UAE car sales set to reach 2019 level in 2022-23, say industry executives.

The UAE's automobile sector is steadily shifting gears to pick up speed and is likely to reach 2019 level in 2022 or a year later after slumping 30 percent this year, say industry executives.

Hit by the lockdown, after the outbreak of Covid-19 in the first and second quarter of 2020, new car sales in the UAE started picking up after the summer and has been rising steadily since then.

Axel Dreyer, CEO of Galadari Automobiles, distributor of Mazda vehicles in the UAE, said a shortfall of more than 30 percent in 2020 automotive market cannot be compensated within one year, especially considering that the impact of Covid-19 will continue in 2021.

"We are already witnessing, in the last two months, an increase in business activities. We are looking forward towards this positive trend continuing in 2021, especially considering the big stimulus package that has been released from the government recently. I'm expecting a growth of the automotive market between five to 10 percent in 2021," he said.

Dreyer noted that a recovery back to 2019 level can be expected in 2022 or 2023.

...