Saudi Arabia Electric Powertrain Market Overview, 2029

Saudi Arabia Electric Powertrain Market Overview, 2029

The primary industry within the Kingdom's ambitious Vision 2030 project, which seeks to shift the economy away from oil dependence, is the Saudi Arabian Electric Powertrain Market. With their promise of sustainability, a smaller carbon footprint, and technical development in the transportation and industrial sectors, electric powertrains serve a critical role in this transition. Saudi Arabia's experience with electric powertrains dates back to the world's transition to more environmentally friendly energy sources. Due to technological constraints and the prevalence of conventional fossil fuel-powered cars, approval was initially slow. However, during the past ten years, the industry has swiftly changed because to developments in electric motors, battery technology, and favorable laws from the government. Early on, Early on, Saudi Arabia saw the strategic value of electric powertrains, which matched its objectives to lower greenhouse gas emissions and improve energy efficiency. This resulted in large expenditures in R&D, infrastructure development, and joint ventures with global automotive and technology firms to quicken the adoption of electric cars (EVs) and electric motor-powered industrial applications. Saudi Arabia has an individual advantage due to its excellent geographic location. The kingdom, which is strategically located at the intersection of Europe, Asia, and Africa, has the potential to become a major hub for the export of electric vehicles by taking use of its logistical advantages and growing its market share in the global automotive industry.

According to the research report, ""Saudi Arabia Electric Powertrain Market Outlook, 2029,"" published by Bonafide Research, the Saudi Arabia Electric Powertrain market is anticipated to add to more than USD 860 Million by 2024–29. The electric powertrain market in Saudi Arabia is expanding rapidly due to two primary factors. With its ambitious Vision 2030 plan, the government hopes to reduce carbon emissions, promote sustainable practices, and diversify the economy away from its reliance on oil. Significant investments in renewable energy sources, such as electric vehicles (EVs) and the powertrain technologies that go along with them, have been sparked by this strategic objective. Second, there is a growing need for effective, high-performance electric powertrains due to the global trend in the automobile industry towards electrification. Together with this trend, developments in battery technology, the construction of charging infrastructure, and pro-EV laws all contribute to Saudi Arabia's EV market's strong growth trajectory.

The Saudi Arabian electric powertrain market has a number of challenges. The lack of infrastructure, especially in terms of grid capacity and charging stations, poses major obstacles to the broad adoption of electric vehicles. To establish a comprehensive and dependable charging network, addressing these infrastructural challenges would need concerted efforts by the public and commercial sectors as well as foreign partners. Also, even if the cost of electric cars and related technology is declining internationally, many Saudi Arabian customers still find the initial cost of ownership to be prohibitive.

The increasing utilisation of electric vehicles (EVs) throughout the kingdom is a significant trend. In response to growing environmental concerns and efforts to wean itself off of oil, the Saudi government has been aggressively pushing electric vehicles (EVs) via subsidies, tax breaks, and the construction of infrastructure. Due to the increased demand for electric powertrains—essential parts of electric vehicles—industry investments and technical breakthroughs have been fueled. The growth of renewable energy projects is another noteworthy trend, especially when it comes to powering electric automobiles. Known for its enormous oil reserves, Saudi Arabia has been actively researching alternative energy sources, such as wind and solar energy. These initiatives seek to provide sustainable energy supplies in addition to lowering carbon emissions.

With the goal of diversifying the economy and reducing reliance on oil, big enterprises and prominent players have spurred considerable improvements in the electric powertrain sector in Saudi Arabia in recent years. The national petroleum and natural gas business, Saudi Aramco, has been aggressively investigating potential related to battery technology and electric vehicle (EV) charging infrastructure. Critical renewable energy projects including solar and wind power have been undertaken by ACWA Power, a well-known developer and operator of power generating and desalinated water plants. Another significant participant in the electric mobility space is the Saudi Public Investment Fund (PIF), which has made significant investments in the sector by supporting Lucid Motors, an American electric vehicle company associated with Saudi Arabia's Vision 2030 plan. These organisations and businesses have a significant impact on the electric powertrain industry in Saudi Arabia, encouraging innovation and long-term expansion in the transportation sector.

