Monthly Review December 2024
January 27, 2025
Preface – Economic Climate
The Israeli economy continues to face significant challenges due to the complex security situation and global market conditions. Economic indicators reflect mixed trends: on the one hand, low unemployment and relatively moderate inflation indicate economic resilience; on the other, the high deficit and rising debt-to-GDP ratio underscore the need for cautious fiscal management. The forecast for moderate growth in 2024 emphasizes the importance of growth-supporting policy measures.
The Israeli economy is an advanced one that participates in the OECD organization. Its current GDP per capita is $53,181, and its growth rate in Q3 of 2024 was 4%.
Israel maintains a 6.9% deficit of the GDP from January 2024 to December 2024.
The debt-to-GDP ratio increased to 62.1% in 2023, and the unemployment rate in December 2024 decreased to 2.6%. As of December 2024, the annual inflation growth rate was 3.2%. In December 2024, the short-term interest rate was 4.5%, while the long-term interest rate stood at 2.21% (October 2024).
Statistical Profile
Society
Population (December 2024): 10.027 Million
Economy
GDP per capita (December 2024): $ 53,181
Inflation (December 2024) (Annual Growth Rate): 3.2%
Current Account Balance (September 2024): 2.9% of GDP
Trade in Goods and Services (December 2024): $14.77 billion
Finance
US Dollar Exchange rate (December 2024, Avg.): NIS 3.622
Euro Exchange rate (December 2024, Avg.): NIS 3.793
Long-term interest rates (October 2024): 2.21% Per Annum
Short-term interest rates (December 2024): 4.5% Per Annum
Government
Debt to GDP ratio (2023): 62.1%
Deficit to GDP (January 2024 - December 2024): 6.9%
Motorization
Level of Motorization (2023): 417 Vehicles/1,000 Residence
Innovation and Technology
Gross Domestic Spending on R&D (2022):6.02% of GDP
Environment
CO2 Emissions (2022): 6.2 Tonnes Per Capita
Jobs
Employment Rate (December 2024): 62.8% of the Working Age Population
Official Unemployment Rate (December 2024): 2.6% of the Labour Force
New Cars and CV Registrations
New Passenger Car Registration: Jan-December 2024
Passenger car registration: Increase of 0.6% compared with Jan-Dec 2023.
In December 2024, the Israeli passenger car market registered 12,776 new cars – an increase of 170% compared with December 2023. Since the beginning of the year, 271,735 new cars were registered, an increase of 0.6% compared with last year. Since January, 67,171 BEVs were registered and 6,044 PHEVs, a total of 73,215 cars with chargeable electric drives representing 26.9% of all registrations. The market share of pure EVs in 2024 is 24.7%.
New Passenger Cars Registration According to Brands: Jan-December 2024
New CV above 3.5-ton Registration: Jan-December 2024
Commercial Vehicles above 3.5-ton registration: +45.8% compared with December 2023.
In December 2024, the Israeli market for CVs above 3.5 tons registered an increase of 45.8% in deliveries with 964 new registrations, compared with 661 units in December 2023. Since the beginning of the year, 13,224 units were delivered, a decrease of 8.5% compared with last year.
New CV above 3.5-ton Registration According to Brands: Jan-December 2024
New Bus Registration According to Brands: Jan-December 2024
Israel's Auto and Auto-Tech industry
Arbe Collaborates with NVIDIA to Enhance Radar-Based Free Space Mapping and AI-Driven Capabilities
Arbe Robotics Ltd. (NASDAQ: ARBE) (TASE: ARBE), a global leader in Perception Radar solutions, announced that in collaboration with NVIDIA, Arbe is enhancing free space mapping and AI-driven capabilities to further advance the automotive industry. Arbe showcased its groundbreaking ultra-high-definition radar at CES 2025. At the heart of Arbe's innovation is its AI-powered processing of an exceptionally dense, high-resolution point cloud. Arbe's Perception Radar supports tens of thousands of detections per frame, powered by a massive MIMO array of 48 receiving and 48 transmitting channels. This enables ultra-high resolution in both azimuth and elevation, providing long-range detection capabilities in all weather and lighting conditions, with minimal false alarms. Arbe's perception radar offers unique capabilities, such as detecting small obstacles, such as a tire on the road or other lost cargo, and managing urban complexities with a high dynamic range, all designed for ADAS and autonomy scenarios. Additionally, the solution delivers high-quality data for seamless integration with cameras and other sensors.
