57% of New Cars at Motor Show Are Chinese
Over 10 Chinese Car Brands Enter Middle East
Saudi Arabia, Largest Middle East Market, Holds Double-Digit Share
From Cost-Effective Models to Luxury EVs, Aggressive Expansion
"Expecting Healthy Competition with Korea"
As Chinese car brands aggressively increase their market share in the global automotive market, their offensive is intensifying in the Middle East as well. Chinese automakers have filled more than half of the participant list at the Middle East's largest auto show, the Jeddah International Motor Show, signaling their declaration of war to penetrate the Middle Eastern market.
According to the organizers of the Jeddah International Motor Show on the 29th (local time), among the 14 automakers that held new car launches at this event, 8 were Chinese brands. Chinese brands accounted for more than half (57%) of the event.
Even looking only at Saudi Arabia, the largest market in the Middle East, the market share of Chinese brands has already exceeded double digits (11%). Based on data from January to August this year, the top market shares in Saudi Arabia are Toyota (28%), Hyundai (15%), and Kia (8%). While Korean and Japanese brands dominate the top ranks, more than 10 Chinese brands have already entered or are planning to enter the market. Especially in the Saudi market, which lacks domestic automakers, the psychological barrier against Chinese cars is relatively low. Saudi Arabia's only domestic automaker, Syar, is still in the electric vehicle mass production preparation stage. In fact, a significant number of Chinese cars were noticeable on the roads of Jeddah, Saudi Arabia's second-largest city.
Geely Automobile, which holds a 3% market share in Saudi Arabia, set up a massive booth on the west side of the motor show venue. Geely displayed the E8, the first electric vehicle from its Galaxy brand, and the Coolray, a compact SUV that has received the most favorable local response.
A representative from Geely's local dealership in Saudi Arabia said, "Geely withdrew from the Saudi market but re-entered in 2020. Over the past five years, we have been strategizing to increase market share again by expanding our dealer and service network." He added, "Once Geely's full lineup is established locally, we will be able to engage in healthy competition with Korean brands."
BYD, which holds a high market share in the global electric vehicle market, exhibited five vehicles including plug-in hybrids and electric cars. The local selling price of BYD's compact electric SUV Atto 3 in the Middle East is 139,900 riyals (approximately 51 million KRW), nearly twice the price sold in China.
Outside the exhibition hall, BYD's premium brand Yangwang showcased the U8 plug-in hybrid model. This vehicle is an amphibious SUV that can enter yacht mode in emergencies and float on water for up to 30 minutes. According to a BYD official, it adopts an extended-range electric vehicle (EREV) system, enabling a maximum driving range of up to 1,000 km.
Chu Hongwu, marketing manager of BYD's Saudi branch, said, "Although we entered the local market in May, our market share is still minimal. We conducted rigorous testing in the Middle East last summer and are making localization efforts such as changing the infotainment interface to Arabic."
At this event, MG, a brand under China's Shanghai Automotive, also exhibited a diverse lineup ranging from affordable compact cars to electric vehicles. MG is a brand rapidly increasing its market share not only in the Middle East but also in Europe with competitive pricing. The compact sedan MG5 is the most popular model in the Saudi market, which values fuel-efficient driving. An MG brand representative said, "In large cities like Riyadh and Jeddah, where traffic congestion is severe, affordable and fuel-efficient compact sedans are very popular."
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