficient engines, electric and hybrid systems, and safety features, have driven up manufacturing costs, resulting in higher purchase prices. These elevated costs can strain budgets for small and medium-sized enterprises (SMEs), limiting their ability to upgrade or expand fleets. Additionally, financing challenges and longer payback periods further deter potential buyers. As a result, the high upfront investment required for CVs acts as a key restraint on market growth, particularly for cost-sensitive businesses.
Impact of Escalating Geopolitical Tensions on GCC Commercial Vehicle (CV) Market
Intensifying geopolitical tensions among countries across the Middle East region, particularly escalating conflicts between Israel and neighboring countries, have significantly impacted the growth of GCC Commercial Vehicle (CV) Market. Disruptions to supply chains and transportation routes due to the ongoing conflicts threaten the timely delivery of CVs and spare parts. Additionally, fluctuations in oil prices, driven by fears of supply disruptions, have affected economic activities in the GCC countries. While oil prices initially rose, recent declines due to oversupply concerns could hinder infrastructure investments and logistics operations, thereby dampening demand for CVs. The heightened geopolitical risks may also lead to stricter trade regulations, increasing costs for importing and exporting vehicles, and further underlining the vulnerability of the GCC Commercial Vehicle (CV) Market to regional political, economic, and trade instabilities.
GCC Commercial Vehicle (CV) Market
Segmental Coverage
GCC Commercial Vehicle (CV) Market – By Vehicle Type
Based on vehicle type, GCC Commercial Vehicle (CV) Market is divided into Light Commercial Vehicles (LCVs), Heavy Trucks, and Buses & Coaches segments. The LCVs segment is expected to hold the largest share of GCC Commercial Vehicle (CV) Market by vehicle type during the forecast period. The GCC countries, including Saudi Arabia, UAE, Kuwait, and Oman, are heavily reliant on imported vehicles, as they lack domestic automotive manufacturing plants. Commercial vehicles, primarily imported from countries like China, Japan, and India, are subject to high import duties, which increase vehicle prices. To address this, GCC governments are implementing policies to encourage local manufacturing, which is anticipated to reduce the cost of LCVs and drive demand. Investments in tourism and hospitality, including airport expansions and the relaxation of visa rules in Qatar and UAE, are expected to boost the region's economy and, in turn, increase the demand for LCVs. Additionally, mega projects such as Saudi Vision 2030, the Red Sea project, smart city developments, and rail infrastructure expansions require the transportation of goods and materials, further fueling demand for CVs. The growing population and consumption patterns also contribute to the rising need for goods transportation, accelerating LCV market growth. Furthermore, the expansion of sectors like manufacturing, retail, and logistics, supported by favorable government policies, has spurred demand for LCVs. The increasing use of LCVs for long-haul transportation services and mobile businesses, such as food trucks, has also boosted their market penetration in the region, indicating a strong future for the LCV segment in the GCC.
GCC Commercial Vehicle (CV) Market – By Fuel Type
By fuel type, GCC Commercial Vehicle (CV) Market is bifurcated into Internal Combustion Engine (ICE) and Electric Vehicle (EV) segments. The ICE segment holds a higher share in GCC Commercial Vehicle (CV) Market by fuel type. The region's abundant oil reserves make fuel relatively inexpensive, making IC engine vehicles a cost-effective option. Additionally, the well-established infrastructure for IC engine vehicles, including extensive networks of fuel stations and repair facilities, further supports their dominance. Many consumers in the GCC still prefer the performance, range, and refueling convenience offered by IC engine vehicles, particularly for long-distance travel and heavy-duty applications. While there's growing interest in EVs, the limited EV infrastructure, higher initial costs, and consumer preferences currently favor IC engine vehicles. However, with increasing government support, technological advancements, and growing environmental concerns, the adoption of EVs is expected to accelerate in the future.
