Saudi Arabia Hub Motor Market Report Size, Share, Growth Drivers, Trends, Opportunities & Forecast 2025–2030

Saudi Arabia Hub Motor Market Overview

• The Saudi Arabia Hub Motor Market is valued at USD 170 million, based on a five-year historical analysis. This growth is primarily driven by the increasing adoption of electric vehicles, government initiatives promoting sustainable transportation under Saudi Vision 2030, and rising consumer awareness regarding environmental issues. The market has seen a significant uptick in demand for efficient and innovative hub motor technologies, especially geared hub motors, which are essential for the performance of electric two-wheelers, micro-mobility solutions, and compact electric vehicles.
• Key cities such as Riyadh, Jeddah, and Dammam dominate the market due to their rapid urbanization, infrastructure development, and government support for electric mobility, including charging infrastructure rollout and smart city initiatives. Riyadh, being the capital, serves as a central hub for policy implementation and investment in electric vehicle infrastructure, while Jeddah and Dammam benefit from their strategic locations as major commercial and logistics centers with growing populations, further driving the demand for hub motors used in e-bikes, e-scooters, and utility-focused electric vehicles.
• In 2023, the Saudi Standards, Metrology and Quality Organization (SASO) and the Ministry of Energy strengthened the regulatory framework for electric vehicles through technical regulations that require imported and locally sold electric vehicles to comply with energy efficiency, performance, and safety standards, including efficiency and performance requirements for electric traction motors and drive systems. These regulations, together with EV import rules and type-approval standards, aim to enhance the performance and sustainability of electric vehicles, thereby supporting the adoption of cleaner transportation solutions across the nation.

Saudi Arabia Hub Motor Market Segmentation

By Motor Type:The market is segmented into various motor types, including Geared Hub Motors, Gearless (Direct Drive) Hub Motors, Front Hub Motors, and Rear Hub Motors. Each type serves different applications and consumer preferences, with geared hub motors being popular for their high torque delivery and efficiency, especially in e-bikes and e-scooters, while gearless (direct drive) motors are favored for their mechanical simplicity, quieter operation, and low maintenance in certain passenger and utility vehicle applications.

By Vehicle Type:The vehicle type segmentation includes E-Bikes, E-Scooters, E-Motorcycles, Electric Passenger Vehicles, Electric Utility & Light Commercial Vehicles, and Electric Heavy-Duty & Fleet Vehicles. E-Bikes and E-Scooters are leading the market within hub motor applications, in line with global trends where e-bikes account for the largest share of hub motor demand, driven by their popularity in urban commuting, last-mile connectivity, and micro-mobility solutions. Electric passenger vehicles, especially compact city EVs and new domestic brands, are gaining traction as consumer preferences shift towards sustainable transportation and as charging infrastructure and EV incentives expand in Saudi Arabia.

Saudi Arabia Hub Motor Market Competitive Landscape

The Saudi Arabia Hub Motor Market is characterized by a dynamic mix of regional and international players. Leading participants such as Robert Bosch GmbH, NTN Corporation, Schaeffler AG, Nidec Corporation, Bafang Electric (Suzhou) Co., Ltd., Golden Motor Technology Co., Ltd., Heinzmann GmbH & Co. KG, Taizhou Quanshun Motor Co., Ltd., Shimano Inc., Mahindra & Mahindra Ltd. (Electric Mobility Division), Hero Electric Vehicles Pvt. Ltd., Zero Motorcycles, Inc., Lucid Group, Inc., Ceer Company, Al-Futtaim Electric Mobility Company contribute to innovation, geographic expansion, and service delivery in this space, leveraging strengths in e-bike systems, electric powertrain components, and localized EV manufacturing and distribution.

Saudi Arabia Hub Motor Market Industry Analysis

Growth Drivers

• Increasing Demand for Electric Vehicles:The demand for electric vehicles (EVs) in Saudi Arabia is projected to reach 1.5 million units in future, driven by rising fuel prices and consumer preference for sustainable options. The government aims to have 30% of all vehicles be electric in future, aligning with Vision 2030 goals. This shift is supported by a 20% increase in EV sales in future, indicating a robust market for hub motors as integral components of these vehicles.
• Government Initiatives for Sustainable Transportation:The Saudi government has allocated $1.5 billion towards developing sustainable transportation infrastructure, including electric vehicle charging stations. This initiative is part of a broader strategy to reduce carbon emissions by 30% in future. The establishment of the Saudi Green Initiative aims to promote electric mobility, creating a favorable environment for hub motor manufacturers to thrive and innovate in the market.
• Advancements in Hub Motor Technology:Technological advancements in hub motors, such as improved energy efficiency and reduced weight, are enhancing their appeal in the automotive sector. In future, the average efficiency of hub motors is expected to exceed 90%, significantly improving vehicle performance. Additionally, innovations in battery technology are expected to reduce charging times by 50%, further driving the adoption of hub motors in electric vehicles across Saudi Arabia.

Market Challenges

• High Initial Investment Costs:The high initial investment required for electric vehicle technology, including hub motors, poses a significant barrier to market entry. The average cost of an electric vehicle in Saudi Arabia is approximately $40,000, which is 20% higher than traditional vehicles. This price differential can deter consumers, limiting the growth potential of the hub motor market despite increasing demand for electric vehicles.
• Limited Charging Infrastructure:As of future, Saudi Arabia has only 1,200 public charging stations, which is insufficient to support the anticipated growth in electric vehicle adoption. The lack of widespread charging infrastructure creates range anxiety among potential EV buyers, hindering market expansion. The government’s plan to increase this number to 5,000 in future is crucial for overcoming this challenge and facilitating the growth of the hub motor market.

Saudi Arabia Hub Motor Market Future Outlook

The future of the hub motor market in Saudi Arabia appears promising, driven by increasing investments in electric vehicle infrastructure and technological advancements. By future, the government aims to have 5,000 charging stations operational, significantly enhancing accessibility for consumers. Additionally, collaborations between automotive manufacturers and technology firms are expected to foster innovation, leading to more efficient hub motors. This synergy will likely position Saudi Arabia as a leader in sustainable transportation solutions in the Middle East.

Market Opportunities

• Expansion of Electric Vehicle Market:The electric vehicle market in Saudi Arabia is set to expand rapidly, with projections indicating a growth to 1.5 million units in future. This growth presents significant opportunities for hub motor manufacturers to capture market share and innovate in product offerings, catering to the increasing demand for efficient and sustainable transportation solutions.
• Development of Smart City Projects:The Saudi government is investing $500 million in smart city projects, which will integrate electric vehicles into urban planning. This initiative will create demand for hub motors as essential components of smart mobility solutions, providing manufacturers with opportunities to collaborate on innovative transportation systems that enhance urban living.