Electric Cars in Saudi Arabia: Promising Future or Passing Trend?

In recent years, electric cars have made a noticeable entrance into the Saudi market, sparking curiosity among drivers and fueling debates between those who believe in electric power as the future of mobility and others who remain unconvinced, waiting for real world results. Many are now asking whether electric vehicles truly represent a practical solution for daily life in Saudi Arabia, or if they are simply a passing trend inspired by global fashion and shifting market directions. The following overview explores the state of electric cars in Saudi Arabia, examining the key benefits and hurdles facing their journey in the Kingdom.

Remarkable Growth and Expanding Choices

The Saudi electric car market witnessed significant growth in 2023, with a 150 percent increase in imports compared to 2022. Despite this surge, the total number of electric cars remains limited, as official figures recorded only 779 imported electric vehicles for the entire year.

Today, buyers in Saudi Arabia can choose from a wide variety of models that suit different needs and budgets, with affordable electric cars starting from around 100,000 SAR and premium models exceeding 275,000 SAR.

The market now features prominent Chinese brands such as BYDEgypt BYDKSA BYDUAE BYDBahrain BYDKuwait BYDOman BYDQatar BYD and GeelyUAE GeelyKSA GeelyKuwait GeelyQatar GeelyBahrain GeelyEgypt GeelyOman Geely, Korean names like HyundaiUAE HyundaiBahrain HyundaiEgypt HyundaiKSA HyundaiKuwait HyundaiOman HyundaiQatar Hyundai and Kia, and luxury options from Tesla and Lucid, ensuring that both innovation seekers and those after exclusivity find compelling choices.

Ambitious Government Efforts and Ongoing Support

Saudi Arabia is pushing to expand electric vehicles as part of Vision 2030, aiming for 30 percent of all cars in Riyadh to be electric by 2030. This commitment is reflected in several major initiatives and investments, including:

• Launching Ceer as the first Saudi brand dedicated to manufacturing electric vehicles, with a target to produce 17,000 vehicles annually in its early phase

• Opening the Lucid Motors factory in King Abdullah Economic City in September 2023, with plans to reach an annual production capacity of 155,000 electric vehicles when fully operational

• Injecting large scale investments from the Public Investment Fund, reaching up to 35 billion dollars by 2030 to support the sector
  
  These moves highlight Saudi Arabia’s determination to shift toward clean energy and sustainable mobility.

Charging Infrastructure: The Expansion Challenge

Limited charging stations remain one of the biggest barriers to widespread electric vehicle adoption in the Kingdom. As of now, the country has no more than 20 fast charging stations, including only 8 in Riyadh. Estimates show that more than 60,000 charging points will be needed across Saudi Arabia by 2030 to support true growth.

To overcome this obstacle, Saudi Arabia has launched several new initiatives:

• EVIC, aiming to install 5,000 chargers in over 1,000 locations before 2030

• Electromin, which plans to operate 200 charging stations by 2030
  
  These projects are designed to make EV ownership more convenient and boost consumer confidence in switching to electric vehicles.

Real Advantages Driving the Shift

Despite obstacles, electric cars offer several benefits that encourage their adoption, including:

• Significant cost savings, since charging a 70 kilowatt hour battery costs only about 12.6 SAR for a full charge, much less than refueling with gasoline

• Lower maintenance expenses due to the reduced number of moving parts

• Positive environmental impact by cutting carbon emissions and helping preserve air quality

• An advanced and quiet driving experience supported by smart technologies and improved safety systems

Key Challenges Slowing Widespread Adoption

However, there are still several challenges holding back the full expansion of electric cars in Saudi Arabia, most notably:

• Limited charging infrastructure, especially on long roads and between cities

• High upfront purchase price compared to traditional vehicles

• Relatively low fuel prices, which reduce the economic incentive to switch

• Limited availability of specialized insurance and maintenance services for electric vehicles at present