Industry News

GCC Market

Abu Dhabi taxi fleet reaches 99% hybrid or electric

About 99% of Abu Dhabi's taxi fleet of more than 6,147 vehicles is now hybrid or electric, according to figures reported by Gulf News. The Integrated Transport Centre operates the emirate's two taxi services, which recorded more than 60 million passenger journeys in 2025, with smart bookings at 18% of the total.

Our thoughts A Gulf fleet that is almost fully electrified shows taxi operators will buy these drivetrains at scale, which makes fleet tenders a practical early route for hybrid suppliers in the region.

Global Market

China's top five carmakers lift overseas sales 83% in October

BYD, SAIC, Geely, Chery and Changan sold a combined 1.76 million vehicles in October, almost level with a year earlier. Overseas sales rose 83% to 743,000 while domestic sales fell 25% to 1.018 million; Chery Group sold 200,600 of its 296,000 vehicles abroad. China's export VAT rebate for new-energy vehicles drops from 13% to 9% on 1 April 2027.

Our thoughts The rebate cut gives Chinese exporters of plug-in models a reason to ship more before April, so GCC distributors could see heavier stock and sharper offers in early 2027.

Global Finance & M&A

Autoneum agrees to buy French supplier Trèves for up to EUR64m

Swiss supplier Autoneum will pay up to EUR64m (USD72m) for Trèves: about EUR40m up front, mostly in new shares, and an earn-out of EUR24m tied to results by 2029. Trèves, which makes acoustic and thermal insulation and interior trim, has about 4,600 staff at 26 plants in 15 countries and had revenue of around EUR720m in 2025. The deal adds hubs in Morocco, Romania and Brazil and should close early in the first quarter of 2027.

Global Launches

Geely to start selling cars in Ireland in early 2027

Geely expects to begin Irish sales in the first quarter of 2027 with three new EV models, including the E2, and plans to open a Dublin headquarters this month while it builds a dealer network. Chinese-owned companies account for 8.3% of new-car registrations in Ireland so far this year, a little over 10,000 cars.

Global People

Stellantis puts European fleet and used-car units under Joël Verany

Stellantis has combined its European business-to-business and used-vehicle activities into one division covering about 1.7 million vehicles a year. Joël Verany, who already ran B2B, has been promoted to lead it and reports to Maurizio Zuares, head of commercial operations for Enlarged Europe. Used-vehicle chief Ana Theresa Borsari now reports to him.

Our thoughts Fleet sales and used cars are linked because fleet returns become used stock, a connection GCC distributors with large rental and corporate customers also have to manage.

GCC Market

Jeddah International Motor Show opens its 20th edition

The 20th Jeddah International Motor Show runs from 4 to 7 November at the Jeddah Center for Exhibitions and Events, with free public entry from 5 November, under the patronage of the chairman of the Saudi Automobile and Motorcycle Federation. Petrol, hybrid, battery-electric and range-extender models are on show, with Chinese brands such as JAC, Forthing and ICAR among the announced exhibitors.

Our thoughts The weight of Chinese and range-extender brands in Jeddah is a useful early signal of Saudi buyer interest for distributors in neighbouring markets, including Oman, planning their 2027 line-ups.

Global Finance & M&A

BMW cuts its 2026 car margin guidance for a second time

BMW now expects a 2026 automotive EBIT margin of between -0.5% and +0.5%, down from 1–3%, citing fourth-quarter charges from restructuring. Third-quarter revenue fell 5.8% to EUR30.45bn (USD34.2bn) and deliveries 6.3% to 551,075, with China down 25%. Chairman Milan Nedeljković confirmed a 20% cut in senior vice-president roles and said BMW is considering exporting China-built cars to other Asia-Pacific markets.

Our thoughts A German premium brand weighing exports from its Chinese plants shows how global supply is being redrawn; GCC importers should watch whether China-built BMWs are ever offered to the Gulf.

Global Market

China's October car retail sales fall 25%

Preliminary China Passenger Car Association data show October passenger-car retail sales down 25% year on year to 1.693 million, while new-energy vehicles fell 10% to 1.148 million, a record 67.8% share. Wholesale volumes, which count factory shipments, fell only 10% to 2.635 million.

Our thoughts With retail sales at home falling far faster than factory shipments, Chinese makers have every reason to push more cars abroad; expect sharper pricing and more brands competing for GCC distributors.

Global Policy & trade

EU Parliament committee votes to soften 2035 car CO2 target

The European Parliament's environment committee voted 48 to 30 to cut the 2035 CO2 reduction target for new cars from 100% to 87.5%, with up to 7.5 more points available through credits for low-carbon steel made in the EU. The full Parliament votes in December, after which the text must be agreed with member states.

Our thoughts If adopted, the change keeps European makers developing combustion and plug-in hybrid models beyond 2035, which supports the drivetrains most GCC buyers still choose.

Global Market

Volvo Cars' three-month sales fall 16% on China and US weakness

Volvo Cars sold 141,656 cars in the three months to October, down 16% on a year earlier, citing weak demand and local competition in China and the end of EV incentives in the US. Fully electric models rose to 34% of sales, and European orders for the new EX60 have passed 50,000.

Our thoughts With early EX60 output aimed at strong European demand, smaller markets such as the GCC may see limited first allocations.

Global Investment

Honda says it could resume building cars in Europe

Honda's head of Europe, Hans de Jaeger, said the company could build cars in Europe again, alone or with a partner, depending on the final form of the EU's proposed Industrial Accelerator Act, which would favour vehicles meeting 'Made in EU' content rules. He said there is no current plan and that present volumes would not justify a plant; Honda stopped making cars in the UK and Turkey in 2021.

