The Luxury Automotive Market in UAE and Europe
The Luxury Automotive Market in UAE and Europe
The state of the market
After a period of stagnation, the luxury automotive market is enjoying a significant increase post-COVID. In 2024, the Global Luxury Automotive Market Cap was estimated to be between $500 billion USD and $700 billion USD (fluctuation arises due to the brands taken into consideration for each research), with a projected $1.3T USD by 2032. This strong, ascending trend is attributed to a number of factors, with emerging players, the surge of EV variants released by the top automotive brands and an overall increase in the disposable income in emerging and established markets as some of the most significant.
The long-standing status of luxury cars as a status symbol has only strengthened in recent years, while a blend of technological advancements, personalization and improved performances has ensured that the market has not become stagnant. Furthermore, due to the emergence of new players on the market (Genesis, Tesla) and stringent environmental measures, traditional luxury brands had to make adjustments in order to stay relevant in a fiercely competitive market.
The state of the market
After a period of stagnation, the luxury automotive market is enjoying a significant increase post-COVID. In 2024, the Global Luxury Automotive Market Cap was estimated to be between $500 billion USD and $700 billion USD (fluctuation arises due to the brands taken into consideration for each research), with a projected $1.3T USD by 2032. This strong, ascending trend is attributed to a number of factors, with emerging players, the surge of EV variants released by the top automotive brands and an overall increase in the disposable income in emerging and established markets as some of the most significant.
The long-standing status of luxury cars as a status symbol has only strengthened in recent years, while a blend of technological advancements, personalization and improved performances has ensured that the market has not become stagnant. Furthermore, due to the emergence of new players on the market (Genesis, Tesla) and stringent environmental measures, traditional luxury brands had to make adjustments in order to stay relevant in a fiercely competitive market.
The state of the market
After a period of stagnation, the luxury automotive market is enjoying a significant increase post-COVID. In 2024, the Global Luxury Automotive Market Cap was estimated to be between $500 billion USD and $700 billion USD (fluctuation arises due to the brands taken into consideration for each research), with a projected $1.3T USD by 2032. This strong, ascending trend is attributed to a number of factors, with emerging players, the surge of EV variants released by the top automotive brands and an overall increase in the disposable income in emerging and established markets as some of the most significant.
The long-standing status of luxury cars as a status symbol has only strengthened in recent years, while a blend of technological advancements, personalization and improved performances has ensured that the market has not become stagnant. Furthermore, due to the emergence of new players on the market (Genesis, Tesla) and stringent environmental measures, traditional luxury brands had to make adjustments in order to stay relevant in a fiercely competitive market.
The rise of the UAE towards the top of the luxury automotive industry
To no one’s surprise, as of 2023, the UAE luxury car market was valued at $4.12 billion USD with a forecasted projection up to $7.98 billion USD by 2030, growing at a Compounded Annual Growth Rate (CAGR) of 6.01%. The rapid growth of the Emirates in the luxury sector is not a new trend, with the country, and especially Dubai, garnering a reputation of a luxurious haven since the beginning of 2010s, and this has been reflected in the luxury automotive sector.
The rise of the UAE towards the top of the luxury automotive industry
To no one’s surprise, as of 2023, the UAE luxury car market was valued at $4.12 billion USD with a forecasted projection up to $7.98 billion USD by 2030, growing at a Compounded Annual Growth Rate (CAGR) of 6.01%. The rapid growth of the Emirates in the luxury sector is not a new trend, with the country, and especially Dubai, garnering a reputation of a luxurious haven since the beginning of 2010s, and this has been reflected in the luxury automotive sector.
The rise of the UAE towards the top of the luxury automotive industry
To no one’s surprise, as of 2023, the UAE luxury car market was valued at $4.12 billion USD with a forecasted projection up to $7.98 billion USD by 2030, growing at a Compounded Annual Growth Rate (CAGR) of 6.01%. The rapid growth of the Emirates in the luxury sector is not a new trend, with the country, and especially Dubai, garnering a reputation of a luxurious haven since the beginning of 2010s, and this has been reflected in the luxury automotive sector.
The reasons cited for this rapid rise to prominence closely mirror those responsible for the growth of UAE as a whole. While there is an undeniable affinity towards luxury and showcasing symbols of its wealth as a part of the nations’ culture, the automotive sector is especially of interest due to the great infrastructure and road system available, with ~40% of residents owning a car, placing the UAE in the top 10 countries for car ownership per capita in the world.
