Dubai’s imports of vehicles and automobile parts exceed Dh17 billion per year, according to data complied by the Dubai chamber of Commerce and Industry (DCCI).

Trade in the automotive sector amounted to Dh24.4 billion in 2005 and imports accounted for 70.6 per cent of the total.

The share of re-exports was 29.1%, according to the DCCI survey.

Vehicles, both passenger and commercial, accounted for 74.6% of the total automotive trade, while spare parts and accessories had 22.3% share.

Imports grew 30% annually between 2001 and 2005, while the re-export business increased 60% during 5 years.

Qatar, Libya, Iran, Afghanistan and Iraq were top destinations for vehicles arriving in the emirate for re-export,while Iran,

The Gulf car market is dominated by Japanese manufacturers, who supply about 70% of the total cars imported into the region, according to industry figures.

The six-member Gulf Cooperation Council has an estimated six million vehicles, with 1.4 million in the UAE.

The UAE car market is growing at an average annual rate of 10 per cent, organizers of Dubai’s leading auto sports exhibition said.

The UAE is also the world’s second-largest per capita market for four-wheel drive vehicles after Australia.

High per capita incomes, booming economies and a growing population are fuelling the growth of the Gulf automotive sector, said International Expo Consults, who are organizing the March 12-14 Automobile Aftermarket Middle East.

“The GCC automobile industry relies on imports with Japan accounting for 65-70 percent of sales, Europe 15-20 percent, the US contributing 6.5 per cent and the rest coming from other countries,” the company said in a statement.

The first day of Dubai Municipality’s public auction of used car showrooms has fetched AED 5o.63 million for 22 outlets as enthusiastic traders competed with each other for renting a hot spot in the prestigious Auto Market in Warsan.

Representatives of nearly 150 used car dealers flocked to the DM staff Club in Al Garhood to participate in the auction which will cover the remaining 52 more showrooms.

The auctioned showrooms ranged in area from 3,280 to 6,000 square feet with the lowest annual rent being AED 65,300 and the highest AED 119,000.

The Auto Market, established in 1999 with some 130 showrooms for buying, selling and registering pre-owned vehicles under one roof, is one of Dubai’s major landmarks that attract a large number of dealers & customers.

The auction is being done for a total of 74 showrooms of the second phase of the market with the aim of giving equal opportunities for the local traders in owning a showroom there.