Riyadh: Automobile sales in Saudi Arabia are expected to increase by six to 10 per cent this year following the lifting of a ban on women drivers, Faisal Abu Shusha, Chairman of the National Committee for Cars at the Council of Saudi Chambers, has said.
Saudi Arabia is the region’s largest market for car sales, accounting for 40 per cent of total GCC sales.
But car sales in the kingdom have suffered persistent decline over the past two years by an average 20 per cent, as a result of worsening economic situation and deportation of a million expatriate workers.
Abu Shusha told Al Eqtisadiya newspaper that the entry of women to the market will revive sluggish sales, increase competition and change market preferences on the level of models, colours and other features.
Over the past months, a number of automobile agencies in Saudi Arabia have dedicated branches and showrooms for women customers to order and pick their new cars.
Women driving is set to turn local market on its head, as hundreds of thousands of Saudi families who hired expatriate drivers can now do without them, or assign them to other work, while housewives use their own cars to run errands.
Even Uber and Careem who offered initial support to women who could not drive, can suffer lower revenues.
The two companies have started receiving requests from women captains (drivers) to take part in the ride-hailing service.
— Ahmed Ali is a freelance reporter based in Riyadh
