|
Forecast Period
|
2026-2030
|
|
Market Size (2024)
|
USD 3.03 Billion
|
|
CAGR (2025-2030)
|
6.8%
|
|
Fastest Growing
Segment
|
Light Commercial Vehicle
|
|
Largest Market
|
Northern &
Central
|
|
Market Size (2030)
|
USD 4.49 Billion
|
Market Overview
Saudi Arabia vehicle repair and
maintenance market was valued at USD 3.03 Billion
in 2024 and is expected to reach USD 4.49 Billion by 2030 with a CAGR of 6.8% during the forecast period. The Saudi Arabia vehicle repair and maintenance market is experiencing
robust growth, driven by rising vehicle ownership, rapid urbanization, and
increasing consumer preference for regular vehicle upkeep to ensure longevity
and performance. The Kingdom’s push towards economic diversification under
Vision 2030 is fueling infrastructure development, which in turn is spurring
demand for commercial vehicles and thereby increasing maintenance needs. A
growing middle-class population with higher disposable incomes is also
contributing to the uptick in demand for quality repair and maintenance
services. Additionally, extreme climatic conditions in Saudi Arabia,
particularly high temperatures and sand-laden environments, accelerate wear and
tear of vehicle components, necessitating frequent servicing and replacement of
parts. The government’s stringent regulations on vehicle safety and emissions
further mandate regular maintenance checks, bolstering market growth.
Technological advancements such as predictive
maintenance, telematics, and digital service bookings are reshaping consumer
expectations and driving service providers to adopt more efficient and
transparent operations. The increasing penetration of electric vehicles (EVs)
is creating new avenues for specialized maintenance services, while the used
car market’s expansion is also boosting demand for cost-effective and reliable
repair solutions. Moreover, the proliferation of mobile repair services and
digitized platforms offering on-demand and doorstep services is reshaping the
competitive landscape and enhancing convenience for end users. The presence of
a large and aging vehicle fleet further amplifies the need for periodic
servicing, especially among locally owned repair shops that are often preferred
for their affordability and flexibility. Overall, the market is evolving
rapidly, with growing investments from both domestic and international players
looking to tap into the Kingdom’s expanding automotive aftermarket, supported
by favorable regulatory frameworks, digital transformation, and a shift towards
customer-centric service delivery models.
Key Market Drivers
Rising Vehicle Population and High Vehicle Ownership
Rates
One of the most significant drivers of the vehicle
repair and maintenance market in Saudi Arabia is the continuous growth in the
vehicle population across the Kingdom. As one of the largest automotive markets
in the Gulf Cooperation Council (GCC), Saudi Arabia has witnessed a steady
increase in vehicle ownership, fueled by economic development, high per capita
income, expanding road infrastructure, and a car-dependent lifestyle. Saudi Arabia sold over 700,000 new and used cars annually. The
growing urbanization, especially in major cities such as Riyadh, Jeddah, and
Dammam, has led to increased demand for personal vehicles. The recent inclusion
of women drivers following the lifting of the driving ban in 2018 has further
widened the consumer base and created an upsurge in new and used car sales.
Additionally, commercial vehicles used in logistics, construction, and oil and
gas sectors also significantly contribute to the rising vehicle fleet. As more
vehicles are added to the roads each year, the need for routine servicing, part
replacements, and repair work grows proportionally. Older vehicles, which are
more prevalent in the Kingdom due to high vehicle retention rates, require more
frequent maintenance due to wear and tear, further amplifying demand. The
growing fleet size directly correlates with higher footfall across both
authorized service centers and independent workshops, positioning vehicle
ownership as a fundamental driver of market expansion.
Harsh Environmental and Climatic Conditions
The unique environmental and climatic conditions of
Saudi Arabia significantly contribute to the growing demand for vehicle repair
and maintenance services. The country experiences extremely high temperatures
for a significant part of the year, often exceeding 45°C, along with frequent
sandstorms and high dust levels in the atmosphere. Avg temperature over the past 50 years rose by ~1.9 °C, with ~0.72 °C/decade in dry season. These harsh conditions can
accelerate the degradation of various automotive components, including tires,
air filters, cooling systems, batteries, and paintwork. For instance, the
combination of heat and dust can clog air filters and radiators more quickly,
forcing vehicles to overheat if not maintained regularly. Prolonged exposure to
ultraviolet rays also leads to quicker deterioration of car exteriors, paint,
rubber seals, and interiors, thereby increasing the demand for paint
protection, coating services, and interior part replacements. These conditions
make regular vehicle check-ups a necessity rather than a choice, especially for
commercial fleets that operate under continuous usage and are more vulnerable
to component failures. Moreover, the prevalence of off-road vehicles used in
desert terrain also results in increased mechanical stress and wear, demanding
robust and frequent servicing. The extreme environmental factors in Saudi
Arabia not only create a consistent need for maintenance but also encourage
customers to seek preventive services, thus fueling the growth of the
aftermarket repair and maintenance segment.
