|
Forecast
Period
|
2024-2028
|
|
Market
Size (2022)
|
USD 1.72 Million
|
|
CAGR
(2023-2028)
|
8.14%
|
|
Fastest
Growing Segment
|
Electric
Scooter & Moped
|
|
Largest
Market
|
Northern
& Central
|
Market Overview
Saudi
Arabia Electric Two-Wheeler Market has valued at USD 1.72 Million in 2022 and
is anticipated to project robust growth in the forecast period with a CAGR of 8.14%.
The Saudi Arabia Electric Two-Wheeler Market is
undergoing a notable transformation in response to evolving transportation
preferences and a growing emphasis on sustainability. This emerging market is
characterized by several key features that reflect its dynamic nature.
Electric two-wheelers, including e-scooters and
e-bikes, have gained popularity in Saudi Arabia as part of the nation's broader
efforts to reduce carbon emissions and promote sustainable transportation. The
Saudi government's Vision 2030 plan places significant emphasis on
sustainability, making electric two-wheelers a fitting choice for eco-conscious
commuters.
In the context of Saudi cities' rapid urbanization
and increasing traffic congestion, electric two-wheelers are emerging as
practical and efficient urban commuting solutions. They offer a convenient mode
of transportation, particularly for short to medium-distance travel, making
them increasingly popular among urban residents.
To support the adoption of electric two-wheelers,
Saudi Arabia is investing in developing an electric vehicle (EV) charging
infrastructure. This includes the installation of charging stations across
cities and major urban areas, ensuring that users have easy access to charging
facilities. Ride-sharing and micro-mobility services are gaining prominence in
Saudi cities, further fueling the demand for electric two-wheelers. These
services are often facilitated through smartphone apps, offering users a
convenient and environmentally friendly means of transportation.
Consumer awareness about the environmental impact
of traditional gasoline-powered two-wheelers is on the rise. Incentives and
subsidies provided by the government are encouraging more individuals to
explore electric two-wheelers as an eco-friendly alternative for their daily
commuting needs.
The Saudi electric two-wheeler market is attracting
both domestic manufacturers and international companies. These market players
offer a diverse range of electric two-wheelers, catering to the increasing
demand and providing consumers with a variety of options. The government's
incentives, such as reduced customs duties and taxes on electric two-wheelers,
are making these vehicles more affordable for consumers, further driving their
adoption.
Electric two-wheelers are viewed as an
environmentally responsible mode of transportation, promoting the reduction of
carbon emissions. This perception is driving consumer interest, particularly
among those who seek to minimize their carbon footprint and contribute to a
more sustainable future.
The Saudi Arabia Electric Two-Wheeler Market is
poised for significant growth as it aligns with the nation's sustainability
goals and addresses urban mobility challenges. With increasing consumer
awareness, government support, and a growing range of electric two-wheelers,
the market is expected to continue expanding, providing efficient and
sustainable transportation solutions to the Saudi population.
Key Market Drivers
Environmental Concerns
Saudi Arabia, like many other countries, is
increasingly focusing on addressing environmental concerns, air quality, and
carbon emissions. Electric two-wheelers are viewed as an eco-friendly
transportation alternative that produces zero tailpipe emissions. As
environmental consciousness grows, there is a growing shift toward cleaner and
more sustainable mobility solutions.
Government Support and Incentives
To accelerate the adoption of electric
two-wheelers, the Saudi government has introduced various incentives and
subsidies. These measures include reduced customs duties, taxes, and
registration fees for electric two-wheelers, significantly lowering the cost of
ownership for consumers and businesses. Such incentives make electric
two-wheelers more affordable and accessible to a broader segment of the
population.
Vision 2030
Saudi Arabia's Vision 2030 plan serves as a
strategic framework for the nation's economic and social development.
Sustainability and environmental conservation are integral components of this
vision. Electric two-wheelers are seen as a vital component of achieving these
goals, as they contribute to reducing carbon emissions and align with the
broader objectives of Vision 2030.
