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Dubai auto parts and accessories trade valued at AED39.9 billion in 2017

2 May 2018

Emirate’s auto aftermarket trade grows three per cent year-on-year according to figures announced at Automechanika Dubai 2018

Dubai, UAE: Dubai’s trade for auto parts and accessories was valued at AED39.9 billion in 2017, a three percent increase over the previous year (AED38.7 billion), according to figures released by Dubai Customs today (2 May).

Imports of tyres, batteries, engine components and systems into Dubai were valued at AED22.35 billion last year, while the value of exports and re-exports coming out of the Emirate was AED17.54 billion.

The volume of trade in Dubai’s thriving automotive aftermarket has also increased year-on-year, with 2.25 million tonnes of tyres, batteries, engine components and systems shipped through the Emirate in 2017, 8.4 percent up on 2016.

The Dubai auto-parts trade updates were announced to an audience of manufacturers, suppliers, fleet operators, and regulators at the Smart Commercial Vehicles Middle East Conference on the side-lines of the Automechanika Dubai 2018 exhibition. 

According to Dubai Customs, Japan (AED5.63 billion), South Korea (AED3 billion), USA (AED2.94 billion), Germany (AED2.69 billion), and China (AED2.39 billion) were Dubai’s top country partners last year in terms of total auto parts trade.

Meanwhile, Saudi Arabia (AED2 billion), Afghanistan (1.34 billion), Iraq (AED1.1 billion) Oman (AED730 million), and Kuwait (AED580 million) were the Emirate’s biggest export and re-export markets in 2017, accounting for a combined 33 per cent of Dubai’s exports and re-exports of auto parts, accessories, tyres, and engine components for the year.

The five major trading partners comprised 69 per cent of Dubai’s total automotive parts imports in 2017. Japan was the top destination from which Dubai’s car parts originated, claiming AED5.61 billion of the market and a 25 percent share of total exports to Dubai.

South Korea followed with AED2.94 billion worth of exports to Dubai (13 percent share). USA (AED2.37 billion), Germany (AED2.29 billion), and China (AED2.17 billion) comprise the other three top exporters to Dubai.

Ahmed Mahboob Musabih, the Director of Dubai Customs, said: “Growth in this type of trade is a success to the emirate’s overall external trade. We support and sustain this growth following the wise directives of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister and Ruler of Dubai who always encourages economic diversification. In order to do this, we continually develop our services and customs facilitations to attract investments and help investors maximise their profits”.

Musabih added: “We also encourage innovation as a daily practice in our department, and use the latest technologies and smart applications to reduce time need for cargo clearance. Dubai, as an international and regional hub, succeeded in connecting the global market of spare parts and accessories. We connect manufacturers in Asia, Europe and North America and customs in different markets including the GCC, Arab Countries, Africa, the Indian Subcontinent, and South East Asia”. 

Musabih pointed out that Dubai achieved many advancements, especially in infrastructure and transport.   Dubai’s ports, airports and free zones are among the best worldwide, further promoting the Emirate as a global trade partner as it prepares to host the World Expo 2020.

“Dubai is the epicentre of Middle East and African automotive aftermarket, and it’s pleasing to see the Emirate’s spare parts and accessories trade value and volume is back on an upward track,” said Ahmed Pauwels, CEO of Messe Frankfurt Middle East, the organiser of Automechanika Dubai.

“The latest market updates from Dubai Customs are a regular feature of Automechanika Dubai, and we’re delighted to continue our long-standing relationship as we work together to grow one of the world’s most promising markets for the global aftermarket community.”

Automechanika Dubai 2018, which runs until tomorrow (3 May) at the Dubai International Convention and Exhibition Centre, is the Middle East and Africa’s largest trade exhibition for the automotive aftermarket and services industry.

It features 1,812 exhibitors from 61 countries in its 16th edition, covering the six core product groups of Parts & Components; Electronics & Systems; Repair & Maintenance; Tyres & Batteries; Accessories & Customizing; and Car Wash, Care & Reconditioning.  The three-day event is expected to draw in more than 30,000 trade buyers from 135 countries. 

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