GCC Commercial Vehicle (CV) Market – By End Use
On the basis of end use, GCC Commercial Vehicle (CV) Market is divided into Industrial, Mining & Construction, Logistics, Passenger Transportation, and other segments. The logistics segment holds the highest share in GCC Commercial Vehicle (CV) Market by end use, primarily due to the region's growing demand for efficient transportation of goods across vast distances. The rapid expansion of e-commerce, trade, and infrastructure projects, such as ports and warehouses, has significantly boosted the logistics sector. Additionally, the increasing reliance on light and heavy commercial vehicles for last-mile delivery services, long-haul transportation, and supply chain management has further fueled market growth. With rising demand for timely deliveries and optimized distribution networks, logistics continues to drive the highest demand for CVs in the GCC region.
GCC Commercial Vehicle (CV) Market – By Country
The in-depth research report on the GCC Commercial Vehicle (CV) Market covers GCC countries: Saudi Arabia, UAE, Qatar, Kuwait, Oman, and Bahrain. Saudi Arabia (KSA) and the United Arab Emirates (UAE) are the dominant players in the GCC Commercial Vehicle (CV) market, particularly within the truck segment, which encompasses light-duty, medium-duty, and heavy-duty trucks. Their leadership is underpinned by strong economic growth across vital sectors such as manufacturing, construction, retail, and transportation. Both countries benefit from favorable government policies, strategic infrastructure investments, and ongoing efforts to diversify their economies beyond oil. These factors contribute significantly to the growth of the Commercial Vehicle (CV) market, particularly as both nations focus on modernizing logistics, construction, and manufacturing industries. The combination of continued economic expansion and infrastructure development positions Saudi Arabia and the UAE as key drivers of Commercial Vehicle (CV) demand in the GCC region, ensuring their sustained dominance in the market during the forecast period.
Competitive Landscape
Major players operating in GCC Commercial Vehicle (CV) Market include Toyota, Mitsubishi Fuso, Isuzu, Hyundai, MAN Truck & Bus, Volvo Trucks, Mercedes-Benz, Tata Motors, and Ford. To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.
Recent Developments
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In September 2024 - Mullen Automotive, in collaboration with Volt Mobility and VoltiE Group, began the delivery of its first EV vehicles in Dubai, marking a significant milestone in its Middle Eastern operations. Volt Mobility, a UAE-based vehicle transport and leasing company, placed a USD 210-million order for Mullen’s all-electric commercial vehicles, including 300 units for 2024 and 3,000 units for 2025. Mullen is also establishing a service network to support Volt’s fleet.
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In April 2024 - Stellantis announced plans to expand its product range in Saudi Arabia, introducing smart cars and light commercial vehicles (LCVs) under brands like Fiat, Citroen, and Peugeot. As part of its Dare Forward 2030 strategy, the company aims to enhance its market share, aligning with Saudi Vision 2030's sustainability goals.
Scope of the Report
Attributes |
Details |
Years Considered |
Historical Data – 2019–2030 |
Base Year – 2023 |
|
Estimated Year – 2024 |
|
Forecast Period – 2024–2030 |
|
Facts Covered |
Revenue in USD Billion |
Market Coverage |
Saudi Arabia, UAE, Qatar, Kuwait, Oman, Bahrain |
Product/ Service Segmentation |
Vehicle Type, Fuel Type, End Use, Country |
Key Players |
Toyota, Mitsubishi Fuso, Isuzu, Hyundai, MAN Truck & Bus, Volvo Trucks, Mercedes-Benz, Tata Motors, Ford |
By Vehicle Type
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Light Commercial Vehicles (LCVs)
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Heavy Trucks
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Buses & Coaches
By Fuel Type
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Internal Combustion Engine (ICE)
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Electric Vehicle (EV)
