Survey reveals strong consumer interest in transitioning to hybrid and electric vehicles, with UAE car buyers outpacing global trends in embracing new automotive technologies.
The UAE is emerging as a global leader in consumer readiness for new mobility solutions, with a notable interest in transitioning to hybrid and electric vehicles. According to the fourth edition of the Future of Automotive Mobility report, released by consultancy firm Arthur D. Little (ADL), more than half of the UAE respondents intend to purchase hybrid vehicles in their next car acquisition, while just under 15 per cent aim to switch to fully electric models.
The study, based on insights from over 16,000 respondents across 25 countries, highlights the growing importance of car ownership in the UAE, surpassing global trends, including those seen in major regions like China. The report also sheds light on the future of electric vehicles (EVs), autonomous driving, and other emerging mobility services in the country.
Accelerating Towards a Hybrid Future
While internal combustion engine vehicles still dominate UAE roads, a significant portion of consumers are looking towards alternative powertrains. Hybrid cars are poised to become the most popular choice, with the study revealing that over 50 per cent of respondents plan to opt for hybrid options in their next purchase. Fully electric vehicles, while generating interest, remain a minority preference, with less than 15 per cent of consumers planning to make the switch.
“The UAE is at the forefront of automotive innovation and consumer readiness for new mobility solutions,” said Alan Martinovich, Partner and Head of Automotive Practice for the Middle East and India at ADL. “Our findings highlight the UAE’s significant interest in transitioning to electric vehicles, favorable attitudes towards autonomous driving technologies, and a strong inclination towards digital transactions in car purchases. These insights are critical for automotive manufacturers and policymakers navigating the evolving landscape of the UAE automotive market.”
Rising Interest in Autonomous Driving
The study also reveals that UAE consumers are among the most open globally to adopting autonomous vehicles. The percentage of respondents with favorable attitudes toward autonomous driving rose significantly, from 32 per cent in previous years to an impressive 60 per cent in 2024. This is in stark contrast to mature markets, where acceptance of autonomous vehicles remains at around 30 per cent. However, concerns over safety—both human and machine-related—continue to be obstacles to broader adoption.
Shifting to Digital Transactions
In addition to the shift towards alternative powertrains, the study found that digital transactions are rapidly becoming a dominant force in the UAE’s car-buying process. UAE consumers are increasingly using the internet for various stages of the buying process, from researching vehicles to scheduling test drives and even completing transactions online. An impressive 53 per cent of respondents indicated a preference for finalizing their car purchase online, the highest rate among all regions globally.
UAE consumers are known for visiting dealerships an average of 3.9 times before making a final purchase—higher than any other region—underscoring the importance of seamlessly integrating online and offline experiences. “Consumers in the Emirates show a great and increasing appetite for cars while being among the most demanding globally when it comes to the latest vehicle technologies and a seamless purchase and service experience,” said Philipp Seidel, Principal at ADL and co-author of the report.
Sustainability as a Key Factor
The environmental considerations influencing car choice are becoming increasingly important to UAE consumers. The country scored among the top half of regions in sustainability concerns, with many car buyers citing it as a key factor in their decision-making process. This trend underscores the growing awareness of the environmental impact of vehicles and the role that hybrid and electric vehicles play in reducing carbon emissions.
The Future of Mobility in the UAE
As the UAE continues to expand its infrastructure for electric and hybrid vehicles, the findings from the Future of Automotive Mobility report signal strong opportunities for car manufacturers and distributors. With consumers showing increasing interest in cutting-edge automotive technologies and digital-first buying experiences, the UAE is set to remain at the forefront of global mobility innovation.
From hybrid cars to fully electric options, autonomous driving technologies, and the growing use of digital platforms for car purchases, the UAE is leading the way in the future of automotive mobility—ushering in a new era of sustainable and innovative transport solutions.
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