Saudi Arabia Automotive Steering System Market: Smart Steering Technologies & Industry Outlook

According to IMARC Group's latest research publication, Saudi Arabia automotive steering system market size reached USD 315.0 Million in 2024. The market is projected to reach USD 427.5 Million by 2033, exhibiting a growth rate of 3.10% during 2025-2033.

How AI is Reshaping the Future of Saudi Arabia Automotive Steering System Market

• Predictive Maintenance and Precision Control: AI algorithms monitor steering components in real-time, predicting failures before they occur and extending system lifespan by analyzing performance data, minimizing downtime for fleets across Saudi Arabia.
• ADAS Integration for Safer Driving: Machine learning enables seamless integration with lane-keeping assist and collision avoidance systems, where AI-controlled Electric Power Steering adjusts vehicle direction within milliseconds, enhancing road safety significantly.
• Energy Efficiency Optimization: AI-driven steering systems optimize power consumption by activating assistance only when needed, supporting fuel efficiency goals and aligning with the Kingdom's transition to electric and hybrid vehicles.
• Autonomous Vehicle Development: Advanced AI enables steer-by-wire technology for autonomous vehicles being tested in NEOM and Riyadh. WeRide's Robotaxis use AI steering for fully driverless operations, marking the region's autonomous mobility advancement.
• Adaptive Driving Experience: AI personalizes steering responsiveness based on driver behavior and road conditions, automatically adjusting feedback and assistance levels, delivering enhanced comfort and control for diverse driving scenarios throughout Saudi Arabia.

How Vision 2030 is Revolutionizing Saudi Arabia Automotive Steering System Industry

Vision 2030 is reshaping Saudi Arabia's automotive steering system market through massive industry transformation. The Kingdom has committed over $50 billion to EV manufacturing and automotive infrastructure, with plans to produce 350,000 vehicles annually by 2030 through Lucid Motors (155,000 EVs yearly), Ceer Motors (launching 2026), and Hyundai's local assembly facility. This manufacturing boom directly drives demand for advanced steering systems, particularly Electric Power Steering that's essential for electric vehicles. The government's $2 billion in automotive investments, coupled with 30% EV adoption target for Riyadh by 2030 and installation of 5,000 fast chargers, creates an ecosystem demanding sophisticated steering technologies. The Public Investment Fund's National Automotive and Mobility Investment Company is building robust supply chains, while 600,000 Saudis are being trained in advanced automotive technologies through programs like NAVA, creating skilled workforce for next-generation steering system manufacturing and integration.

Download the Most Recent 2026 Market Forecasts

Saudi Arabia Automotive Steering System Market Trends & Drivers:

The Saudi steering system market is experiencing rapid transformation driven by the Kingdom's aggressive push into electric vehicles and smart mobility. With over 600,000 new vehicles registered annually—making it the largest automotive market in MENA—Saudi Arabia is witnessing a fundamental shift from traditional hydraulic to Electric Power Steering systems. The EV market, projected for 12% growth by 2030, demands advanced steering technologies that reduce energy consumption and integrate seamlessly with modern vehicle electronics. Major players like ZF Friedrichshafen, Nexteer Automotive, JTEKT Corporation, and Robert Bosch are expanding their presence to meet this surging demand. The transition is accelerated by Lucid Motors' operational manufacturing facility in King Abdullah Economic City and Ceer Motors' upcoming production, both requiring state-of-the-art steering systems. Additionally, the autonomous vehicle trials in NEOM and Riyadh's pilot Robotaxi services are pushing adoption of AI-integrated, steer-by-wire technologies that offer precision control for self-driving capabilities.

Government initiatives are playing a pivotal role in steering system market expansion. The Saudi Arabian Standards Organization (SASO) has implemented stringent safety and emissions standards that mandate adoption of advanced steering technologies, particularly Electronic Stability Control and lane-keeping assistance features. The National Industrial Strategy launched in 2022 emphasizes automotive sector localization, with projected industrial GDP growth to $377 billion by 2035 and creation of 3.3 million jobs. This has attracted international manufacturers to establish local operations, with companies like Abdul Latif Jameel Motors and Mohamed Yousuf Naghi Motors expanding their steering component supply chains. Furthermore, Saudi Arabia's VAT reforms and industrial incentives under Vision 2030 are encouraging private investments in automotive manufacturing, creating demand for both OEM and aftermarket steering parts. The Kingdom's strategic partnerships—exemplified by Ceer's recent SAR 5.5 billion agreements with 11 companies achieving 45% localization targets—are building a robust ecosystem where steering system suppliers can thrive.

Technology convergence and consumer preferences are reshaping the steering system landscape. The rapid urbanization and infrastructure development across Saudi Arabia, with mega-projects requiring extensive vehicle fleets, drives consistent demand for durable, high-performance steering systems. Saudi consumers show strong preference for SUVs and pickup trucks, which require robust steering solutions capable of handling diverse terrain—from highways to off-road conditions. The integration of Advanced Driver Assistance Systems (ADAS) is becoming standard, with steering systems serving as critical interfaces between driver input and automated safety features. The aftermarket segment is flourishing, valued at $513 million in 2022 with projections reaching $700 million by 2028, driven by aging vehicle fleets and cost-conscious consumers seeking quality replacement parts. E-commerce platforms and B2B distribution channels are expanding access to multi-brand steering components, while the emergence of specialized training programs ensures proper installation and maintenance of increasingly sophisticated steering technologies across the Kingdom's automotive service sector.

Saudi Arabia Automotive Steering System Market Industry Segmentation:

The report has segmented the market into the following categories:

Type Insights:

• Electric Power Steering (EPS)
• Hydraulic Power Steering (HPS)
• Electro-Hydraulic Power Steering (EHPS)
• Manual Steering

Component Insights:

• Steering Column
• Steering Wheel Speed Sensors
• Electric Motors
• Hydraulic Pumps
• Others

Vehicle Type Insights:

• Passenger Cars
• Light Commercial Vehicles
• Heavy Commercial Vehicles

Regional Insights:

• Northern and Central Region
• Western Region
• Eastern Region
• Southern Region

Competitive Landscape:

The competitive landscape of the industry has also been examined along with the profiles of the key players.

Recent News and Developments in Saudi Arabia Automotive Steering System Market

• February 2025: The National Industrial Development Center (NIDC) announced that Saudi Arabia's automotive industry expects investments totaling SAR 90 billion, with local vehicle production exceeding 350,000 units annually by 2030 through Lucid, Hyundai, and Ceer, driving significant demand for advanced steering systems.
• April 2025: SOUEAST officially launched its Saudi Arabia subsidiary and opened its spare parts center, completing cooperation agreements with local partners to strengthen automotive aftermarket distribution capabilities, including steering system components, across the Kingdom.
• May 2025: WeRide Robotaxi secured autonomous driving permit from Saudi Transport General Authority, becoming the first company to complete the Regulatory Sandbox for AV Piloting, with plans to launch full-scale commercial Robotaxi service requiring AI-integrated steering systems by end-2025.
• September 2025: Major international automotive aftermarket companies announced plans to expand regional presence in Saudi Arabia, establishing new partnerships with local distributors and service centers to capitalize on growing demand for replacement steering parts and maintenance solutions.

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