Urbanization and Congestion
Rapid urbanization in Saudi cities has led to
increased traffic congestion and a demand for efficient and flexible
transportation options. Electric two-wheelers offer a practical solution for
navigating crowded urban areas. They are compact, maneuverable, and can easily
weave through traffic, making them a convenient choice for urban commuters.
Advancements in Battery Technology
The market has seen significant advancements in
battery technology, primarily with the adoption of lithium-ion batteries. These
batteries offer improved energy density, longer cycle life, and greater energy
efficiency. As a result, modern electric two-wheelers equipped with lithium-ion
batteries offer longer ranges per charge, addressing concerns related to range
anxiety and making them more practical for daily commuting.
Micro-Mobility Solutions
The rise of micro-mobility solutions is impacting
the electric two-wheeler market. These solutions, often facilitated through
smartphone apps, provide on-demand access to electric scooters and e-bikes.
They offer a convenient and flexible mode of transportation for short trips
within cities. The accessibility and affordability of these services contribute
to the growing popularity of electric two-wheelers.
Enhanced Charging Infrastructure
The development of a robust electric vehicle (EV)
charging infrastructure is pivotal to the market's growth. Saudi cities are
witnessing increased installations of charging stations, making it convenient
for electric two-wheeler users to recharge their vehicles. Reliable and
accessible charging infrastructure is a critical driver of adoption.
Emerging Local and Global Players
The Saudi electric two-wheeler market is attracting
both domestic manufacturers and international companies. This influx of market
players is broadening the range of available electric two-wheelers, providing
consumers with diverse options, including e-scooters, e-bikes, and electric
motorcycles. The presence of both local and global manufacturers contributes to
market competitiveness and innovation.
These comprehensive drivers collectively underpin
the growth and development of the Saudi Arabia Electric Two-Wheeler Market. As
the market continues to evolve, it plays a significant role in the nation's
efforts to promote sustainable transportation and reduce the environmental
impact of urban mobility.
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Key Market Challenges
Limited Charging Infrastructure
The electric two-wheeler market is highly dependent
on a robust charging infrastructure. While efforts are underway to expand
charging networks in Saudi cities, there is still a need for more widespread
and accessible charging stations, particularly in remote or less urbanized
areas.
Range Anxiety
Concerns related to range anxiety, or the fear of
running out of battery charge, can deter potential buyers. While battery
technology is improving, electric two-wheelers need to offer sufficient range
to meet users' daily commuting needs, addressing this apprehension.
Initial Cost
Electric two-wheelers, despite government
incentives, can still have a higher initial purchase price compared to
traditional gasoline-powered vehicles. Overcoming the cost barrier and making
electric two-wheelers more affordable for a broader population remains a
challenge.
Battery Recycling and Disposal
The disposal and recycling of lithium-ion batteries
from electric two-wheelers present environmental challenges. Proper recycling
infrastructure and sustainable disposal methods need to be established to
mitigate environmental impacts.
Safety Concerns
Ensuring the safety of electric two-wheeler riders
is a paramount concern. Developing and enforcing safety regulations, such as
helmet use and adherence to traffic rules, is essential to reduce accidents and
injuries.
Public Awareness and Education
Many potential buyers lack awareness and knowledge
about electric two-wheelers and their benefits. An education campaign is
necessary to inform consumers about the advantages of electric two-wheelers and
address any misconceptions.
Regulatory Framework
The electric two-wheeler market requires a clear
and consistent regulatory framework to govern safety standards, vehicle
classifications, and road usage. Regulations should evolve to accommodate this
emerging mode of transportation.
Limited Model Variety
While the market is growing, the
availability of electric two-wheeler models and options remains somewhat
limited compared to traditional gasoline-powered two-wheelers. Diversifying the
range of electric two-wheelers available to cater to different consumer
preferences is a challenge.