Regulatory Push and Growing Emphasis on Safety,
Emission, and Digitization
The Saudi government’s evolving regulatory landscape
is another major factor driving the vehicle repair and maintenance market. In
alignment with Vision 2030, there is a growing push for road safety,
environmental sustainability, and structured economic diversification, leading
to the enforcement of more stringent vehicle inspection and emission norms.
Regular vehicle inspection is mandatory in the Kingdom under the periodic
technical inspection (PTI) system, and compliance with these standards often requires
preventive repairs, emissions control, and proper vehicle maintenance. These
regulations create a steady flow of customers who seek to maintain their
vehicles in roadworthy condition to avoid fines or registration penalties.
Additionally, as part of the broader Vision 2030 agenda, Saudi Arabia is
increasingly embracing digitization across sectors, including automotive
aftersales services. The rise of digital platforms offering service booking,
real-time tracking, vehicle diagnostics, and customer engagement is
transforming consumer behavior. Customers now prefer workshops that offer
digital convenience, transparency in billing, and value-added services like
pickup and drop. Furthermore, the government’s support for electric vehicle
(EV) adoption—through incentives, infrastructure development, and local
manufacturing initiatives—is setting the stage for a new category of
specialized maintenance services. Increase nationwide EV adoption from roughly 1% in 2024 to 30% by 2030—including a specific target for Riyadh to have 30% of its vehicles electric by 2030EVs, while requiring less mechanical
maintenance than internal combustion engine (ICE) vehicles, demand expertise in
battery management, electrical systems, and software diagnostics, driving up
demand for high-skilled service providers. The combination of regulatory
enforcement and digital transformation is thus not only ensuring compliance and
safety but also reshaping the competitive dynamics in favor of more organized,
customer-centric, and tech-enabled service models.

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Key Market Challenges
Shortage of Skilled Technicians and Training
Infrastructure
One of the most pressing challenges in Saudi Arabia's
vehicle repair and maintenance market is the shortage of skilled automotive
technicians and the limited availability of advanced vocational training
infrastructure. As vehicles become more complex with the integration of
electronics, software systems, advanced diagnostics, and electric powertrains,
the demand for highly trained personnel has outpaced supply. Many workshops,
especially locally owned and small-scale garages, struggle to recruit and retain
qualified technicians capable of handling modern diagnostics, hybrid or
electric vehicles, and smart vehicle technologies. While the government is
making efforts to enhance vocational training through institutions like the
Technical and Vocational Training Corporation (TVTC), the pace of technological
advancement in the automotive sector is outstripping the capacity of
traditional training institutions. Moreover, many local technicians lack
exposure to international best practices or manufacturer-certified training,
which hinders the overall quality and reliability of service. This skills gap
is further aggravated by Saudization policies aimed at reducing dependence on
expatriate labor, as local workforce participation in blue-collar roles within
the automotive repair sector remains relatively low. The scarcity of skilled
manpower not only affects service efficiency and customer satisfaction but also
poses a serious constraint to scaling operations and adopting new technologies
across the repair ecosystem.
Dominance of the Unorganized and Price-Sensitive
Market Segment
Another major challenge confronting the Saudi vehicle
repair and maintenance market is the dominance of unorganized, locally owned
repair shops that operate in a highly price-sensitive environment. While these
shops cater to a large share of the market due to their affordability and
accessibility, they often lack standardized service protocols, quality
assurance mechanisms, and transparency in billing. The widespread reliance on
counterfeit or low-quality aftermarket parts by some of these players not only undermines
vehicle performance and safety but also erodes consumer trust in the sector.
