43% increase in the number of rental vehicles and 33% growth in vehicle rental companies

The vehicle rental sector in Dubai has achieved significant growth in the number of new rental vehicles that were registered last year (2024), compared to the year (2023), as it reached about 43%, and the same period witnessed growth in the number of registered companies of about 33%.

This comes within the efforts of the Dubai Roads and Transport Authority, aimed at supporting commercial transport activities as a vital and important sector that constitutes the nerve of the economic and commercial movement in the emirate, and contributes to achieving the Dubai Economic Agency (D33), which aims to consolidate its position as one of the three best economic cities in the world,

The number of new companies practicing the activity of renting vehicles registered, according to the Department of Commercial Transport Activities at the Licensing Corporation at the Dubai Roads and Transport Authority, which was registered 3,494 companies, compared to 2,627 companies registered during the year 2023, and the number of vehicle rental vehicles until the end of last year reached 71,040 vehicles, compared to 49,725 vehicles registered in 2023, and the luxury rental vehicles recorded Registered in the vehicle rental sector for the previous year, a growth rate of 73% and a growth in the number of electrical rental vehicles by 50% compared to 2023.

“The percentage of the increase in the number of vehicles and new companies registered to carry out the leasing activity confirms the competitiveness and attractiveness of the Emirate of Dubai in attracting many companies in this activity, advancing economic development and achieving the comprehensive development vision of the emirate, by offering facilities and overcoming obstacles that attract the private sector from companies and investors, and raise their confidence in the reality Business in Dubai, and the emirate’s status as a global center for money and business. ”

He stated that the authority is working to enhance its full commitment towards continuous development and competitiveness in providing services and facilities, and providing solutions that remove all obstacles facing companies owners in the private sector and facilitating business by taking all the requirements and needs of the sector into consideration to raise the percentage of satisfaction and happiness of customers, and enhance their confidence in the reality of business and investment in the emirate.

He added that this increase in the process of leasing activity, whether for vehicles or companies, also emphasizes the pioneering role of the Roads and Transport Authority in facilitating the work of the companies of the vehicle rental sector companies, by upgrading distinguished services and incentives and setting integrated and flexible regulatory frameworks to regulate the sector with all its varieties.

Mahboub stated that the authority launched many initiatives that had a great impact in enhancing the support of the commercial transport sector, including: “Service to extend the shelf life of rental vehicles”, which allows applying for the “reservation of an appointment to extend the shelf life” for cars that exceeded the permissible life, where only one year is extended and allowed the renewal of its license while passing the requirements of technical examination.

Among the initiatives that had a great impact in promoting the growth of the sector, “the rental of commercial vehicles with hours”, and the availability of a service to rent commercial transport vehicles for hours for individuals and companies to ensure safe and smooth services, and “the new commercial licensing system (CLS)”, a project that contributes to facilitating the customer’s journey and shortening the steps for new investors and those in charge of management services and permits that aim at the same time to govern approvals and accelerate them.

The initiatives that had a great impact in enhancing the growth of the commercial transport sector also include “increasing the operational age of electric vehicles”, from 4 years to 6 years, and the creation of two categories for luxury and distinctive vehicles within the global requirements for classifying luxury vehicles, and raising their operating age to 10 years.

The vehicle rental sector is one of the most important vital sectors supporting the Dubai economy, especially for the tourism and commercial activities of companies, and contributes significantly to the tourism and local and national economy sector, and the sector is organized and regulated through the electronic system for renting (TARS), to include all the activities of renting vehicles that follow the authority, and organize the relationship between vehicle rental companies and tenants.