BMI Ses Autos Sector Upturn For 2010

The UAE car market is expected to grow in 2010, as it recovers from the impact of the global financial crisis and the country's recession. The Dubai Chamber of Commerce and Industry (DCCI) expects 5% sales growth, despite the continuing tightness of credit and the new Dubai Metro which has broadened public transport options. BMI is even more optimistic and expects 2010 sales to rebound to 352,913 units, up from 325,274 units in 2009, and just below 2008 sales of 355,117. By 2014, sales should reach 564,043 units. The UAE has become one of the favourite markets for automobile companies around the world, primarily as the Middle East has been one of the more resilient regional markets for automobile manufacturers compared with North America and Europe. Before the global economic crisis, vehicle numbers were easily outpacing the rate of population growth. The number of vehicles on the road rose 49% to 583,015 units in 2008, from 392,546 units in 2006, according to the Abu Dhabi Traffic Department. The growth in the number of vehicles was attributed to the increase in residents and new companies entering the emirate. In Dubai, the number of registered vehicles rose to 1.045mn in 2008, up from 853,827 in 2007.

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