This fragmented and informal market structure makes it difficult for organized
players—such as OEM service centers or branded franchise workshops—to compete
on price, despite offering superior quality, warranties, and technological
sophistication. For cost-conscious customers, especially those owning older or
used vehicles, affordability tends to outweigh considerations of quality and
service guarantees. This dynamic discourages investment in premium service
formats, innovation, and digital platforms, particularly in Tier 2 and Tier 3
cities. The price-driven competition also contributes to low margins, limiting
the financial capacity of service providers to invest in technician training,
equipment upgrades, or customer experience initiatives. Unless regulatory
oversight and industry consolidation improve, the dominance of the informal
segment will continue to hinder the market’s progression toward higher service
standards and long-term sustainability.
Limited Availability of Genuine Spare Parts and Supply
Chain Constraints
The availability and timely delivery of genuine spare
parts remain a significant bottleneck in Saudi Arabia’s vehicle repair and
maintenance market, particularly in the context of diversified vehicle brands
and models on the road. Saudi Arabia imports the vast majority of its auto
components, and disruptions in the global supply chain—such as those
experienced during the COVID-19 pandemic or due to geopolitical tensions—can
lead to long delays and inflated costs for spare parts. This challenge is
particularly severe for luxury vehicles, imported brands with limited local
dealership presence, and older models for which spare parts may be scarce or
discontinued. In many cases, service providers are forced to procure non-OEM or
refurbished parts, which may compromise repair quality and reduce vehicle
lifespan. The complexity is compounded by the lack of centralized digital
inventory systems that could enable faster tracking and procurement of parts
across workshops. Additionally, the cost of genuine parts often deters
customers from opting for authorized repair centers, pushing them toward
unregulated alternatives offering cheaper but unreliable components. While the
Saudi government is promoting local manufacturing and localization of the
automotive sector under Vision 2030, progress in building a robust domestic
parts manufacturing base is still in early stages. These supply chain
inefficiencies not only delay repair timelines but also impact service provider
profitability and customer satisfaction, particularly for commercial fleet
operators that rely on quick vehicle turnaround. Without significant
investments in supply chain digitization, local warehousing, and distributor
networks, spare parts availability will remain a persistent hurdle for the
industry.
Key Market Trends
Digitalization of Repair and Maintenance Services
One of the most transformative trends in the Saudi
vehicle repair and maintenance sector is the rapid digitalization of service
delivery and customer engagement. With the proliferation of smartphones,
improved internet penetration, and growing customer expectations for
convenience and transparency, digital platforms are becoming increasingly
integral to the automotive aftermarket ecosystem. Numerous workshops and
service providers are integrating digital tools to streamline
operations—offering online service booking, real-time vehicle tracking,
automated reminders, and digital invoices. Mobile apps and web portals enable
customers to schedule services at their convenience, compare quotes, view
service histories, and receive diagnostics reports digitally. Moreover,
AI-powered diagnostics and cloud-based vehicle health monitoring systems are
gaining traction, allowing predictive maintenance and minimizing breakdown
risks. Startups and aggregators in the Kingdom are also innovating by
introducing on-demand services such as mobile mechanics and doorstep car
servicing, appealing to time-conscious urban consumers. In addition, digital
payment methods and loyalty programs are being embedded into customer
experience strategies. This digital shift is not only improving operational
efficiency and reducing human error but is also creating a new level of service
personalization. Workshops that adopt digital platforms are gaining a
competitive edge, especially among younger demographics and fleet operators who
seek seamless, tech-driven solutions. As digital transformation aligns with
Saudi Arabia’s Vision 2030 goals, its momentum in the vehicle maintenance
sector is expected to accelerate further.
Growth of Electric and Hybrid Vehicle Servicing
Ecosystem
Another significant trend reshaping the Saudi vehicle
repair and maintenance market is the emerging focus on electric and hybrid
vehicle (EV/HV) servicing. Although EV adoption in Saudi Arabia is still at a
nascent stage compared to global leaders, the government’s ambitious plans to
promote sustainability—such as the Saudi Green Initiative and increasing
investment in EV infrastructure—are gradually driving a shift in the automotive
landscape. With companies like Lucid Motors setting up operations in the Kingdom
and domestic players exploring EV production under Vision 2030, the supporting
ecosystem for electric vehicle maintenance is starting to take shape. Servicing
EVs requires a different skill set and specialized equipment, particularly for
battery diagnostics, software updates, thermal management, and electric
drivetrain maintenance. Traditional workshops that were earlier geared toward
internal combustion engines (ICE) are now beginning to upskill technicians and
invest in high-voltage tools, insulation gear, and EV-specific lifts. New
service models are also emerging, including subscription-based EV maintenance
packages, mobile EV repair units, and remote diagnostics. Furthermore, OEMs and
franchise repair networks are collaborating with tech providers to develop
EV-compatible service protocols. The need for safe disposal and recycling of EV
batteries also introduces new segments within the maintenance chain. As EV
adoption gains pace in the coming years, workshops that position themselves
early with certified capabilities and infrastructure for electric and hybrid
vehicles will capture a lucrative and fast-evolving market niche.