By End Use
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Industrial
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Mining & Construction
-
Logistics
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Passenger Transportation
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Others
By Country
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Saudi Arabia
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UAE
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Qatar
-
Kuwait
-
Oman
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Bahrain
- Research Framework
- Research Objective
- Product Overview
- Market Segmentation
- Executive Summary
- GCC Commercial Vehicle (CV) Market Insights
- Industry Value Chain Analysis
- DROC Analysis
- Growth Drivers
- Increasing infrastructure development
- Rising E-commerce sector
- Economic Growth
- Restraints
- High Initial Cost
- Stricter Emission Norms
- Opportunities
- Advancement in technology
- Increasing Urbanization
- Challenges
- Rising Fuel Costs
- Economic Downturns
- Growth Drivers
- Technological Advancements/Recent Developments
- Regulatory Framework
- Porter’s Five Forces Analysis
- Bargaining Power of Suppliers
- Bargaining Power of Buyers
- Threat of New Entrants
- Threat of Substitutes
- Intensity of Rivalry
- GCC Commercial Vehicle (CV) Market: Marketing Strategies
- GCC Commercial Vehicle (CV) Market Overview
- Market Size & Forecast, 2019–2030
- By Value (USD Billion)
- Market Share & Forecast
- By Vehicle Type
- Light Commercial Vehicles (LCVs)
- Heavy Trucks
- Buses & Coaches
- By Fuel Type
- IC Engine
- Electric Vehicle
- By End Use
- Industrial
- Mining & Construction
- Logistics
- Passenger Transportation
- Others
- By Country
- Saudi Arabia
- UAE
- Qatar
- Kuwait
- Oman
- Bahrain
- By Vehicle Type
- Market Size & Forecast, 2019–2030
- Saudi Arabia Commercial Vehicle (CV) Market
- Market Size & Forecast, 2019–2030
- By Value (USD Billion)
- Market Share & Forecast
- By Vehicle Type
- By Fuel Type
- By End Use
- Market Size & Forecast, 2019–2030
- UAE Commercial Vehicle (CV) Market
- Market Size & Forecast, 2019–2030
- By Value (USD Billion)
- Market Share & Forecast
- By Vehicle Type
- By Fuel Type
- By End Use
- Market Size & Forecast, 2019–2030
- Qatar Commercial Vehicle (CV) Market
- Market Size & Forecast, 2019–2030
- By Value (USD Billion)
- Market Share & Forecast
- By Vehicle Type
- By Fuel Type
- By End Use
- Market Size & Forecast, 2019–2030
- Kuwait Commercial Vehicle (CV) Market
- Market Size & Forecast, 2019–2030
- By Value (USD Billion)
- Market Share & Forecast
- By Vehicle Type
- By Fuel Type
- By End Use
- Market Size & Forecast, 2019–2030
- Oman Commercial Vehicle (CV) Market
- Market Size & Forecast, 2019–2030
- By Value (USD Billion)
- Market Share & Forecast
- By Vehicle Type
- By Fuel Type
- By End Use
- Market Size & Forecast, 2019–2030
- Bahrain Commercial Vehicle (CV) Market
- Market Size & Forecast, 2019–2030
- By Value (USD Billion)
- Market Share & Forecast
- By Vehicle Type
- By Fuel Type
- By End Use
- Market Size & Forecast, 2019–2030
- Competitive Landscape
- List of Key Players and Their Offerings
- GCC Commercial Vehicle (CV) Company Market Share Analysis, 2023
- Competitive Benchmarking, By Operating Parameters
- Key Strategic Developments (Mergers, Acquisitions, Partnerships, etc.)
- Impact of Escalating Geopolitical Tensions on GCC Commercial Vehicle (CV) Market
- Company Profiles (Company Overview, Financial Matrix, Competitive Landscape, Key Personnel, Key Competitors, Contact Address, Strategic Outlook, and SWOT Analysis)
- Toyota
- Mitsubishi Fuso
- Isuzu
- Hyundai
- MAN Truck & Bus
- Volvo Trucks
- Mercedes-Benz
- Tata Motors
- Ford
- Other Prominent Players
- Key Strategic Recommendations
- Research Methodology
- Qualitative Research
- Primary & Secondary Research
- Quantitative Research
- Market Breakdown & Data Triangulation
- Secondary Research
- Primary Research
- Breakdown of Primary Research Respondents, By Country
- Assumptions & Limitations
- Qualitative Research
*Financial information of non-listed companies can be provided as per availability.
