From Dubai to the World: How the Automotive Trade is Shifting Gears

18th April, 2025

Special report

Dubai isn’t just moving vehicles — it’s moving the global automotive industry forward. The trade numbers speak for themselves; backed by world-class infrastructure and unmatched connectivity, the country is accelerating its position as a powerhouse in the automotive trade.

But what’s driving this momentum?

🔧 What’s Steering the UAE’s Automotive Growth?

Several high-impact trends are reshaping the UAE’s automotive sector, making it one of the most dynamic automotive hubs in the world:

Rising Demand: Fuelled by a young, growing population, a steady influx of expatriates, and rising disposable incomes.
Rise of Chinese Brands Chinese carmakers are expanding their presence rapidly, offering affordability paired with cutting-edge tech — a combination resonating with consumers in the region.
Accelerated EV Adoption: Boosted by government incentives, expanding charging infrastructure, and increasing environmental awareness among consumers.
Surge in Used Car Sales: Cost-conscious consumers are shifting toward high-quality pre-owned vehicles. Global supply chain delays for new models have boosted demand for used cars. Extended warranties and certified programs are increasing buyer confidence.

UAE’s Trade Flows: By the Numbers

The UAE’s vehicle imports have reached a total of $22.5 billion, while exports stand at $6.64 billion in 2023.
The UAE also ranked 9th among China’s top 10 vehicle export destinations, receiving 159,000 units.
On the export front, Iraq emerged as the UAE’s largest vehicle export market, totalling $1.9 billion, followed by Jordan ($0.3B) and Japan ($0.15B).
Dubai is a key hub
Handles ~75% of new and used vehicle imports and exports. The Chinese automotive imports to Dubai in 2024 have surpassed 2X the full-year imports in 2023.

China’s Dominance Meets Global Disruption

While China accounts for over 32% of global vehicle sales in Q4 2024 and ~58% of the world’s EV production in 2023, other countries are quickly entering the race:

EV sales in India surge 42% to 1.6 million units in FY2024, thanks to subsidies and expanding model options.
In 2023, electric vehicle (EV) sales in Thailand surged fourfold year-on-year, capturing a 10% market share. The country introduced subsidies for battery production and reduced import tariffs, paving the way for greater market penetration by Chinese automakers.
In Vietnam, EVs continued to grow, reaching a 15% market share. Meanwhile, in Malaysia, EV registrations more than tripled, driven by tax incentives and import duty exemptions.

China’s strategy of producing more affordable EVs is proving to be a winning formula across Asia — the world’s fastest-growing region. As the automotive landscape rapidly evolves across these dynamic economies, one thing is clear: the global map of mobility is being redrawn, and the UAE stands at a pivotal crossroads of this transformation.

🚗 Powering the Automotive Ecosystem: Jafza and Beyond

At the core of Dubai’s automotive success story lies Jebel Ali — A key driver of automotive trade in the region

In 2024, Jebel Ali Port handled 958,000 Ro-Ro (Roll-on/Roll-off) units, highlighting its scale and efficiency.
Jebel Ali Free Zone (Jafza) is home to over 930 automotive and spare parts companies, giving access to major global brands.
From manufacturing and assembly to distribution and re-export, this integrated ecosystem supports every stage of the automotive value chain.
This thriving ecosystem goes beyond the region, connecting businesses across continents, and enabling efficient supply chain flows for vehicles, spare parts, and automotive services.

🔮 What’s Next for 2025 and Beyond?

As we move into 2025, the global automotive sector stands on the edge of significant transformation. We can expect:

Wider integration of autonomous driving technologies
A deeper commitment to sustainability and circular economy models
Stronger trade ties with emerging markets across Asia, Africa, and beyond

With Dubai at the forefront — powered by strategic partnerships, advanced infrastructure, and a future-ready mindset — the road ahead is filled with opportunity.

Dubai isn’t just riding the wave of change — it’s helping shape the future of global mobility.