February 2025 Middle East – Saudi Automotive Market Data Insights on Chinese Car Sales
This article was published by Cartea.
As one of the Middle East’s most substantial auto‐consuming regions, Saudi Arabia is undergoing a major industry shift. According to the February 2025 Saudi Automotive Market Report from Cartea Research Institute (an automotive lifestyle service platform for Arabic-speaking countries that provides local users with expert car news, precise car-buying guidance, and all-around vehicle services), Japanese and Korean marques collectively account for over 50% of the market. Toyota and Hyundai remain atop sales charts. At the same time, a wave of newer entrants is gradually reshaping competition. By contrast, the top five Chinese marques combined hold just 5.3% of the market, underscoring how challenging it is for them to expand their presence.
In a landscape where fuel-powered vehicles make up 93.3% of sales, family-oriented demand is growing, and buyers are increasingly interested in intelligent features. The pressing question is: how can Chinese automakers penetrate the stronghold of Japanese and Korean brands? And how can they meet Saudi consumers’ core requirements for budget-friendly sedans, seven-seat SUVs, and localized service offerings?
This article examines market tendencies through multiple lenses—brand structure, pricing brackets, and online search behavior—to offer strategic recommendations for Chinese brands seeking to secure a competitive position.
1. Brand Landscape
The Saudi auto market currently exhibits a “three-pole” structure: entrenched leaders defending their dominance, fast-rising newcomers, and Chinese marques steadily carving out a niche.
2. Vehicle Segment Landscape
In February 2025, sedans represented over 50% of vehicle sales in Saudi Arabia, while SUVs accounted for more than 30%. Japanese and Korean models remained predominant across both segments; Chinese vehicles continued to find it difficult to draw substantial consumer interest.
3. Energy Preference
Internal combustion engine (ICE) vehicles still overwhelmingly dominate the Saudi market. Hybrid electric vehicles (HEVs) occupy only a minor share, and new energy vehicles (NEVs) are in the very early stages of market entry.
4. Price Range Penetration
Sedans are strongest in the SAR 50,000–120,000 price band, whereas SUVs are most common above SAR 120,000. Chinese brands have begun establishing themselves within the SAR 50,000–120,000 bracket but have yet to break into the premium tiers.
5. Search Analysis for Chinese Cars
Jetour led Chinese brand searches with 15,959 queries—likely fueled by a recent model launch and bolstered by intensified local marketing. Meanwhile, Changan ranked highest in potential traffic volume, with 86,000 visits, reflecting the resonance of its localized product offerings and marketing strategy in Saudi Arabia.
Conclusion
Drawing from sales and search data, Cartea offers a rounded interpretation of the Saudi automotive market based on three core dimensions: brand structure, energy preference, and vehicle-type demand.
Brand Structure: Japanese and Korean Brands in Command; Chinese Brands Not Yet in Premium Segments
Sales figures indicate that Toyota and Hyundai together capture over one-third of the market. Saudi buyers place significant trust in established Japanese and Korean names and their leading dealership networks, preferring vehicles with proven dependability and brand recognition. These brands also provide convenient, reliable after-sales services, making them a safer choice for most purchasers. This entrenched preference creates a high barrier for newer Chinese brands attempting to gain traction.
Although Chinese brands hold only a 5.3% market share, they have seen promising progress in the SAR 50,000–150,000 segment, especially with compact sedans that offer strong value. Their “high specification at a low price” approach has attracted younger customers and opened doors in the compact-sedan category. Nonetheless, penetrating the premium market remains a formidable hurdle.
Energy Preference: ICE Remains King; NEV Uptake Stays Extremely Low
Because Saudi Arabia enjoys very low fuel prices, the cost advantages of new energy vehicles (NEVs) are not compelling. The limited NEV lineup, coupled with low consumer awareness and exposure, further restricts adoption. Additionally, the underdeveloped public charging infrastructure makes it challenging for buyers without home charging to enjoy a seamless ownership experience, effectively discouraging many potential NEV purchasers.
Vehicle Type Preference:
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Sedans – 52% Penetration, Dominated by Budget Models (SAR 50,000–120,000)
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SUVs – 30% Penetration, Popular in the SAR 120,000+ Bracket
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Strong demand persists for rugged off-road SUVs
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