A new report published by Future Market Insights titled ‘Commercial Vehicles (Trucks) Market: Middle East & North Africa (MENA) Industry Analysis 2012 – 2016 and Opportunity Assessment 2017-2027’ studies the performance of the MENA commercial vehicles (trucks) market over a 10-year assessment period from 2017 to 2027.
The report presents the value and volume forecasts of the MENA commercial vehicles (trucks) market and provides key insights into the factors driving the market growth as well as those restricting it. The estimates point to a revenue growth from nearly $5,250 million in 2017 to nearly $8,500 million by 2027 end, resulting in a CAGR of 5% during the period of assessment. In terms of volume, the MENA commercial vehicles (trucks) market was pegged at 1,52,191 units in 2017 and is poised to reach a figure of 2,12,232 units in 2027, and display a CAGR of 3.4% in the forecast period.
Rapid development and growth of the oil and gas industry in the rest of the Middle-East region would boost market revenue growth. Commercial vehicles are commonly used as a medium of transport for different types of end-use industries and they are helping in tasks such as unloading, loading and transportation of goods. The construction industry is exhibiting a fast growth due to the vast number of projects in the pipeline in each country of the Middle East, and this also has connection with the plans of the countries in the Middle Eastern region to diversify their economies.
These developments are also related to the large-scale international events that are going to be held in this region such as World Expo 2020 in Dubai and the FIFA World Cup 2022 in Qatar.
The construction industry in Iran was estimated to be valued at $154.4 billion in 2016 against from $88 billion in 2013, and due to this upward growth, the market for heavy trucks is likely to boost in this country. Also, due to the rising urbanization, the construction industry is experiencing rapid growth in the rest of the countries in the Middle East, which is further expected to boost the demand for commercial vehicles in building and construction activities in the region.
Iran is also one of the biggest markets for trucks in the MENA region, and with the economic sanctions lifted, it is experiencing a huge growth and is likely to be one of the prominent markets for heavy duty commercial vehicles. On the other hand, other countries in the region like the UAE and Oman are also becoming attractive markets for commercial vehicles due to their vast use in end-use industries such as petrochemicals, and this is expected to boost the overall demand for trucks in the Middle East region.
The MENA commercial vehicles (trucks) market is segmented on the basis of class type and region. On the basis of class type, the market is segmented into light duty, medium duty and heavy duty. On regional basis, the market is segmented into Middle East (Saudi Arabia, Turkey, Rest of Middle East) and North Africa.
- The heavy duty segment was estimated to be valued at nearly $3,200 million in 2017 and is likely to reach a valuation of nearly $5,300 million in 2027 and in the process register a CAGR of 5.1%.
- The medium duty segment was estimated to be valued at nearly $1,850 million in 2017 and is anticipated to reach a valuation of nearly $3,000 million in 2027 and register a CAGR of 4.8%.
Regional forecast
- The commercial vehicles (trucks) market in Saudi Arabia was estimated to be valued at nearly $560 million in 2017 and is likely to reach a valuation of nearly $900 million in 2027 and exhibit a CAGR of 4.6% during the assessment period.
- The commercial vehicles (trucks) market in Turkey was estimated to be valued at nearly $1,350 million in 2017 and is anticipated to reach a valuation of nearly $2,150 million in 2027 and exhibit a CAGR of 5% during the period of forecast.
Vendor insights
This report includes some of the key players functioning in the MENA commercial vehicles (trucks) market such as Daimler AG, AB Volvo, Scania AB, Paccar Inc., MAN SE, Navistar International Corp., Hino Motors, Ltd., Isuzu Motors Ltd., Dongfeng Motor Corporation, FAW Group Corporation, Toyota Motor Corporation, Ford Motor Company, Nissan Motor Company Ltd., General Motor Company and Volkswagen AG. Manufacturers are using advanced telematics systems and financing options to lure customers.