Dubai recorded a 43% rise in new commercial vehicle registrations in 2024. The number of vehicle rental companies in Dubai jumped by 33%, reaching 3,494 active firms by the end of 2024.….Read ahead
Dubai’s commercial vehicle sector recorded a 43% rise in new vehicle registrations in 2024 compared to 2023, according to the Roads and Transport Authority (RTA). This growth highlights the city’s strong position as a hub for business and transport innovation.
Rental Companies Increase by 33%
In 2024, 867 new vehicle rental companies registered in Dubai, raising the total number of active rental firms to 3,494, up from 2,627 in 2023. The rental vehicle fleet also expanded significantly, reaching 71,040 vehicles, a big leap from 49,725 vehicles last year.
Strong Growth in High-End and Electric Rentals
The demand for luxury vehicle rentals rose by 73%, while electric vehicles (EVs) in rental fleets grew by 50%. This rise reflects a growing interest in sustainable and premium transport options in Dubai.
RTA’s Vision for Growth and Innovation
Ahmed Mahboob, CEO of RTA’s Licensing Agency, said,
“The rise in new vehicle registrations and rental companies shows Dubai’s strong appeal to the commercial transport sector. We remain focused on innovation and service excellence to meet private sector needs.”
Key RTA Initiatives Supporting the Sector
The RTA introduced several initiatives in 2024 to support this growth:
- Commercial Vehicle Life Extension Service: Allows businesses to extend vehicle use after inspection clearance.
- Hourly Commercial Vehicle Rental Service: Lets individuals and companies rent commercial vehicles by the hour.
- Commercial Licensing System (CLS): Speeds up approvals and simplifies the licensing process for new and existing businesses.
- EV Operational Life Extension: Increases EVs’ lifespan from 4 to 6 years.
- Luxury and Premium Vehicle Categories: Two new vehicle classes added with a lifespan of up to 10 years, aligning with global standards.
Also Read: Global Companies Push for Fleet Electrification Despite Economic Uncertainty
Dubai’s Transport Sector Attracts Investors
The RTA’s steps to modernize systems and offer investor-friendly services are boosting trust and confidence in Dubai’s transport sector. These changes are helping the emirate attract new investors, especially in EV and premium vehicle segments.
Conclusion
Dubai’s vehicle rental and registration sectors witnessed record growth in 2024, driven by strong government support, smart policies, and a focus on electric and high-end mobility solutions.
With continued innovation and investor-focused strategies, Dubai is set to lead the future of urban transport in the region.