The reasons cited for this rapid rise to prominence closely mirror those responsible for the growth of UAE as a whole. While there is an undeniable affinity towards luxury and showcasing symbols of its wealth as a part of the nations’ culture, the automotive sector is especially of interest due to the great infrastructure and road system available, with ~40% of residents owning a car, placing the UAE in the top 10 countries for car ownership per capita in the world.
The reasons cited for this rapid rise to prominence closely mirror those responsible for the growth of UAE as a whole. While there is an undeniable affinity towards luxury and showcasing symbols of its wealth as a part of the nations’ culture, the automotive sector is especially of interest due to the great infrastructure and road system available, with ~40% of residents owning a car, placing the UAE in the top 10 countries for car ownership per capita in the world.
What role do high-net-worth individuals play in the growth of the luxury car market in the UAE
The luxury automotive sector particularly benefits from a relaxed tax policy and the number of High-Net Worth Individuals (HNWI) (Individuals whose net worth exceeds $1 million USD) the country has, with that number expected to reach 228.000 by 2026. This also accounts for a rise of influential people that have settled in the UAE and have promoted the country in recent years, making the UAE one of the top players in the luxury automotive sector.
High-net-worth individuals (HNWIs) are the primary driving force behind the UAE’s luxury car market growth, with several key aspects of their influence:
What role do high-net-worth individuals play in the growth of the luxury car market in the UAE
The luxury automotive sector particularly benefits from a relaxed tax policy and the number of High-Net Worth Individuals (HNWI) (Individuals whose net worth exceeds $1 million USD) the country has, with that number expected to reach 228.000 by 2026. This also accounts for a rise of influential people that have settled in the UAE and have promoted the country in recent years, making the UAE one of the top players in the luxury automotive sector.
High-net-worth individuals (HNWIs) are the primary driving force behind the UAE’s luxury car market growth, with several key aspects of their influence:
What role do high-net-worth individuals play in the growth of the luxury car market in the UAE
The luxury automotive sector particularly benefits from a relaxed tax policy and the number of High-Net Worth Individuals (HNWI) (Individuals whose net worth exceeds $1 million USD) the country has, with that number expected to reach 228.000 by 2026. This also accounts for a rise of influential people that have settled in the UAE and have promoted the country in recent years, making the UAE one of the top players in the luxury automotive sector.
High-net-worth individuals (HNWIs) are the primary driving force behind the UAE’s luxury car market growth, with several key aspects of their influence:
Demographic Strength
The UAE has the highest concentration of Ultra-High-Net-Worth Individuals (UHNWIs) in the Middle East and North Africa region, with 3,800 individuals having net worth over $30M as of 2022. This number is expected to grow by 22% over the next five years.
Demographic Strength
The UAE has the highest concentration of Ultra-High-Net-Worth Individuals (UHNWIs) in the Middle East and North Africa region, with 3,800 individuals having net worth over $30M as of 2022. This number is expected to grow by 22% over the next five years.
Demographic Strength
The UAE has the highest concentration of Ultra-High-Net-Worth Individuals (UHNWIs) in the Middle East and North Africa region, with 3,800 individuals having net worth over $30M as of 2022. This number is expected to grow by 22% over the next five years.
High-net-worth individuals (HNWIs) perceive luxury cars as both status symbols and investment assets, often acquiring rare and limited-edition models for their potential appreciation in value. Their purchasing decisions prioritize exclusivity, prestige, and bespoke customization, with a strong willingness to invest in the finest available models. This elite consumer segment not only amasses collections of high-performance vehicles but also seeks a unique ownership experience that aligns with their lifestyle and social standing.
The Power of Influence: Shaping Innovation and Market Growth
Their influence extends beyond personal preference, shaping industry innovation and market expansion. Their demand for cutting-edge technology, personalization services, and VIP treatment drives luxury automakers to continuously push boundaries. With significant disposable income, they fuel the growth of the super-luxury car market, particularly for models exceeding $250,000, and support the expansion of premium dealership networks. Moreover, their choices set cultural benchmarks, reinforcing luxury cars as symbols of success and aspiration while influencing broader consumer trends.
