Car Rental Market in UAE Size - Industry Report on Share, Growth Trends & Forecasts Analysis (2025 - 2030)

The Report Covers Car Rental Market Companies in UAE and it is segmented by Rental Duration (Short term and Long term), by Booking type (Online and Offline), and by Application type (Self-driven and Chauffeur-driven), and Vehicle type (Budget/Economy and Premium/Luxury). The Report Offers the Market Size and Forecast of the United Arab Emirates car rental market in value (USD million) for the above-mentioned segments.

Car Rental Market in UAE Size - Industry Report on Share, Growth Trends & Forecasts Analysis (2025 - 2030)

Car Rental in UAE Market Size

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United Arab Emirates Car Rental Market Size
Study Period 2019 - 2030
Base Year For Estimation 2024
Forecast Data Period 2025 - 2030
Historical Data Period 2019 - 2023
CAGR 11.80 %
Market Concentration Medium

Major Players

United Arab Emirates Car Rental Market Key Players

*Disclaimer: Major Players sorted in no particular order

Compare market size and growth of UAE Car Rental Market with other markets in Automotive Industry

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Car Rental in UAE Market Analysis

The UAE Car Rental Market is expected to register a CAGR of 11.8% during the forecast period.

The COVID-19 pandemic has partially affected the market for the United Arab Emirates car market with strict lockdown and a decrease in traveling to restrain the spread of the virus. However, with an increase in the number of tourists visiting the UAE, the demand for car rental services has picked up the pace by the end of 2021 and is likely to continue over the forecast period.

Consumer preferences shifted as a result of a variety of circumstances. Most notably, health concerns drove people and families to hire vehicles rather than public transportation. The rise of digital platforms in the marketplace has also facilitated the selection of cars for hire or leasing.

Significant growth in the population of individuals traveling for business and leisure travel is driving demand for car rental services. Rising internet penetration across the country has enabled enterprises in the sector to attract a wider consumer base through the use of smart mobile applications for customer convenience.

  • Udrive, the app-based pay-per-minute car rental service, has announced a USD 5 million Series B round of funding, in which it will welcome commercial, institutional and private investors. Such funding will positively impact the market growth in the upcoming years.

Thus, growing commercial events and reviving tourism activities will positively impact the market growth during the forecast period.

Car Rental in UAE Industry Overview

Some of the prominent players in the United Arab Emirates Car Rental Market are SixtSE, The Hertz Corporation, and AVIS Rent a Car, among others. As the rental car demand is growing in the country, car rental service providing companies are expecting development interms of online and offline services to feliciate the consumer shifting behaviours.

Moreover, several strategies have been adopted by the players to robust their connectivity for car rental and update their present fleet with more vehicles to address rising consumers demand in United Arab Emirates.

  • In 2022, Uber has set an aim of one in every four journeys requested via the Uber app in the UAE being emission-free by 2030.

Car Rental in UAE Market Leaders

  1. SIXT SE

  2. Avis Budget Group

  3. The Hertz Corporation

  4. Speedy Drive Car Rental LLC

  5. Uber Technologies

  6. *Disclaimer: Major Players sorted in no particular order
SIXT SE, Avis Budget Group, The Hertz Corporation, Speedy Drive Car Rental LLC, Uber Technologies
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Car Rental in UAE Market News

In July 2022, the smart mobility super app Selfdrive.ae launched "NEOS" which is offering game-changing service to UAE customers. The Super App has strategically partnered itself with automakers and car dealerships across the United Arab Emirates in order to offer this program across 50 different car models ranging from Chevrolet, Cadillac, Volkswagen, BMW, GMC, Audi, Mercedes, and more brands.

In February 2022, United Arab Emirates-based car rental firm Udrive secures extra USD 5 million in funding for expanding its business potential. The funding has come as Udrive recently recorded strong growth in 2021 making two million trips to date to register itself as one of the largest rental booking platforms based on transactions per car in the UAE region.