Addressing these challenges is vital for the
continued expansion of the Saudi Arabia Electric Two-Wheeler Market.
Collaborative efforts from government authorities, manufacturers, and
stakeholders are essential to overcome these obstacles and ensure the long-term
success and sustainability of the electric two-wheeler market in the country.
Key Market Trends
Micro-Mobility Services
The rise of micro-mobility services, facilitated by
smartphone apps, has gained traction in Saudi cities. Electric two-wheelers,
including e-scooters and e-bikes, are increasingly integrated into these
services, providing a convenient and sustainable mode of transportation for
short-distance trips.
Local Manufacturing Initiatives
Saudi Arabia is making efforts to promote local
electric vehicle (EV) manufacturing. This trend aligns with the nation's
commitment to economic diversification and sustainability, with a focus on
building electric two-wheelers domestically.
Increased Model Variety
Manufacturers are expanding their electric
two-wheeler offerings, diversifying the market with a broader range of models
and styles. This variety caters to the diverse preferences of consumers,
providing options for urban commuting, leisure, and more.
Battery Advancements
Continuous advancements in battery technology are
enhancing the performance of electric two-wheelers. Lithium-ion batteries, with
improved energy density and longer cycle life, are becoming the standard,
allowing for longer ranges per charge.
Sharing and Rental Programs
Ride-sharing and rental programs for electric
two-wheelers are on the rise. Users can access shared electric two-wheelers for
short journeys, promoting efficient and sustainable transportation options.
Charging Infrastructure Expansion
The development of an extensive electric vehicle
charging infrastructure is a critical trend. This expansion includes the
installation of charging stations in public areas, shopping centers, and
residential complexes, ensuring that electric two-wheeler users have reliable
access to charging.
Environmental Awareness
Growing environmental consciousness among consumers
is driving interest in eco-friendly transportation options. Electric
two-wheelers are perceived as a responsible choice for reducing carbon
emissions, contributing to the trend of sustainability and environmental
responsibility.
E-Mobility Ecosystem Integration
Electric two-wheelers are increasingly integrated
into the broader e-mobility ecosystem. This involves collaboration with energy
companies, smart city initiatives, and data-driven solutions to enhance the
efficiency and convenience of electric two-wheeler use in urban environments.
These trends collectively define the evolving
landscape of the Saudi Arabia Electric Two-Wheeler Market. They reflect the
market's commitment to sustainability, technological advancements, and a shift
towards innovative mobility solutions that cater to the changing needs and
preferences of consumers in the country.
Segmental Insights
By Vehicle Type
The Electric Scooter & Moped segment in Saudi
Arabia is witnessing substantial growth, primarily due to its suitability for
urban commuting. These vehicles are compact, easy to maneuver, and offer a
convenient mode of transportation for short to medium distances. They are
increasingly popular for use in densely populated cities, where navigating
traffic congestion is a daily challenge. Electric scooters and mopeds are
favored for their simplicity, cost-effectiveness, and environmentally friendly
characteristics. They cater to a wide range of consumers, from daily commuters
to students, providing an economical and sustainable alternative to traditional
gasoline-powered scooters and mopeds.
Electric motorcycles are gaining traction among
consumers seeking a more versatile and powerful two-wheeler option. These
vehicles are designed for longer-range commuting, making them suitable for both
urban and intercity travel. Electric motorcycles are appreciated for their
faster acceleration, higher speeds, and robust performance. They cater to
enthusiasts, long-distance commuters, and those who prefer the look and feel of
traditional motorcycles while benefiting from the advantages of electric propulsion.
The electric motorcycle segment is witnessing increased interest and
investment, as it appeals to a broader spectrum of consumers, including those
looking for a sustainable and exhilarating riding experience.
Both segments are integral to the electric
two-wheeler market's growth in Saudi Arabia, offering diverse options to cater
to different consumer preferences and commuting needs. The expansion of both
the Electric Scooter & Moped and Electric Motorcycle segments underscores
the versatility and adaptability of electric two-wheelers in the evolving Saudi
mobility landscape.
