Emirates Auto Sales 2016 dropped down more than any other Top market in the World, hit by weak demand both from real internal demand and trading sector. All manufacturers fell down, but Infiniti and Jaguar.
The UAE’s economy strengthened in the last few months of 2016 and has started the current year on a positive note, underpinned by improving economic conditions in the non-oil sector and an uptick in exports, with the country’s PMI rising uninterruptedly from October onwards. However, growth over last year as a whole is likely to have disappointed, due in part to lower oil prices.
In addition, the non-oil sector was subdued, as the strength of the dirham hurt firms’ competitiveness and dented tourism, while fiscal austerity suppressed domestic demand.
Following years of real booming volume, driven both by real internal demand, for one of the fastest growing nation in the World, and by external demand, considering the trading to Africa and rest of Gulf area for vehicles “officially” sold in the UAE (and registered here), the 2016 was a real nightmare for the UAE Automotive industry.
Indeed, internal demand collapsed mainly for government actions which depressed the domestic demand above expectations. As regard export front, both African and Gulf channels found harsh time, with all countries of destination having passed a negative year, with weak internal demand and higher barrier to “grey” import. Only in the case of Algeria, demand was strong as ever.
The result in terms of full year sales was really bad, with total light vehicles sales felt near 0.3 million (308.000) from the above 0.4 touched in the previous two years. The only positive consideration is that the major cut was suffered by trading sales.
The fall of 27.4% follows a series of two consecutive all time records and a sixth consecutive growth, confirming as the UAE is the most volatility vehicles market in the Gulf area.
Moreover, the UAE fall was the deepest among the Top 30 global vehicles markets.
Almost all manufacturers have reported lost, starting from the leader Toyota, down 25.2% and followed in the ranking by Nissan (-23.4%), Mitsubishi (-46.4%), BMW (-10.4%), Hyundai (-13.4%), Ford (-23.2%), Kia (-8.7%), Lexus (-3.8%) and Chevrolet (-19.9%).
Among the few positive players, Infiniti, with sales up 31.5% and Jaguar, up 13.6%.
Updates on the Top selling models ranking are available here.
Tables with sales figures
In the tables below we report sales for all Brands, top 10 Manufacturers Group and top 10 Models