The Saudi Ministry of Commerce has adopted a number of measures to address the problem of high car prices and their unavailability in the local market.
After monitoring and analyzing consumer complaints, the Ministry of Commerce pointed to long waiting lists, in parallel with an increase in the prices of some types of cars and delivery delays.
The worldwide vehicle shortage comes in the aftermath of mass shutdowns and quarantines that began in March 2020. Auto manufacturers anticipated a huge drop in new car demand, thus reducing sales forecasts.
Following close coordination with the Ministry of Interior, as well as car dealerships, the Saudi Ministry of Commerce has taken a number of measures, including asking global manufacturers to increase the share allocated to the Saudi market.
The ministry has also requested car dealers to publish prices, policies, and instructions on their websites, and to clarify the procedures for pre-ordering and purchasing vehicles.
It stressed the importance of managing reservation lists at car agencies and increasing transparency by assigning consumers reservation numbers that are linked to their identification numbers and establishing accurate priority in automobile pre-order lists.
The ministry called for speeding up the implementation of an electronic link between the Ministry, the Zakat, Tax, Customs Authority, the General Traffic Department, and car agencies and showrooms to track car sales and monitor any illegal transactions or practices.
Moreover, the ministry decided to intensify inspection and continuous follow-up on car dealerships, distributors, and showrooms, in coordination with the competent authorities.