Car Rental in UAE Market Report - Table of Contents

1. INTRODUCTION

  • 1.1 Study Assumptions
  • 1.2 Scope of the Study

2. RESEARCH METHODOLOGY

3. EXECUTIVE SUMMARY

4. MARKET DYNAMICS

  • 4.1 Market Drivers
  • 4.2 Market Restraints
  • 4.3 Porters Five Force Analysis
    • 4.3.1 Threat of New Entrants
    • 4.3.2 Bargaining Power of Buyers/Consumers
    • 4.3.3 Bargaining Power of Suppliers
    • 4.3.4 Threat of Substitute Products
    • 4.3.5 Intensity of Competitive Rivalry

5. MARKET SEGMENTATION (Market Size in Value USD Million)

  • 5.1 Rental Duration
    • 5.1.1 Short Term
    • 5.1.2 Long Term
  • 5.2 Booking Type
    • 5.2.1 Online
    • 5.2.2 Offline
  • 5.3 Driving Type
    • 5.3.1 Self-Driven
    • 5.3.2 Chauffeur-Driven
  • 5.4 Vehicle Type
    • 5.4.1 Budget/Economy
    • 5.4.2 Premium/Luxury

6. COMPETITIVE LANDSCAPE

  • 6.1 Vendor Market Share
  • 6.2 Company Profiles
    • 6.2.1 Avis Budget Group Inc.
    • 6.2.2 Enterprise Holdings Inc.
    • 6.2.3 Europcar International
    • 6.2.4 The Hertz Corporation
    • 6.2.5 SIXT SE
    • 6.2.6 Speedy Drive Car Rental LLC
    • 6.2.7 Udrive Car Sharing
    • 6.2.8 eZhire Technologies FZ LLC
    • 6.2.9 Uber Technologies Inc.
  • *List Not Exhaustive

7. MARKET OPPORTUNITIES AND FUTURE TRENDS

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Car Rental in UAE Industry Segmentation

Car renting refers to the business of leasing and renting a car from rental service providers based on some valuation. This renting can be on an hourly basis or for a longer time span.

The car renting market is segmented by rental duration type, booking type, application type, driving type and vehicle type. By rental duration type , the market has been segmented into short term and long term. By booking type, the market has been segmented into online and offline. By application type, the market has been segmented into daily utility and tourism. By driving type, the market has been segmented into self-driven and chaffeur and by vehicle type, the market is segmented into economy cars, luxury cars and SUV. For each segment, the market sizing and forecasting are based on value (USD million).

Rental Duration Short Term
Long Term
Booking Type Online
Offline
Driving Type Self-Driven
Chauffeur-Driven
Vehicle Type Budget/Economy
Premium/Luxury
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Car Rental in UAE Market Research FAQs

What is the current UAE Car Rental Market size?

The UAE Car Rental Market is projected to register a CAGR of 11.8% during the forecast period (2025-2030)

Who are the key players in UAE Car Rental Market?

SIXT SE, Avis Budget Group, The Hertz Corporation, Speedy Drive Car Rental LLC and Uber Technologies are the major companies operating in the UAE Car Rental Market.

What years does this UAE Car Rental Market cover?

The report covers the UAE Car Rental Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the UAE Car Rental Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.

UAE Car Rental Industry Report

The UAE car rental market is experiencing robust growth, fueled by evolving consumer preferences and the increasing demand for flexible transportation options. Car rental companies in UAE are diversifying their vehicle offerings, ranging from luxury to economy models, to accommodate the needs of tourists, business travelers, and local residents alike. This expansion is supported by the UAE's strong tourism sector and a large expatriate community, both of which significantly contribute to the demand for rental cars. The advent of digital platforms has transformed the booking process, allowing consumers to easily access car rental services online, thus enhancing convenience and efficiency. Furthermore, car rental companies in UAE are incorporating advanced technologies to enhance customer experiences, such as mobile apps and GPS navigation, and forming strategic partnerships with hotels and airlines to further drive market growth. For a detailed analysis of the UAE car rental market share, size, revenue growth rate, and a forecast outlook, download a free report PDF sample from Mordor Intelligence™ Industry Reports.