**The segmentation and the companies are subject to modifications based on in-depth secondary research for the final deliverable.
List of Figures
Figure 1 GCC Commercial Vehicle (CV) Segmentation
Figure 2 GCC Commercial Vehicle (CV) Market Value Chain Analysis
Figure 3 Company Market Share Analysis, 2023
Figure 4 GCC Commercial Vehicle (CV) Market Size, By Value (USD Billion), 2019–2030
Figure 5 GCC Commercial Vehicle (CV) Market Share, By Vehicle Type , By Value, 2019–2030
Figure 6 GCC Commercial Vehicle (CV) Market Share, By Fuel Type, By Value, 2019–2030
Figure 7 GCC Commercial Vehicle (CV) Market Share, By End Use, By Value, 2019–2030
Figure 8 GCC Commercial Vehicle (CV) Market Share, By Country, By Value, 2019–2030
Figure 9 Saudi Arabia Commercial Vehicle (CV) Market Size, By Value (USD Billion), 2019–2030
Figure 10 Saudi Arabia Commercial Vehicle (CV) Market Share, By Vehicle Type , By Value, 2019–2030
Figure 11 Saudi Arabia Commercial Vehicle (CV) Market Share, By Fuel Type, By Value, 2019–2030
Figure 12 Saudi Arabia Commercial Vehicle (CV) Market Share, By End Use, By Value, 2019–2030
Figure 13 UAE Commercial Vehicle (CV) Market Size, By Value (USD Billion), 2019–2030
Figure 14 UAE Commercial Vehicle (CV) Market Share, By Vehicle Type , By Value, 2019–2030
Figure 15 UAE Commercial Vehicle (CV) Market Share, By Fuel Type, By Value, 2019–2030
Figure 16 UAE Commercial Vehicle (CV) Market Share, By End Use, By Value, 2019–2030
Figure 17 Qatar Commercial Vehicle (CV) Market Size, By Value (USD Billion), 2019–2030
Figure 18 Qatar Commercial Vehicle (CV) Market Share, By Vehicle Type , By Value, 2019–2030
Figure 19 Qatar Commercial Vehicle (CV) Market Share, By Fuel Type, By Value, 2019–2030
Figure 20 Qatar Commercial Vehicle (CV) Market Share, By End Use, By Value, 2019–2030
Figure 21 Kuwait Commercial Vehicle (CV) Market Size, By Value (USD Billion), 2019–2030
Figure 22 Kuwait Commercial Vehicle (CV) Market Share, By Vehicle Type , By Value, 2019–2030
Figure 23 Kuwait Commercial Vehicle (CV) Market Share, By Fuel Type, By Value, 2019–2030
Figure 24 Kuwait Commercial Vehicle (CV) Market Share, By End Use, By Value, 2019–2030
Figure 25 Oman Commercial Vehicle (CV) Market Size, By Value (USD Billion), 2019–2030
Figure 26 Oman Commercial Vehicle (CV) Market Share, By Vehicle Type , By Value, 2019–2030
Figure 27 Oman Commercial Vehicle (CV) Market Share, By Fuel Type, By Value, 2019–2030
Figure 28 Oman Commercial Vehicle (CV) Market Share, By End Use, By Value, 2019–2030
Figure 29 Bahrain Commercial Vehicle (CV) Market Size, By Value (USD Billion), 2019–2030
Figure 30 Bahrain Commercial Vehicle (CV) Market Share, By Vehicle Type , By Value, 2019–2030
Figure 31 Bahrain Commercial Vehicle (CV) Market Share, By Fuel Type, By Value, 2019–2030
Figure 32 Bahrain Commercial Vehicle (CV) Market Share, By End Use, By Value, 2019–2030
List of Tables
Table 1 GCC Commercial Vehicle (CV) Market Size, By Value (USD Billion), 2019–2030
Table 2 GCC Commercial Vehicle (CV) Market Size, By Vehicle Type , By Value, 2019–2030