Expansion of Organized Franchise and OEM-Backed
Service Networks
The Saudi vehicle repair market is witnessing a
growing trend toward consolidation and formalization, marked by the expansion
of organized franchise repair chains and OEM-authorized service centers. In
response to growing consumer concerns about quality, transparency, and
trust—especially in a market dominated by unorganized and small-scale
workshops—organized players are stepping in with standardized operating
procedures, trained personnel, warranty-backed services, and branded
experiences. Automotive manufacturers are increasingly investing in aftersales
networks to retain customers beyond the vehicle sale, offering extended
warranty packages, service contracts, and app-based service tracking. Global
and regional franchise repair chains are also gaining traction in major cities,
offering multi-brand servicing with consistent quality and the backing of
international standards. These service networks are better positioned to adopt
the latest diagnostic tools, digital platforms, and training modules, allowing them
to serve both ICE and electric vehicles efficiently. They are also forming
partnerships with parts suppliers and insurance companies to offer integrated
solutions such as cashless claim servicing, spare parts logistics, and fleet
maintenance packages. This formalization trend is gradually changing customer
expectations, with an increasing number of vehicle owners opting for
reliability and professionalism over informal pricing. In the long term, this
transition is expected to bring greater compliance, innovation, and investment
into the Saudi automotive aftermarket.
Segmental Insights
Service
Provider Insights
In Saudi Arabia, OEM service centers
provide brand-authorized repair and maintenance services using genuine spare
parts and certified technicians. These centers are preferred by owners of new
and premium vehicles who prioritize warranty protection, trust, and brand loyalty.
OEMs are expanding their footprint in Tier 1 and Tier 2 cities to increase
accessibility and offer digitally enabled service experiences. Their ability to
handle new-age technologies like hybrid systems, infotainment units, and
advanced safety modules gives them an edge, especially as vehicle complexity
increases. Franchise repair chains are emerging as strong players in the
organized aftermarket, offering standardized multi-brand vehicle services. FGRs
benefit from network scalability, trained workforce, customer relationship
management systems, and competitive pricing. They appeal to cost-conscious
consumers who seek a balance between quality and affordability. Franchise
models are also favored by fleet operators and leasing companies due to service
consistency and faster vehicle turnover.
Vehicle
Type Insights
In Saudi Arabia,
Passenger cars
form the largest share of the vehicle repair and maintenance market in Saudi
Arabia. With the country's growing urban population, rising income levels, and
high vehicle ownership rates, passenger cars dominate the on-road fleet.
Routine maintenance services such as oil changes, brake inspections, air
conditioning servicing, and tire replacements are commonly sought by individual
car owners. Moreover, with increasing consumer preference for sedans, SUVs, and
luxury vehicles, the demand for value-added services like ceramic coating,
detailing, and windshield protection is also growing. As these vehicles are
typically used for personal or family transportation, their owners tend to
prioritize regular servicing to ensure safety, comfort, and resale value.
Additionally, the influx of imported vehicles from brands like Toyota, Hyundai,
Nissan, and Mercedes-Benz ensures a steady demand for OEM spare parts and
certified services. The passenger car segment benefits significantly from franchise
general repairs and organized service chains, especially in urban centers.

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Regional Insights
In Saudi Arabia, The Northern &
Central region, anchored by the capital city Riyadh, is the leading region in
Saudi Arabia’s vehicle repair and maintenance market. This region hosts a large
population, extensive urbanization, and a high vehicle density — particularly
of passenger cars and light commercial vehicles. Riyadh’s strategic importance
as an administrative, economic, and logistical hub ensures a robust demand for
all categories of vehicle services, from routine maintenance and mechanical
repairs to premium services like paint protection and detailing. The region is
home to a large concentration of organized service providers, including OEM
service centers and franchise general repairs, offering advanced diagnostic
capabilities, hybrid vehicle servicing, and digital booking solutions.