I-Via Completes the second cycle of its’ Cybersecurity Course for Cyber Protection Officers in Vehicle Import Companies
The Israeli Vehicle Importers Association (i-Via) announced the completion of the second cycle of the Cybersecurity Course for Cyber Protection Officers in Vehicle Import Companies, a joint initiative with the Israeli Ministry of Transport (Cyber Sector and Traffic Management). The sharp increase in the number and severity of cyber incidents in the transportation field, alongside the development of smart transportation, infrastructures, connected vehicles, electric vehicles, and autonomous vehicles, requires organizations to implement processes and measures to enhance cybersecurity in companies for the safety and protection of vehicles, drivers, and passengers. This course is designed to address this need and lead a change in the automotive industry regarding cybersecurity protection. The second cycle of the course was led by CyITS through cyber and automotive experts such as Or Shalom and Ami Braun, Yaniv Tuchman and Moto-Gat Academy, and the Cyber Unit staff. It emphasized essential systems requiring enhanced protection against increasing threats, using simulations and practical exercises on real vehicles. The training provided to the course participants sets the foundation for efficient and sophisticated handling of ongoing cyber threats.
Mobileye to Use Innoviz LiDARs for its Mobileye Drive™ AV Platform
Mobileye (Nasdaq: MBLY), a global leader in autonomous and driver-assistance technologies, and Innoviz Technologies Ltd. (Nasdaq: INVZ), a leading Tier-1 direct supplier of high-performance, automotive-grade LiDAR sensors and perception software, announced today that Mobileye will use Innoviz's LiDARs for the Mobileye Drive™ platform. This showcases the flexibility of Innoviz's LiDARs in working across a variety of vehicle platforms to test and deploy autonomous vehicles further. Mobileye Drive™ is a comprehensive driverless system that enables mobility service providers and vehicle manufacturers to make robotaxis, ride-pooling, public transport, and goods delivery fully autonomous, with testing underway in Europe, North America, and Asia. By leveraging Innoviz's expertise in LiDAR technology, in addition to cameras, radars, and imaging radars, vehicles built with the Mobileye Drive platform will deliver safe and smooth driving performance in their operational domains. The agreement is built upon mutual work between the two companies over the past few months, with the Start of Production (SOP) beginning in 2026.
REE Automotive Named CES 2025 Innovation Award Honoree for Software-Defined Vehicle Technology
REE Automotive Ltd. (Nasdaq: REE), an automotive technology company and provider of full by-wire electric trucks and platforms, today announced its P7-S Software-Defined EV Chassis has been named a 2025 CES Innovation Awards® honoree in the Vehicle Tech & Advanced Mobility product category, recognizing the platform’s industry-advancing by-wire technology, modularity and engineering features, which REE intends to deliver to original equipment manufacturers (OEMs) and fleets as the basis of their software-defined vehicle programs. REE’s P7-S stripped chassis is a software-defined, full-by-wire platform, designed to be autonomous-ready and adaptable to evolving market demands. The P7-S is built on four identical REEcorners®, which integrate all critical vehicle components (steering, braking, suspension, powertrain, and control) into a single compact module, making the vehicle all-wheel steer and drive. Built with a technology-first mindset, the P7-S embodies REE’s modular approach to EV design, setting new industry standards in safety and performance. The CES Innovation Awards honor exceptional designs and engineering in consumer technology products. Winners are chosen by a distinguished panel of experts, including respected consumer technology designers, engineers, and media professionals.
Lyft and Mobileye Team Up to Enable Autonomous Mobility at Scale
Lyft, Inc. (Nasdaq: LYFT), one of the largest transportation networks in North America, and Mobileye (Nasdaq: MBLY), a leading provider of self-driving technology and advanced driver assistance systems (ADAS), announced today plans for an alliance that aims to facilitate the widespread commercialization of autonomous vehicles' services by industry-leading fleet operators. Using the latest advancements in AI for autonomy, Mobileye provides AV technology to an ecosystem of purpose-built vehicle manufacturers, who integrate Mobileye’s AV technology in AV-ready vehicles for purchase by vehicle fleet operators and transportation service providers. The alliance of Lyft and Mobileye intends to leverage Lyft’s network of 40 million annual riders and exceptional reputation as a leading transportation network in North America to provide a seamless demand platform for Mobileye Drive™-based AV fleets. The objective is for future AV operators who want to deploy and manage large-scale fleets in various metropolitan areas in North America to purchase Mobileye Drive-equipped, “Lyft-ready” vehicles from vehicle builders, access Lyft’s rider demand, and optimize utilization and profitability of their fleets.
