Saudi Gazette – Saudi Arabia’s thriving auto aftermarket trade, valued at nearly $2.6 billion in 2015, has attracted the attention of global manufacturers, as they lay down plans to grow their business interests at the Kingdom’s dedicated aftermarket industry trade show.
Figures released by Saudi’s General Authority for Statistics provide a graphic sketch of the importance of the Kingdom’s vast auto aftermarket. In 2015, Saudi imported $2.53 billion worth of auto parts and accessories, passenger and commercial vehicle tires, and batteries, while re-exports in the same year was worth $51 million.
Parts and accessories was the largest import product group, valued at $996.5 million, followed by passenger car tires ($715.5 million), tires for trucks and lorries ($615.3 million), and automotive batteries ($209.7 million).
Asian producers Japan and South Korea featured predominantly as major source countries, with 64 percent of batteries coming from South Korea.
Japan was the largest source country for passenger tires (30 percent of imports) while it also led the way in parts and accessories (4 percent of imports), followed by South Korea (15 percent) the USA (15 percent), Germany (10 percent), and France (7 percent).
Saudi Arabia’s position as one of the world’s most lucrative countries for the automotive aftermarket means it’s firmly on the radar of leading international and regional players, who are making a beeline for Automechanika Jeddah 2017, which runs on Jan. 31-Feb. 2, 2017 at the Jeddah Centre for Forums and Events.
The second edition of the annual three-day event, jointly organized by Messe Frankfurt Middle East and Al-Harithy Company for Exhibitions (ACE), is the only dedicated trade fair that targets the entirety of the enormous Saudi aftermarket.
The inaugural edition in January 2016 was a breakout success, as more than 5,000 trade visitors networked and did business with 184 exhibitors from 25 countries.
An even larger number of exhibitors are expected to fill the venue in 2017, as they showcase their latest products and solutions across five core product sections of Parts and Systems; Accessories and Customising; Repair and Maintenance; Tires and Batteries; and Car Wash, Care & Reconditioning.
“The successful launch of Automechanika Jeddah earlier this year has been underlined by the tremendous response from leading aftermarket players, who are keen to participate in the second edition,” said Ahmed Pauwels, CEO of Messe Frankfurt Middle East.
“The figures of the Kingdom’s auto aftermarket trade in 2015 underscores the opportunities, and with Automechanika Jeddah, we’re providing a dedicated networking and business development platform for the aftermarket industry to interact directly with Saudi customers and cater to the specific requirements of this significant market.”
Among the international players already signing on include Barcino Tire Company from Spain, Deutsche Olwerke Lubmin from Germany; American company US Global Petroleum; Italian manufacturer Le. Ma; and Dongnam Corporation from Korea. They will be eager to replicate the success of Pakistani Company Modern Diesel at Automechanika Jeddah 2016, where it signed a deal with Saudi company Isar Trading International for the supply of autoparts worth $3 million over three years.
“The real business opportunities afforded to exhibitors at Automechanika Jeddah is underlined by the robust figures of auto parts trade in Saudi Arabia,” said Zahoor Siddique, the Vice President of ACE. “This is why major players in the international auto aftermarket community are turning to 2nd edition of Automechanika Jeddah to boost their profile in a market that’s growing from strength to strength.”
Ample Auto Tech, a leading manufacturer and exporter of steering and suspension parts in India, is one of the many returning Launch Partners at Automechanika Jeddah 2017.
Arvind Chaudhari, Ample Auto Tech’s Managing Director said: “Jeddah being a port city gives us easy access to the cities of Jubail, Yanbu and Riyadh for business expansion. The Saudi market is quality conscious and we’re here to deliver ATEK products that are competitive in quality and price. The Saudi auto aftermarket is very important for our business as it opens up several venues in the North African market as well.”
Specializing in automotive spare parts for passenger cars and trucks is Samir Odeh, which will showcase its entire range of products at the exhibition. CEO Dr. Samir Odeh said: “Automechanika Jeddah provides us a good opportunity to learn what the customers require as well as interact with leading experts in the field.”
The Dubai branch of Intertek International is another exhibitor at Automechanika Jeddah that supports governments, customs authorities and national standards organizations, by ensuring imported goods comply with international safety and quality standards.
Husny Saeed, General Manager for Government & Trade Services at Intertek International Dubai, said: “Saudi Arabia is considered as a big growth market for Intertek revenue, and we expect an increase of between 10 – 15 percent in 2017. We are participating at Automechanika Jeddah 2017 because it provides good exposure and shows that we’re still in the market.”
Elsewhere, Sunex Engine Valves from Turkey will showcase its range of valve guides and seals, pistons, liners, piston rings, and gaskets. Marketing Manager Yasar Ascioglu said: “Saudi is one of our target markets and the best way to present our company and products is taking part in such a big exhibition as Automechanika Jeddah. We’re aiming to reach a large number of interested companies through this exhibition.”
Automechanika Jeddah 2017 will deliver an unmatched platform for the world’s leading auto aftermarket suppliers and manufacturers to establish long-lasting business relationships with buyers and distributers from throughout Saudi Arabia.