By Battery Capacity
Electric two-wheelers with battery capacities less
than 25Ah are typically smaller, more compact, and suitable for short-distance
commuting. These vehicles are designed for urban use, providing a convenient
and eco-friendly mode of transportation for daily activities, such as commuting
to work, school, or running errands. They are highly maneuverable, making them
ideal for navigating congested city streets and traffic. Electric scooters and
mopeds with smaller battery capacities are favored for their simplicity and
cost-effectiveness. They are often chosen by individuals seeking an economical
and environmentally responsible alternative to traditional gasoline-powered
vehicles for short trips within urban areas.
Electric two-wheelers with battery capacities
exceeding 25Ah are designed for longer-range and more versatile use. These
vehicles are equipped with larger batteries, offering extended travel distances
per charge. They are well-suited for both urban and intercity commuting,
providing a practical alternative to conventional gasoline-powered
two-wheelers. Electric motorcycles often feature battery capacities greater
than 25Ah, delivering enhanced performance, higher speeds, and faster
acceleration. They cater to a broader range of consumers, including enthusiasts
and long-distance commuters, seeking a sustainable and robust riding
experience. Electric two-wheelers with larger battery capacities are becoming
increasingly popular as consumers recognize their potential for longer and more
varied journeys.
The distinction between these battery capacity
segments underscores the adaptability of electric two-wheelers to different
usage scenarios and consumer preferences. While smaller battery capacities
cater to short-distance urban commuting, larger battery capacities extend the
practicality of electric two-wheelers to a wider range of applications,
including longer commutes and recreational riding. Both segments play a crucial
role in shaping the electric two-wheeler market in Saudi Arabia, providing
diverse options to meet the evolving needs of consumers.
By Range
Electric two-wheelers with a range of less than 50
kilometers per charge are designed primarily for short-distance urban
commuting. These vehicles are favored for their compact size and efficiency,
making them suitable for navigating congested city streets and traffic. They
cater to individuals who require a daily commuting solution for work or local
activities. Users find them cost-effective and practical for covering
relatively shorter distances within urban areas.
Electric two-wheelers offering a range between 50
and 100 kilometers are versatile options suitable for a wider range of
commuting needs. These vehicles are well-suited for both urban and suburban
use, allowing users to cover moderate distances without the need for frequent
recharging. They cater to individuals with slightly longer commutes, making
them ideal for urban professionals and students who may need to travel across
the city or between nearby cities.
Electric two-wheelers with a range between 100 and
150 kilometers offer extended travel capabilities, making them suitable for
intercity commuting and longer journeys. These vehicles cater to individuals
who require a reliable and sustainable mode of transportation for daily
commutes and recreational rides. They are well-suited for urban and suburban
settings, providing the flexibility to travel longer distances while reducing
the need for frequent recharging.
Electric two-wheelers with a range exceeding 150
kilometers are designed for consumers with diverse commuting needs. These
vehicles are well-equipped for intercity travel and long-distance commuting.
They cater to enthusiasts, long-distance commuters, and individuals who seek a
robust and versatile riding experience. With such a significant range, these
electric two-wheelers are capable of covering extensive distances without
compromising on performance and efficiency.
The categorization of electric two-wheelers by
range underscores the diverse applications and commuting needs they address in
the Saudi Arabian market. From short-distance urban commuting to intercity
travel and recreational riding, these range segments provide options for a
broad spectrum of consumers seeking sustainable and efficient transportation
solutions.
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Regional Insights
Riyadh, the capital and largest city of Saudi
Arabia, serves as a prominent hub for electric two-wheeler adoption. The region
witnesses a higher concentration of electric two-wheelers due to its dense
urban population and increasing traffic congestion. The government has been
proactive in establishing charging infrastructure and promoting electric
mobility in Riyadh, making it a key market for electric scooters and
motorcycles.
