United Arab Emirates E-Bike Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

United Arab Emirates E-Bike Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

The United Arab Emirates E-bike market was valued at USD 93.2 million in 2021 and is expected to reach USD 131.07 million by 2027, registering a CAGR of around 5.89% during the forecast period.

The production of e-bikes experienced a decline as a result of the COVID-19 pandemic in 2020, and subsequent lockdowns, which included all of the restrictions that followed. However, by end of 2021 market regained its momentum as life slowly returns to normal with people showing an increased interest in purchasing their method of commuting as a result of the pandemic and the possibility of contamination through public transportation.

Over the medium term, owing to rising awareness about the benefits offered by e-bikes among a wide range of consumers from younger individuals to older people coupled with government supportive initiatives the market is expected to grow significantly in coming years. In addition, UAE has also been developing its infrastructure, especially the road and transport infrastructure, on the lines of Europe with cycling tracks, charging stations, and allied facilities.

The e-bike market in the country is growing very rapidly as several startups are coming up with new platforms for renting e-bikes for users. With the changing preference of people in the country, more and more people are opting for green mobility solutions and opting for e-bikes. Although the market in the area is still in its early phases, it is expected that the UAE, in particular, would have a significant portion of the overall sector in the next years. The Class 1 Pedal Assist sector leads the market in terms of class, with a market share of 68 percent in 2020.

Further, the expansion of tourism sector in the country further influence the market. Additionally, development of lightweight electrical energy storage systems extends profitable opportunities to the market players in the forecast period . Also, trend towards connected e-bikes will further escalate the growth of electric bike market during the forecast period.

Key Market TrendsRising Adoption of E-bikes Across Various Sectors to Drive Demand in the Market

The electric bikes are slowly revolutionizing the two-wheeler industry with more efficient and powerful electric vehicles that are being released every year. Apart from being viewed as a cleaner and greener mode of transport for short distance, e-bikes, are finding varied uses across world in different sectors and applications.

While electric bikes said to be more expensive to purchase as compared to regular two-wheelers, the amount of money saved with respect to rising fuel costs is encouraging several players across logistics, food, delivery, tourism, etc. sector. Accordingly, the companies are investing in procuring these electric two wheelers and are entering strategic agreements with these vehicles manufacturing companies to gain notable edge over other competitors in the market. For instance, In May 2022, Motoboy Delivery Services (Motoboy), the UAE’s first and only RTA-approved sustainable electric bike logistics solutions provider, has launched its innovative services across Dubai. Currently with a fleet of over 35 electric and traditional vehicles, Motoboy aims to achieve zero carbon emissions in the long run, aligning its business model with the Dubai Clean Energy Strategy.

Several Electric vehicle makers are also seeing traction in selling to e-commerce players, last-mile delivery providers and third-party logistics companies in a step to widen market access for green energy products in wake of supportive government measures. For instance, In January 2021, Dubai’s Roads and Transport Authority (RTA) introduced a set of standards for the licensing of delivery services, in line with the steady growth of the industry. Thus, above mentioned developments and instances anticipated to enhance overall growth of the market during the forecast period.

Pedal - Assisted Segment of the E-Bike Market to Witness Significant Growth

Pedal assist is an operating mode on an electric bike where once it is activated, the motor kicks in while you are pedaling. The Pedal-assisted segment of the market is expected to witness significant growth over the forecast period owing to increasing interest among youth in sport activities like uphill cycling, etc., and the rising awareness towards a healthy and fit lifestyle expected to further propel demand in the market.

Further, advantages like better battery life, lower servicing needs, and the ability for users to choose from the three to five modes of pedal-assist depending on the model, etc. are anticipated to attract new users and likely to contribute to enhancing the overall development of the market during the forecast period. With the consistent technological advancements, pedelec manufacturers are focusing on enhancing the overall user interface, by designing and developing pedelecs that can be integrated with the riders’ smartphones and can provide them with real-time information on the speed and battery status of their vehicles.

Moreover, continuous product upgrades and new model launches coupled with rising sports events and associated activities to encourage both existing and new players and are likely to encourage other players in the market. For instance, in February 2022, E-Bike Grand Prix (EBK GP), a new international cycling sport, launched its inaugural series in 2022, and the first race is said to be held in Dubai, UAE. The ten-race grand prix series will showcase groundbreaking E-Bike technology while working with global host cities to raise awareness of climate change challenges and promote cleaner, healthier cities.

Therefore, such active developments and attractive trends in the market are anticipated to encourage key players operating in the market and hence likely to contribute to the growth of the pedal-assisted electric bike segment of the market during the forecast period.

Competitive Landscape

The United Arab Emirates E-Bike market is moderately consolidated as the market is being driven by presence of several global and local players including Giant Bicycles, Merida, One Moto, E-Motorad, TIER mobility, etc. The companies are diversifying their product portfolios through innovations and new launches to continue being the market leaders. For instance,

• In September 2021, EMotorad has announced its ambitious plans to develop and expand the e-bike market in the UAE and also potentially making it the regional base for its global expansion. The company launched four models – T-Rex, Doodle, Trible and Ener-G into the UAE market.
• In September 2022, An operating agreement was recently signed between Ras Al Khaimah Transport Authority (RAKTA) and Tier Mobility to operate e-scooters and e-bikes in the emirate. The companies stated that the operation of e-bikes will be across 10 key areas in Ras Al Khaimah, including tourist and vital sites in the emirate. RAKTA along with Tier, will work closely together to ensure both residents and tourists receive the highest standards of safety.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support

Please note: This publisher does offer titles that are created upon receipt of order. If you are purchasing a PDF Email Delivery option above, the report will take approximately 2 business days to prepare and deliver.