The UAE automobiles industry is leading and pioneering among Gulf countries in average sales growth as it recorded a double-digit growth rate in the first quarter compared to the same period last year.
The industry witnessed a 12 per cent growth in sales while Saudi Arabia’s rate was flat and Qatar at 1.4 per cent, Ford Middle East director of sales Hussein Murad told reporters on Sunday at a news conference where the US automaker announced its first quarter sales results for the region. Other three Gulf markets — Kuwait, Bahrain, Oman — were down, according to Murad.
Ford, which reported a 32 per cent growth rate in the UAE up to March, eyes a 40 per cent growth target in the country this year, Murad told Khaleej Times. “It’s maximum we are expecting, but at least 30 per cent is the target.”
He mentioned that there is some impact of political turmoil in the Arab world, but the UAE, Saudi Arabia and Kuwait are stable markets. Murad mentioned that there was no growth in GCC countries’ auto industry sales in the first quarter, but Ford witnessed a 52 per cent jump in sales.
The company, which enjoys a nine per cent market share in Gulf countries, wants to achieve a 10 per cent market share this year, he said. “Our plans is to achieve 10 per cent market share in Gulf countries and we are very close to it as the company, during the first quarter, exceeds 10 per cent mark in some Gulf countries. He said it was 11 per cent in Saudi Arabia, 13 per cent Kuwait and seven per cent in the UAE. He said four or more new models will be launched in the second half of the year that will help boost the growth in the UAE.
The upswing in sales volume continues on Ford’s new generation of strong products that were introduced to the region in the last quarter of 2010, with the new 2011 Ford Edge, Mustang, Taurus and Fusion leading the charge, according to the company.
Kuwait noted a major boost of 50 per cent during the first quarter of this year, driven by increasing retail as well as fleet businesses. Kuwait currently holds the title for Ford’s highest market share in the region. The highest performing market for the GCC was Saudi Arabia, with sales of Ford and Lincoln products increasing by a staggering 75 per cent over first three months of last year.
Ford’s GCC growth was driven by demand across the Ford and Lincoln range of vehicles, with passenger cars up by 43 per cent, led by the Ford Mustang, Fusion, and Taurus while trucks and utility vehicles were up by 58 per cent across the range with star performers such as the new Edge, Explorer and Expedition.