Table 3 GCC Commercial Vehicle (CV) Market Size, By Fuel Type, By Value, 2019–2030
Table 4 GCC Commercial Vehicle (CV) Market Size, By End Use, By Value, 2019–2030
Table 5 GCC Commercial Vehicle (CV) Market Size, By Country, By Value, 2019–2030
Table 6 Saudi Arabia Commercial Vehicle (CV) Market Size, By Value (USD Billion), 2019–2030
Table 7 Saudi Arabia Commercial Vehicle (CV) Market Size, By Vehicle Type , By Value, 2019–2030
Table 8 Saudi Arabia Commercial Vehicle (CV) Market Size, By Fuel Type, By Value, 2019–2030
Table 9 Saudi Arabia Commercial Vehicle (CV) Market Size, By End Use, By Value, 2019–2030
Table 10 UAE Commercial Vehicle (CV) Market Size, By Value (USD Billion), 2019–2030
Table 11 UAE Commercial Vehicle (CV) Market Size, By Vehicle Type , By Value, 2019–2030
Table 12 UAE Commercial Vehicle (CV) Market Size, By Fuel Type, By Value, 2019–2030
Table 13 UAE Commercial Vehicle (CV) Market Size, By End Use, By Value, 2019–2030
Table 14 Qatar Commercial Vehicle (CV) Market Size, By Value (USD Billion), 2019–2030
Table 15 Qatar Commercial Vehicle (CV) Market Size, By Vehicle Type , By Value, 2019–2030
Table 16 Qatar Commercial Vehicle (CV) Market Size, By Fuel Type, By Value, 2019–2030
Table 17 Qatar Commercial Vehicle (CV) Market Size, By End Use, By Value, 2019–2030
Table 18 Kuwait Commercial Vehicle (CV) Market Size, By Value (USD Billion), 2019–2030
Table 19 Kuwait Commercial Vehicle (CV) Market Size, By Vehicle Type , By Value, 2019–2030
Table 20 Kuwait Commercial Vehicle (CV) Market Size, By Fuel Type, By Value, 2019–2030
Table 21 Kuwait Commercial Vehicle (CV) Market Size, By End Use, By Value, 2019–2030
Table 22 Oman Commercial Vehicle (CV) Market Size, By Value (USD Billion), 2019–2030
Table 23 Oman Commercial Vehicle (CV) Market Size, By Vehicle Type , By Value, 2019–2030
Table 24 Oman Commercial Vehicle (CV) Market Size, By Fuel Type, By Value, 2019–2030
Table 25 Oman Commercial Vehicle (CV) Market Size, By End Use, By Value, 2019–2030
Table 26 Bahrain Commercial Vehicle (CV) Market Size, By Value (USD Billion), 2019–2030
Table 27 Bahrain Commercial Vehicle (CV) Market Size, By Vehicle Type , By Value, 2019–2030
Table 28 Bahrain Commercial Vehicle (CV) Market Size, By Fuel Type, By Value, 2019–2030
Table 29 Bahrain Commercial Vehicle (CV) Market Size, By End Use, By Value, 2019–2030
Table 30 Toyota Company Overview
Table 31 Toyota Financial Overview
Table 32 Mitsubishi Fuso Company Overview
Table 33 Mitsubishi Fuso Financial Overview
Table 34 Isuzu Company Overview
Table 35 Isuzu Financial Overview
Table 36 Hyundai Company Overview
Table 37 Hyundai Financial Overview
Table 38 MAN Truck & Bus Company Overview
Table 39 MAN Truck & Bus Financial Overview
Table 40 Volvo Trucks Company Overview
Table 41 Volvo Trucks Financial Overview
Table 42 Mercedes-Benz Company Overview
Table 43 Mercedes-Benz Financial Overview
Table 44 Tata Motors Company Overview
Table 45 Tata Motors Financial Overview
Table 46 Ford Company Overview
Table 47 Ford Financial Overview
Market Segmentation
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