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Automechanika Riyadh sets sights on Saudi Capital for 2021

13 Aug 2020

Kingdom’s leading automotive aftermarket trade fair to return for 3rd edition next year following positive industry response in 2020

Riyadh, KSA: The 3rd edition of Automechanika Riyadh, Saudi’s leading trade fair for the automotive aftermarket will return to the Kingdom’s Capital in the fourth quarter of 2021, the show’s organisers announced.

Automechanika Riyadh most recently took place in February 2020 at Al Faisaliah Hotel, attracting close to 3,000 traders, manufacturers, distributors, retailers, workshop or garage owners, and service providers. 

The next edition will run from 11–13 October 2021 at the Riyadh International Conference and Exhibition Centre, showcasing thousands of products across six aftermarket groups of Parts & Components, Electronics & Systems, Accessories & Customizing, Repair & Maintenance, Tyres & Batteries, and Car Wash, Care & Reconditioning.

The three-day event, organised by Saudi-based ACE Group under license by Dubai’s Messe Frankfurt Middle East, usually runs biennially, alternating between its Saudi counterpart Automechanika Jeddah, which would normally take place in 2021.

However, the positive industry response to the show earlier this year, from both exhibitors and trade visitors alike, coupled with Riyadh’s status as the hub of commercial and industrial activity, meant running the show in Riyadh again in 2021 was the preferred option. 

“This is underlined by Government activity in Riyadh, and in a post-pandemic world, large Government projects will emanate from the Kingdom’s central regions and branch outwards,” commented Mahmut Gazi Bilikozen, Automechanika Riyadh’s Show Director. 

“Saudi has announced a US$30 billion stimulus package to mitigate the economic impact of covid-19, and automotive industry and services sector will ramp up activity quickly to win back lost market share.

“We’re looking forward to returning again to Riyadh toward the end of next year, which in many ways will be a symbol of a market recovery for 2021 and beyond,” added Mr. Bilikozen.

“Automechanika – organised since 2016 in Saudi Arabia – is the only event focusing on the Kingdom’s aftermarket, carving a niche in the automotive sector where industry stakeholders are keen to be part of,” stated Zahoor Siddique, Vice President of ACE Group.

“Saudi Arabia through its Vision 2030 has taken notable measures to diversify its public sector-dominated economy into a private-sector- driven system, which is hoped to give a fillip to this industry.  The automotive market is also part of a major industrial cluster initiative supported by various government agencies.”

As with all sectors, Saudi’s auto industry and aftermarket has felt the brunt of the economic fallout in the wake of the covid-19 pandemic.  According to Aranca, a global advisory firm, Saudi’s spare parts and auto services market (passenger and commercial vehicles) is to contract 15 percent year-on-year in 2020, valuing US$6.8 billion, compared to US$8 billion in 2019.

Longer-term prospects look better though for the Gulf region’s largest auto market. Glasgow Consulting Group, a market intelligence firm, predicts Saudi’s passenger vehicle components market to bounce back as soon as 2021, valuing US$4.5 billion, compared to an estimated US$3.7 billion this year. 

Moreover, according to Vishal Sanghavi, Head of Automotive Practice at Aranca, the aftermarket has proven to be more robust in times of crisis.

“The aftermarket has typically been the most resilient part of the automotive industry, given its size and the fact that growth primarily depends on vehicle parc, rather than new vehicle sales,” he said, adding that price-conscious consumers will purchase second hand cars that require regular maintenance from independent aftermarket players. 

“The shift from new cars to used cars will drive the need for higher spend on repair and maintenance,” he added.  “Changing consumer behaviour will open new avenues for growth for the aftermarket. 

“Maintenance and repair service providers can offer servicing at home, vehicle pick-up and delivery for maintenance, or complete vehicle disinfection.   Aftermarket service providers must adapt and tap the new revenue streams to offset the losses sustained due to Covid-19.”

Automechanika Riyadh is dubbed as ‘the ultimate destination to meet global manufacturers and suppliers, explore key trends across the industry and source the latest solutions to meet the evolving needs of the Middle East’s largest market.’

The dedicated trade fair is one of 16 instalments of Automechanika – the most successful and largest automotive aftermarket trade fair brand in the world. The next regional event will be Automechanika Dubai, held from 7-9 June 2021 at the Dubai World Trade Centre.

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