Additionally, government fleets, corporate vehicles, and high-end consumer
vehicles contribute to recurring demand. Riyadh’s Vision 2030 projects are also
increasing the number of service contracts for commercial and fleet vehicles. Due
to better infrastructure, higher disposable income, and consumer awareness, the
Northern & Central region sets the benchmark for aftermarket service trends
in the country.
Recent Developments
- In 2024, Applus+
launched two mobile inspection stations and three temporary facilities across
the Kingdom, marking significant growth in its light and heavy vehicle
inspection services. The expansion also includes recruitment and training of
Saudi inspectors, with a permanent station planned for early 2025 in Al Mitnab.
- In 2024, Petromin
Corporation, via NTSC (National Tire Service Company), inaugurated the
Kingdom’s first tailor-made facility for hybrid and electric vehicles in
Riyadh. Equipped with advanced diagnostics and repair tools, this center
supports Vision 2030’s sustainable transport goals.
- In 2024, Al‑Futtaim’s
FAMCO opened a state-of-the-art 19,270 m² 3S (Sales, Service & Spare Parts)
facility on Al Kharj Road. The outlet boasts 15 service bays, onsite
spare-parts reception, mobile workshops, and operator training
programs—strengthening its role in supporting mega-projects like NEOM and the
Red Sea project.
- In 2025, Tesla
commenced operations with live displays of the Cybertruck and revamped Model Y,
alongside plans for online sales, pop-up stores, and Supercharger network
rollout. This marks a key milestone in the Kingdom’s target of increasing EV
adoption from 1% to 30% by 2030.
- In 2025, Chinese
EV brand SOUEAST debuted in Saudi Arabia with a Riyadh showroom and the launch
of its urban-focused models—S06, S07, and S09. The company plans nationwide
parts distribution (within 48 hours) and aims for 25 sales/service outlets over
three years.
Key Market Players
- Abdul Latif Jameel IPR Company Limited
- SMC Auto Service Broker LLC
- Ezhalha
- E.A. Juffali & Brothers (Juffali
Automotive Company)
- Al Jazirah Vehicles Agencies Co. Ltd.
- Petromin Corporation
- Al Jomaih Group (ACDelco Service
Centers)
- Haji Husein Alireza & Co. Ltd.
- Mohamed Yousuf Naghi & Brothers
Group
- Aljabr Group.
|
By Vehicle Type
|
By Service Area
|
By Service Provider
|
By Region
|
- Passenger Car
- Heavy Commercial Vehicle
- Light Commercial Vehicle
- Medium Commercial Vehicle
|
- Automotive Mechanical and Electrical Parts
- Automotive Body Parts, Tire
- Paint
- Interior Parts
- Glass
- Paint Protection and Coating Services
- Maintenance Service
- Vehicle Care Services
- Quick Services
|
- Automobile Manufacturers
- Franchise General Repairs
- Locally Owned Repair Shops
|
- Northern & Central
- Southern
- Eastern
- Western
|
Report Scope:
In this report, the Saudi Arabia Vehicle Repair and
Maintenance market has been segmented into the following categories, in
addition to the industry trends which have also been detailed below:
- Saudi Arabia Vehicle Repair
and Maintenance Market, By Vehicle Type:
o Passenger Car
o Heavy Commercial Vehicle
o Light Commercial Vehicle
o Medium Commercial Vehicle
- Saudi Arabia Vehicle Repair
and Maintenance Market, By Service Area:
o Automotive Mechanical and Electrical Parts
o Automotive Body Parts, Tire
o Paint
o Interior Parts
o Glass
o Paint Protection and Coating Services
o Maintenance Service
o Vehicle Care Services
o Quick Services
- Saudi Arabia Vehicle Repair
and Maintenance Market, By Service Provider:
o Automobile Manufacturers
o Franchise General Repairs
o Locally Owned Repair Shops
- Saudi Arabia Vehicle Repair
and Maintenance Market, By Region:
o Northern & Central
o Southern
o Eastern
o Western
Competitive Landscape
Company Profiles: Detailed analysis of the major companies presents
in the Saudi Arabia Vehicle Repair and Maintenance market.
Available Customizations:
Saudi Arabia Vehicle Repair and Maintenance market report
with the given market data, TechSci 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).
Saudi Arabia Vehicle Repair and Maintenance Market is
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