High-net-worth individuals (HNWIs) perceive luxury cars as both status symbols and investment assets, often acquiring rare and limited-edition models for their potential appreciation in value. Their purchasing decisions prioritize exclusivity, prestige, and bespoke customization, with a strong willingness to invest in the finest available models. This elite consumer segment not only amasses collections of high-performance vehicles but also seeks a unique ownership experience that aligns with their lifestyle and social standing.
The Power of Influence: Shaping Innovation and Market Growth
Their influence extends beyond personal preference, shaping industry innovation and market expansion. Their demand for cutting-edge technology, personalization services, and VIP treatment drives luxury automakers to continuously push boundaries. With significant disposable income, they fuel the growth of the super-luxury car market, particularly for models exceeding $250,000, and support the expansion of premium dealership networks. Moreover, their choices set cultural benchmarks, reinforcing luxury cars as symbols of success and aspiration while influencing broader consumer trends.
High-net-worth individuals (HNWIs) perceive luxury cars as both status symbols and investment assets, often acquiring rare and limited-edition models for their potential appreciation in value. Their purchasing decisions prioritize exclusivity, prestige, and bespoke customization, with a strong willingness to invest in the finest available models. This elite consumer segment not only amasses collections of high-performance vehicles but also seeks a unique ownership experience that aligns with their lifestyle and social standing.
The Power of Influence: Shaping Innovation and Market Growth
Their influence extends beyond personal preference, shaping industry innovation and market expansion. Their demand for cutting-edge technology, personalization services, and VIP treatment drives luxury automakers to continuously push boundaries. With significant disposable income, they fuel the growth of the super-luxury car market, particularly for models exceeding $250,000, and support the expansion of premium dealership networks. Moreover, their choices set cultural benchmarks, reinforcing luxury cars as symbols of success and aspiration while influencing broader consumer trends.
Europe maintains its position, in spite of new regulation
The birthplace of the luxury cars, Europe has maintained its position at the top of the luxury automotive market, alongside North America. With a rich history in the sector, the European luxury car market was evaluated at $7.5 billion USD and is expected to reach $10.55 billion USD by 2030, with a CAGR of 5.80%.
Europe maintains its position, in spite of new regulation
The birthplace of the luxury cars, Europe has maintained its position at the top of the luxury automotive market, alongside North America. With a rich history in the sector, the European luxury car market was evaluated at $7.5 billion USD and is expected to reach $10.55 billion USD by 2030, with a CAGR of 5.80%.
Europe maintains its position, in spite of new regulation
The birthplace of the luxury cars, Europe has maintained its position at the top of the luxury automotive market, alongside North America. With a rich history in the sector, the European luxury car market was evaluated at $7.5 billion USD and is expected to reach $10.55 billion USD by 2030, with a CAGR of 5.80%.
This is a sign of a mature market, with the focus for sedans and sport cars shifting towards SUVs, due to their storage size and improved fuel costs, as well as Electronic and Hybrid Luxury Cars, as per Europe’s sentiment on sustainability now being reflected by its citizen.
This is a sign of a mature market, with the focus for sedans and sport cars shifting towards SUVs, due to their storage size and improved fuel costs, as well as Electronic and Hybrid Luxury Cars, as per Europe’s sentiment on sustainability now being reflected by its citizen.
This is a sign of a mature market, with the focus for sedans and sport cars shifting towards SUVs, due to their storage size and improved fuel costs, as well as Electronic and Hybrid Luxury Cars, as per Europe’s sentiment on sustainability now being reflected by its citizen.
As such, Europe is a diverse and fiercely competitive landscape, with local brands that are rich in history and heritage enjoying a stronger foothold in the top markets, such as Ferrari in Italy, Mercedes and BMW in Germany and McLaren in the UK.
With a rich background, constant technological developments and established communities of car enthusiasts, promoted by the top brands, Europe is well poised to maintain its position at the top of the luxury automotive market.
As such, Europe is a diverse and fiercely competitive landscape, with local brands that are rich in history and heritage enjoying a stronger foothold in the top markets, such as Ferrari in Italy, Mercedes and BMW in Germany and McLaren in the UK.
With a rich background, constant technological developments and established communities of car enthusiasts, promoted by the top brands, Europe is well poised to maintain its position at the top of the luxury automotive market.
As such, Europe is a diverse and fiercely competitive landscape, with local brands that are rich in history and heritage enjoying a stronger foothold in the top markets, such as Ferrari in Italy, Mercedes and BMW in Germany and McLaren in the UK.