Jeddah, a major city on the Red Sea coast, also
embraces electric two-wheelers, particularly electric scooters and mopeds. The
city's coastal climate and relatively shorter commuting distances make it
conducive to electric two-wheeler use. Jeddah's tourism and leisure industry
contribute to the popularity of electric motorcycles for exploring the city's
attractions.
The Eastern Province, home to several industrial
cities and a significant expatriate population, experiences growing interest in
electric two-wheelers. Electric scooters and mopeds are preferred for daily
commuting to workplaces, while electric motorcycles are gaining traction among
enthusiasts seeking a versatile riding experience.
Smaller urban centers across the country, including
cities like Dammam, Khobar, and Mecca, have seen a gradual increase in electric
two-wheeler adoption. These regions benefit from the overall expansion of
charging infrastructure, government incentives, and a growing environmental
consciousness among residents.
Rural and suburban areas, which are characterized
by longer commuting distances and less developed charging infrastructure, are
gradually exploring electric two-wheelers for local transportation needs.
However, the adoption rate in these regions is relatively slower compared to
urban centers.
The regional variations in the Saudi Arabian
Electric Two-Wheeler Market highlight the importance of tailoring marketing
strategies, infrastructure development, and vehicle offerings to meet the
specific needs and preferences of consumers in each region. Government
initiatives and private sector investments play a crucial role in promoting the
sustainable growth of electric two-wheeler adoption throughout the country.
Recent Developments
- In June 2022, TIER, a global leader in shared micro-mobility
services, providing a range of electric vehicles from e-scooters to e-bikes,
has unveiled its entry into the Kingdom of Saudi Arabia through a collaboration
with Sela Sport Company. This strategic partnership was set in motion by
SoftBank Investment Advisers in Riyadh, building on SoftBank's investment in
TIER in November 2020.
- In December 2021, Fenix, a prominent electric
mobility platform in the Middle East, has introduced an on-demand shared
electric bike service for residents and visitors in specific regions of the UAE
and Qatar. In Qatar, Fenix has established an exclusive micro mobility partnership
with Aspire Zone in Doha, offering visitors a secure, convenient, and efficient
mode of transportation within the sports complex through its Fenix e-bikes.
Key Market Players
- Barq EV
- ONE MOTO
Technologies Ltd
- BMW
Motorrad
- Hon Hai
Precision Industry Co.
- Tacita
|
By Vehicle Type
|
By Battery Capacity
|
By Range
|
By Region
|
- Electric Scooter & Moped
- Electric Motorcycle
|
|
- Less than 50 Km
- 50–100 Km
- 100–150 Km
- Above 150 Km
|
- Northern & Central
- Eastern
- Western
- Southern
|
Report Scope:
In this report, the Saudi Arabia Electric
Two-Wheeler Market has been segmented into the following categories, in
addition to the industry trends which have also been detailed below:
- Saudi Arabia Electric
Two-Wheeler Market, By
Vehicle Type:
o Electric Scooter & Moped
o Electric Motorcycle
- Saudi Arabia Electric
Two-Wheeler Market, By
Battery Capacity:
o <25Ah
o >25Ah
- Saudi Arabia Electric
Two-Wheeler Market, By
Range:
o Less than 50 Km
o 50–100 Km
o 100–150 Km
o Above 150 Km
- Saudi Arabia Electric
Two-Wheeler Market, By Region:
o Northern & Central
o Eastern
o Western
o Southern
Competitive Landscape
Company Profiles: Detailed analysis of the major companies presents
in the Saudi Arabia Electric Two-Wheeler Market.
Available Customizations:
Saudi Arabia Electric Two-Wheeler Market report
with the given market data, Tech Sci Research offers customizations according
to a company's specific needs. The following customization options are
available for the report:
Company Information
- Detailed analysis and
profiling of additional market players (up to five).
India Saudi Arabia Electric Two-Wheeler Market is
an upcoming report to be released soon. If you wish an early delivery of this
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