Gulf Cooperation Council GCC Lead Acid Battery Market | Size, Share, Trends and Forecast to 2028

Gulf Cooperation Council GCC Lead Acid Battery Market | Size, Share, Trends and Forecast to 2028

The lead acid battery technology is one of the oldest rechargeable battery technologies. They are utilized in a variety of applications, including small-scale power storage such as uninterrupted power supply (UPS) systems, starting, lighting, and ignition power sources for automobiles. While lead-acid cells are less expensive and have a higher recyclability percentage than competing battery technologies, they have a significantly lower power density, are heavier, and have a shorter cycle life.

Gulf Cooperation Council (GCC) is a political and economic alliance of six Middle Eastern countries in the middle east -Saudi Arabia, the United Arab Emirates, Kuwait, Qatar, Oman, and Bahrain. These countries are major hydrocarbon exporters, and their economy is purely built upon their oil reserves.

Due to the evolving economic scenarios, these GCC nations are now focusing on diversification of their revenue sources by strengthening their other sectors of the economy, such as manufacturing, tourism, telecommunications, and information technology. The development of these sectors in the region offers a growth opportunity for the lead acid battery market.

Growth Drivers Analysis

The increasing fleet of automotives, growing investments in the industrialization of the region, expanding telecom sector due to the increasing proliferation of mobile phones and high usage of the internet, data centers development, increasing medical facilities, and hospitality services are the major growth drivers of the lead acid battery market in the GCC region.

Growing Fleet of Automobiles

The automotive industry in the region is dependent on imports from countries such as South Korea, the United States, Europe, and other Asia Pacific countries as the region lacks manufacturing infrastructure. Though some major manufacturers have established manufacturing facilities in the region, the demand far exceeds the indigenous manufacturing capacity; hence imports help the region to meet its automotives demand.

Saudi Arabia is a major importer of automotives in the GCC region. Saudi Arabia's car sales increased by 22.73 percent, from 387,709 units in 2020 to 475,837 units in 2021. Following a 19.80 percent drop in 2018, car sales increased by 39.86 percent in 2021. With the increasing sales of vehicles, Saudi Arabia offers the largest market for aftersales automotive SLI batteries in the region.

The Saudi Arabia government has identified the automotive industry as one of the core sectors to support the country's sustainable manufacturing-based economy ahead of the oil & gas sector.

The majority of automobiles and parts sold in the country are imported. The Saudi car parts market has enormous potential, and the Saudi automotive sector is now more geared toward a "service-oriented" business model, with more firms focused on customer experience and after-sales support.

Unlike in other nations where public transportation is heavily used, the Saudi Arabian market, where personal automobiles are heavily used for commuting, is unlikely to remain stagnant for long. As the number of cars in operation will increase year-on-year, the used car market is forecast to rise, hence, aftermarket demand for car batteries will remain robust.

United Arab Emirates (UAE) is the second largest market for automotives in the GCC region, with automotive sales increasing by 19% from 158711 units in 2020 to 188844 units in 2021.

The majority of the region's automotives are dominated by US, European, and Korean manufacturers. The country is also focusing on developing the auto industry by initiating steps to establish automotives manufacturing facilities.

For instance, the Abu Dhabi government intends to build "an Auto City" in the Mussafah district of the province. This project will most likely create a growth environment for the manufacturing of the new light vehicle, automobile, and truck manufacturing plants, service centers, and modern workshops, as well as an assembly line for spare parts and vehicle accessories manufacturing logistics. This innovative strategy is anticipated to open doors for UAE automobile distributors and manufacturers.

Some of the countries in the GCC region are also promoting electric vehicle adoption. For example, Bahrain has been adjusting quickly to the changing scenario of environmentally responsible transportation as part of the Economic Vision 2030 by proactively creating the essential infrastructure to fulfill the requirements of the EV industry and its rapidly expanding demand.

The other major countries in the region, such as Bahrain, Kuwait, and Qatar, also import vehicles as automotive manufacturing is scarce in the whole GCC region. With the increasing imports and the potential manufacturing facilities coming up in the future, the replacement battery market will be robust, and the new SLI battery market is expected to be strong in the future, depending on the state of automotive manufacturing initiatives in the region.

As the electrical components in modern cars are increasing, battery usage has also increased considerably. Therefore the battery replacement frequency is expected to increase hence creating the demand for replacement SLI batteries.

Growth Restraint Analysis

Some of the major factors restraining the growth of GCC lead acid batteries market are unstable economic conditions in the GCC region due to over-dependence on oil revenue and growing competition from alternative energy storage technologies such as lithium ion battery technology.

What do we cover in the report?

Lead Acid Battery Market Growth Drivers & Restraints

The study covers all the major underlying forces that help the market develop and grow and the factors acting as growth restraints.

The report includes a meticulous analysis of each factor, explaining the relevant, qualitative information with supporting data.

Each factor's respective impact in the near, medium and long term will be covered using Harvey balls for visual communication of qualitative information and functions as a guide for you to analyze the degree of impact.

Lead Acid Battery Market Analysis

This report discusses the market overview, latest updates, important commercial developments and structural trends, and government policies and regulations in the region.

This section provides an assessment of COVID 19 impacts on Lead Acid Battery Market demand in the region.

Lead Acid Battery Market Size and Demand Forecast

The report provides the Gulf Cooperation Council GCC Lead Acid Battery Market size and demand forecast until 2027, including year-on-year (YoY) growth rates and CAGR.

Lead Acid Battery Market Industry Analysis

The report examines the critical elements of the Lead Acid Battery industry supply chain, its structure, and its participants.

Using Porter's five forces framework, the report covers the assessment of the Lead Acid Battery industry's state of competition and profitability.

Lead Acid Battery Market Segmentation & Forecast

The report dissects the Gulf Cooperation Council GCC Lead Acid Battery Market into various segments. A detailed summary of the current scenario, recent developments, and market outlook will be provided for each segment.

Further, market size and demand forecasts will be presented, along with various drivers and barriers for individual market segments.

Effective market segmentation enables you to identify emerging trends and opportunities for long-term growth. Contact us for "bespoke" market segmentation to better align the research report with your requirements.

Regional Market Analysis

The report covers detailed profiles of major countries in the region. Each country's analysis covers the current market scenario, market drivers, government policies & regulations, and market outlook.

In addition, market size, demand forecast, and growth rates will be provided for all major countries.

Following are the notable countries covered under the region:

Gulf Cooperation Council (GCC) - Saudi Arabia, United Arab Emirates, Bahrain, and the Rest of the gulf cooperation council region.

Key Company Profiles

This report presents detailed profiles of Key companies in the Lead Acid Battery industry. In general, each company profile includes - an overview of the company, relevant products and services, a financial overview, and recent developments.

Competitive Landscape

The report provides a comprehensive list of notable companies in the regional market, including mergers and acquisitions (M&As), joint ventures (JVs), partnerships, collaborations, and other business agreements.

The study also discusses the strategies adopted by leading players in the industry.

Executive Summary

The Executive Summary will be jam-packed with charts, infographics, and forecasts. This chapter summarizes the findings of the report crisply and clearly.

The report begins with an Executive Summary chapter and ends with Conclusions and Recommendations.

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