With a rich background, constant technological developments and established communities of car enthusiasts, promoted by the top brands, Europe is well poised to maintain its position at the top of the luxury automotive market.
A thriving market filled with opportunities
The information above has been key in deciding the availability of THRILL Republica as an ecosystem. The ever-evolving luxury automotive landscape that UAE provides and the market’s appetite for curated and premium experiences has been the driving factor of establishing our operational headquarter in Dubai UAE, while Europe’s key positioning at the top of the luxury automotive market provides an invaluable opportunity, enhanced by its culturally rich countries and historic, top automotive brands available.
Season 1 of THRILL Republica will be introduced progressively in 10 iconic cities from Europe & UAE: Dubai (UAE), Marbella (Spain), Monte-Carlo (Monaco), Milan (Italy), Zurich (Switzerland), Munich (Germany), Luxembourg (Luxembourg), Antwerp (Belgium), Amsterdam (Netherlands), London (England) with access by invitation only, for remarkable car enthusiasts looking for high-end experiences shared with people of similar status and interests.
A thriving market filled with opportunities
The information above has been key in deciding the availability of THRILL Republica as an ecosystem. The ever-evolving luxury automotive landscape that UAE provides and the market’s appetite for curated and premium experiences has been the driving factor of establishing our operational headquarter in Dubai UAE, while Europe’s key positioning at the top of the luxury automotive market provides an invaluable opportunity, enhanced by its culturally rich countries and historic, top automotive brands available.
Season 1 of THRILL Republica will be introduced progressively in 10 iconic cities from Europe & UAE: Dubai (UAE), Marbella (Spain), Monte-Carlo (Monaco), Milan (Italy), Zurich (Switzerland), Munich (Germany), Luxembourg (Luxembourg), Antwerp (Belgium), Amsterdam (Netherlands), London (England) with access by invitation only, for remarkable car enthusiasts looking for high-end experiences shared with people of similar status and interests.
A thriving market filled with opportunities
The information above has been key in deciding the availability of THRILL Republica as an ecosystem. The ever-evolving luxury automotive landscape that UAE provides and the market’s appetite for curated and premium experiences has been the driving factor of establishing our operational headquarter in Dubai UAE, while Europe’s key positioning at the top of the luxury automotive market provides an invaluable opportunity, enhanced by its culturally rich countries and historic, top automotive brands available.
Season 1 of THRILL Republica will be introduced progressively in 10 iconic cities from Europe & UAE: Dubai (UAE), Marbella (Spain), Monte-Carlo (Monaco), Milan (Italy), Zurich (Switzerland), Munich (Germany), Luxembourg (Luxembourg), Antwerp (Belgium), Amsterdam (Netherlands), London (England) with access by invitation only, for remarkable car enthusiasts looking for high-end experiences shared with people of similar status and interests.
Luxury cars are here to stay
An increasingly willing-to-spend customer base, coupled with significant improvements made by high-end car manufacturers all over the board, the luxury automotive market is poised to keep increasing over the next years, with mature markets, such as Europe, driving innovation, while emerging and aspirational markets being responsible for the widespread distribution of established brands.
Luxury cars are here to stay
An increasingly willing-to-spend customer base, coupled with significant improvements made by high-end car manufacturers all over the board, the luxury automotive market is poised to keep increasing over the next years, with mature markets, such as Europe, driving innovation, while emerging and aspirational markets being responsible for the widespread distribution of established brands.
Luxury cars are here to stay
An increasingly willing-to-spend customer base, coupled with significant improvements made by high-end car manufacturers all over the board, the luxury automotive market is poised to keep increasing over the next years, with mature markets, such as Europe, driving innovation, while emerging and aspirational markets being responsible for the widespread distribution of established brands.
THRILL Intel is the official intelligence division of THRILL Republica, dedicated to delivering cutting-edge insights, strategic research, and high-impact analysis for investors, industry leaders, and decision-makers
in the global automotive ecosystem.
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THRILL Intel is the official intelligence division of THRILL Republica, dedicated to delivering cutting-edge insights, strategic research, and high-impact analysis for investors, industry leaders, and decision-makers
in the global automotive ecosystem.
Latest
Newsletter
Subscribe to THRILL Republica Intel for exclusive industry insights, market trends, and high-impact reports on automotive, luxury, and emerging markets—delivered straight to your inbox.
Stay ahead, stay informed, stay thrilled.