UAE aftermarket automotive parts market size, share, growth drivers, trends, opportunities & forecast 2025–2030

UAE Aftermarket Automotive Parts Market Overview

• The UAE Aftermarket Automotive Parts Market is valued at USD 7.3 billion, based on a five-year historical analysis. This growth is primarily driven by the increasing vehicle ownership, rising demand for vehicle maintenance, and the growing trend of customization among consumers. The market is also supported by the expansion of e-commerce platforms, which facilitate easier access to a wide range of automotive parts.
• Dubai and Abu Dhabi are the dominant cities in the UAE Aftermarket Automotive Parts Market due to their status as major commercial hubs with a high concentration of vehicles. The presence of numerous automotive service centers and a growing expatriate population further contribute to the market's growth in these regions. Additionally, the cities' advanced infrastructure supports efficient logistics and distribution of automotive parts. In 2023, approximately 259,140 newly registered vehicles were recorded in the UAE, with Dubai and Abu Dhabi leading in vehicle registrations.
• The UAE government enforces stringent vehicle inspection laws and road safety regulations through the Roads and Transport Authority in Dubai, which mandate regular maintenance and replacement of worn parts such as brakes and tires to meet safety and environmental standards for vehicle registration renewal. These regulatory requirements drive demand for certified aftermarket components and professional services, ensuring vehicles comply with legal requirements while enhancing road safety and sustaining market expansion.

UAE Aftermarket Segmentation

By Type:The market is segmented into various types of automotive parts, including Tire, Battery, Brake Parts, Filters (Air, Oil, Cabin), Body Parts, Lighting & Electronic Components, Wheels, Exhaust Components, Turbochargers, Lubricants, Clutch Parts, Engine Components, and Others. Among these, the Tire segment is currently dominating the market due to the high frequency of tire replacements driven by wear and tear, as well as seasonal changes that necessitate tire changes. The growing awareness of road safety and performance also influences consumer preferences towards high-quality tires.

By End-User:The end-user segmentation includes Individual Consumers, Fleet Operators, Repair Shops, Corporate Clients, Government Agencies, and Others. The Individual Consumers segment is leading the market, driven by the increasing number of personal vehicles and the growing trend of DIY maintenance among car owners. This segment's growth is further supported by the rising disposable income, with per capita income averaging over USD 45,000, and the increasing awareness of vehicle upkeep among consumers.

UAE Aftermarket Competitive Landscape

The UAE Aftermarket Automotive Parts market is characterized by a dynamic mix of regional and international players. Leading participants such as Al-Futtaim Automotive, Al Naboodah Group Enterprises, Al Tayer Motors, Central Trading Company LLC, Galadari Automobiles Co. Ltd, Arabian Automobiles Company, Union Auto Parts, Bosch Middle East, ACDelco (General Motors), Zafco Trading LLC, Al Masaood Automobiles, Emirates Motor Company, Al Habtoor Motors, Al Majid Motors, Bridgestone Middle East & Africa FZE contribute to innovation, geographic expansion, and service delivery in this space.

UAE Aftermarket Industry Analysis

Growth Drivers

• Increasing Vehicle Ownership:The UAE has witnessed a significant rise in vehicle ownership, with over 3 million registered vehicles in future, reflecting a growth rate of 5% from the previous year. This surge is driven by a growing population, which reached approximately 9.5 million, and an expanding middle class. As more individuals acquire vehicles, the demand for aftermarket parts and services is expected to increase, creating a robust market environment for automotive suppliers and service providers.
• Rising Demand for Vehicle Customization:The UAE's automotive culture is characterized by a strong inclination towards vehicle customization, with the aftermarket segment valued at around AED 5 billion in future. This trend is fueled by a youthful demographic, with over 60% of the population under 30 years old, who prioritize personalization. As consumers seek unique modifications, the demand for specialized aftermarket products, such as performance parts and aesthetic enhancements, is anticipated to grow significantly.
• Expansion of E-commerce Platforms:The UAE's e-commerce sector is projected to reach AED 27 billion in future, driven by increased internet penetration and smartphone usage, which stands at 99%. This growth facilitates the online sale of automotive parts, allowing consumers to access a wider range of products conveniently. As more players enter the digital marketplace, the aftermarket industry is likely to benefit from enhanced distribution channels and improved customer engagement, further stimulating market growth.

Market Challenges

• Intense Competition:The UAE aftermarket is characterized by fierce competition, with over 1,500 registered aftermarket businesses vying for market share. This saturation leads to price wars and reduced profit margins, making it challenging for new entrants to establish themselves. Established players often leverage brand loyalty and extensive distribution networks, further complicating the competitive landscape for smaller firms attempting to gain traction in the market.
• Supply Chain Disruptions:The automotive aftermarket in the UAE faces significant supply chain challenges, exacerbated by global disruptions. In future, delays in shipping and increased lead times for parts have risen by 30%, impacting inventory levels and service delivery. These disruptions are primarily due to geopolitical tensions and fluctuating shipping costs, which hinder the ability of businesses to meet consumer demand promptly, ultimately affecting customer satisfaction and sales.

UAE Aftermarket Future Outlook

The UAE aftermarket industry is poised for transformative growth, driven by technological advancements and evolving consumer preferences. The increasing adoption of electric vehicles (EVs) is expected to reshape the aftermarket landscape, with a projected 20% of new vehicle sales being EVs in future. Additionally, the integration of smart automotive technologies will enhance service offerings, creating new revenue streams. As the market adapts to these trends, businesses that embrace innovation and sustainability will likely thrive in this dynamic environment.

Market Opportunities

• Growth in Electric Vehicle Aftermarket:With the UAE government targeting 10% of vehicles to be electric in future, the aftermarket for EV parts and services is set to expand. This shift presents opportunities for businesses to develop specialized products and services tailored to EV maintenance, enhancing their market position and profitability.
• Development of Smart Automotive Technologies:The rise of smart automotive technologies, such as telematics and connected car systems, offers significant opportunities for aftermarket service providers. By integrating these technologies into their offerings, businesses can enhance customer experiences and streamline operations, positioning themselves as leaders in a rapidly evolving market.