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Electric Cars Demand Boom In Saudi Arabia

In Saudi Arabia, the use and demand for electric vehicles (EVs) have increased as a result of the country’s plans to reduce its carbon footprint and diversify its non-oil economy. The country is now building the necessary infrastructure to keep up with the demand.

The transition to sustainable transportation is changing how people get behind the wheel across the Kingdom, with experts predicting Saudi Arabia could be a global leader in the adoption and rollout of EVs thanks to billions in government investments, its own electric vehicle (EV) maker Ceer, an EV production facility under construction, and ambitious national plans for EV charging infrastructure.

Saudi Arabia’s Crown Prince Mohammed bin Salman is the driving force behind the ambitious Vision 2030 plan, which promises to wean the country off its reliance on oil and usher in a more sustainable future.

According to Neeraj Kumar, managing director of European Brands at Stellantis Middle East, buying EVs helps Saudi Arabia accomplish both objectives.

“As the world recognizes the urgency of addressing the climate crisis, the shift towards electric vehicles (EVs) is gaining momentum,” he claimed. The Gulf Cooperation Council (GCC) nations, particularly Saudi Arabia, are demonstrating an increasing interest in the electrification of automobiles.

A leader in EVs is now being established in the Kingdom. It is actively establishing the foundation for a more sustainable future of mobility with a dedicated focus on infrastructure development, regulatory assistance, domestic production, and strategic collaborations.

Local initiatives that help the transition to electrification include Saudi Arabia’s Electromin, a developer of e-mobility solutions, which is developing 100 EV charging networks, according to Kumar. In order to encourage the introduction of EVs, “we believe it is crucial that the government works hand in hand with manufacturers.”

If consumers are to be convinced to switch to electric vehicles, which provide significant environmental benefits to our cities and communities in terms of zero emissions, zero noise, and zero odor, it is imperative that the infrastructure is in place, such as access to public charging stations or the capability to install home charging points.

“This is sufficient to fundamentally alter users’ lives and those of those around them.”

In a recent study, the demand for EVs in Saudi Arabia was emphasized.

Two thirds of car owners in Saudi Arabia and the neighboring UAE, according to a survey commissioned by General Motors and carried out by Morning Consult, are ready to learn more about the advantages of adopting electric vehicles.

93 percent of Saudi respondents knew about all-electric vehicles, indicating an extremely high level of broad awareness of the idea of electric vehicles. The majority (63 percent in Saudi Arabia) are seriously contemplating making an EV purchase in the future as a result of this increased understanding. In addition to being more aware of EV infrastructure in their country, those who express stronger EV consideration are also more likely to believe that doing so will save them money.

This optimistic view for EVs is consistent with estimates of global EV revenue, which are expected to increase from around $10 billion in 2023 to almost $90 billion annually by 2030.

An EV is now more likely to be considered in Saudi Arabia, according to 65% of respondents, than it was a year ago. Among them, 61 percent point to the price of gas as a deterrent, while 47 percent believe that more reasonably priced EV options have become accessible in the market in the previous 12 months.

Despite the fact that two out of every five respondents (or 40%) said they were aware of a charging station, many Saudi citizens found it to be a challenge. Only 1 in 5 people (17%) thought it was close to their home or place of employment, nevertheless. This shows comprehension of existing initiatives to advance infrastructure as well as space for improvement. With Riyadh’s lofty objective of having 30% of all vehicles in the city run on electricity by 2030, action is already well under way on this front.

“As we move closer to our vision of the future of mobility, the increase in volume and variety of EV options we anticipate to bring to market, will respond to the shift in consumer awareness and consideration brought on by the long-term benefits of ownership – from apprehension around affordability and range, towards positive sentiment towards the ownership potential of these new technologies,” said Jack Uppal, managing director of General Motors Africa & Middle East.

The government’s dedication to building a vast network of charging facilities is one of the main drivers behind the EV development in Saudi Arabia.



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