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Mon 16 Feb 2009 10:51 AM

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Car production in ME to grow 3.7% by 2010

Region set to see second largest growth in auto manufacturing in the world - analyst.

The Middle East will see a significant increase in car production, second only to Russia, by 2010, a motor industry analyst claimed on Monday.

Jose Paul, transportation expert at Frost & Sullivan, expects production in this region to have climbed 3.7 percent from 2007 to next year.

If achieved, the Middle East will only fall behind Russia, which has a projected 5.6 percent rise.

In an automotive industry report, Frost & Sullivan also said four-wheel drive cars, once the fastest growing models in Saudi Arabia and the UAE, would be overtaken by compact cars.

Hybrid and electric vehicles would increase in other parts if the Middle East, Paul added.

“The pilot project of hybrid taxis in Dubai and launch of hybrid cars by the likes of Mercedes-Benz in the Middle East is a clear sign of the same,” he said.

“Also, specific future energy projects like Masdar City will help in increasing awareness among end-users,” he concluded.

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