The electric powertrain market in Saudi Arabia has experienced a historic shift in a number of vehicle types, such as in passenger automobiles and commercial vehicles. Due to government measures supporting cleaner transportation options and growing consumer awareness of environmental sustainability, passenger vehicles with electric powertrains have become increasingly popular. This change is especially apparent in major cities like Riyadh and Jeddah, where incentives like discounted registration costs and reserved parking are driving up demand for electric passenger cars. In Saudi Arabia, the use of electric powertrains in commercial vehicles is also growing. To cut expenses and meet strict emissions standards, fleet managers and logistics firms are choosing electric commercial cars more and more. In the kingdom's vast logistics industry, the advantages of electric powertrains' lower fuel and maintenance costs are especially alluring. The construction of infrastructure for charging stations and incentives by the government contribute to the rise of electric commercial cars.

The electric powertrain sector in Saudi Arabia is developing, with distinct emphasis on a number of important sectors. Since it controls the electric vehicle's (EV's) performance and range, the battery is essential. In response to customer concerns over range anxiety, there is an increasing movement in battery technology towards better energy densities and faster charging times. Power electronic controllers are essential for controlling the flow of electrical energy through the car, maximizing economy, and regulating the speed and torque output of the motor. These parts are essential for improving the general performance and efficiency of electric vehicles (EVs) on Saudi Arabian roads as the country strives for sustainable transportation options. Another essential part of electric powertrains is the motor/generator, which transforms electrical energy from the battery into mechanical power for propulsion. Developing high-efficiency motors to maximize range and reduce energy loss is an important goal in Saudi Arabia. To ensure compatibility and effective energy utilisation, the converter converts the direct current (DC) from the battery into the alternating current (AC) needed by the motor. EVs' gearbox systems are very different from those of conventional cars; they frequently use single- or multi-speed designs that are tailored to the torque characteristics of electric motors. The market for electric powertrains is expected to increase significantly as the kingdom makes investments in infrastructure, such as on-board chargers that are compatible with local grid regulations.

The market for electric powertrains in Saudi Arabia is mainly divided into two categories: plug-in hybrid electric vehicles (HEV/PHEVs) and battery electric vehicles (BEVs). Since BEVs have no emissions, they are becoming more and more popular. This is in line with Saudi Arabia's objectives to cut back on fossil fuel consumption and carbon emissions. BEVs run exclusively on electricity stored in batteries. Because of this encouraging atmosphere, the market for BEVs is expanding, especially in metropolitan areas where short- to medium-distance driving is common. In comparison to conventional cars, hybrid electric vehicles (HEVs) and plug-in hybrid electric vehicles (PHEVs) provide longer driving ranges, lower total fuel consumption, and lower pollutants. In Saudi Arabia, where long commutes between cities call for vehicles with extended ranges, these hybrid choices are appealing. As a first step towards complete electrification, plug-in hybrid electric vehicles (PHEVs) enable drivers to charge their cars at home or at public charging stations. Government incentives including exemptions from import customs and registration fees, which are intended to promote their adoption and support the nation's environmental and economic goals, support the market for hybrid electric vehicles (HEVs) and plug-in hybrid electric vehicles (PHEVs) in Saudi Arabia.
Considered in this report
• Historic year: 2018
• Base year: 2023
• Estimated year: 2024
• Forecast year: 2029

Aspects covered in this report
• Electric Powertrain market Outlook with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Vehicle Type
• Passenger Car
• Commercial Vehicle

By Component
• Battery
• Power Electronic Controller
• Motor/Generator
• Converter
• Transmission
• On-Board Charger

By Application
• BEV
• HEV/PHEV

The approach of the report:
This report consists of a combined approach of primary and secondary research. Initially, secondary research was used to get an understanding of the market and list the companies that are present in it. The secondary research consists of third-party sources such as press releases, annual reports of companies, and government-generated reports and databases. After gathering the data from secondary sources, primary research was conducted by conducting telephone interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this; we have started making primary calls to consumers by equally segmenting them in regional aspects, tier aspects, age group, and gender. Once we have primary data with us, we can start verifying the details obtained from secondary sources.

Intended audience
This report can be useful to industry consultants, manufacturers, suppliers, associations, and organizations related to the Electric Powertrain industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing and presentations, it will also increase competitive knowledge about the industry.