Our thoughts Local-content rules are pulling Japanese makers back towards building where they sell, competition that GCC states seeking assembly investment will have to match with their own incentives.

Global Investment

Schaeffler to cut 3,460 European jobs and close five sites

German supplier Schaeffler plans to cut a net 3,460 jobs at 16 European locations, about 2,660 of them in Germany, closing four German sites and one in Belgium. It expects one-off costs of about EUR480m (USD540m) and yearly savings of about EUR300m (USD337m) from 2030.

Global Finance & M&A

Continental raises its 2026 margin and cash-flow outlook

Continental, now chiefly a tyre maker, reported third-quarter adjusted EBIT up 6.7% to EUR514m (USD578m), a 14.9% margin. It raised its 2026 adjusted EBIT margin target to 13.4–14.0% and its adjusted free cash flow forecast to EUR1.0–1.3bn.

GCC Policy & trade

UAE caps vehicle registrations at five per person from 2027

New executive regulations under the UAE federal traffic law take effect on 1 January 2027. An individual resident may register up to five vehicles, with an extra fee, not yet set, for the third to the fifth. Registration will cost AED400 (USD109) and renewal AED350 (USD95) plus AED150 (USD41) for inspection, some light vehicles up to six years old may be registered for two years, and right-hand-drive vehicles are limited to display use.

Our thoughts Dealers and leasing companies should model how the new per-vehicle fees and the five-car ceiling affect multi-car households, one of the UAE's steadier sources of repeat sales.

GCC Finance & M&A

Cars24 brings Dubai's Alba Cars into its group

Online car platform Cars24 and Dubai used-car dealer Alba Cars have announced a deal that makes Alba Cars part of the Cars24 group; no financial terms were disclosed. Together they retail more than 1,000 vehicles a month in the UAE, about 300 of them through Alba Cars, which keeps its brand and management.

Our thoughts Consolidation in UAE used-car retail strengthens the buyers of trade-ins, which matters to franchised dealers whose new-car sales depend on trade-in values.

GCC Launches

Updated Mercedes S-Class and Maybach make regional debut

Mercedes-Benz showed the updated S-Class and Mercedes-Maybach S-Class for the first time in the region in Abu Dhabi on 3 November, as part of its 140th-anniversary events. Prices, engine line-ups and delivery dates for the region were not given.

GCC Policy & trade

Saudi Arabia recalls 1,262 RAM pick-ups over trailer-brake fault

Saudi Arabia's Ministry of Commerce has announced a recall of 1,262 RAM 1500, 2500 and 5500 trucks from the 2025 and 2026 model years. A fault in the trailer control module can stop a towed trailer's lights and brakes from working; the truck's own brakes are unaffected. Petromin Stellantis will carry out the repairs.

Our thoughts Saudi recalls are announced by the ministry and run by the local distributor, so importers of US-built pick-ups should plan for the cost and workshop capacity of campaigns like this.

Global Policy & trade

Thailand raises excise tax on imported EVs to 35% from 2027

Thailand's cabinet has approved raising the excise tax on imported battery-electric vehicles from 10% to 35%, and on imported range-extender EVs from 15% to 35%, from 1 January 2027. The government says it will offer reduced-rate incentive packages to investors that set up or expand manufacturing in Thailand, to protect local jobs and its role as a regional export hub. Some Chinese brands, including Leapmotor and Voyah, are studying local assembly.

Our thoughts Thailand links tax relief directly to local manufacturing, a working model for GCC governments that want assembly plants; it is also likely to deepen Chinese and Japanese production in a country that already ships pick-ups and SUVs to the Gulf.

Global Finance & M&A

Ferrari raises 2026 guidance as third-quarter profit rises 13%

Ferrari's third-quarter net revenues rose 7% to EUR1.896bn (USD2.1bn) and net profit 13% to EUR431m (USD484m), although shipments slipped to 3,368 cars on lower deliveries to China. It raised its 2026 targets to about EUR7.65bn of revenue and at least EUR3.0bn of adjusted EBITDA, citing demand for personalisation, and says its order book runs into 2028.

Our thoughts An order book stretching into 2028 means long allocation queues for GCC dealers and their customers, and little need for the brand to discount anywhere.

Global Market

Hyundai and Kia post record October sales in the US

Hyundai Motor America sold 73,452 vehicles in October, up 5% and its best October yet, with hybrids up 20% to 29% of volume. Kia America's sales rose 16% to 80,008, helped by a 63% rise for the Telluride.

Our thoughts Strong US demand for the hybrids and large SUVs Hyundai and Kia also sell in the Gulf could tighten allocations for GCC distributors in 2027.

Oman Investment

Oman lists ten Chinese-linked plants, two of them automotive

A Ministry of Commerce, Industry and Investment Promotion official has listed ten Chinese-linked industrial projects in Suhar, Duqm and Khazaen. Two are automotive: an agreement by Spruce Group to assemble electric and hybrid vehicles at Khazaen Economic City, with no value or start date given, and Zhongke Electric's USD1bn (about RO385m) battery-anode materials plant in Suhar, under construction since May 2026 with planned capacity of 200,000 tonnes a year. Chinese direct investment in Oman stood at RO903.8m at the end of June 2026, up from RO866.2m at the end of 2025.

Our thoughts Without a stated value or start date, the Khazaen assembly project is a possible future source of local supply rather than a near-term alternative to imports; the Suhar anode plant is the firmer sign of a battery supply chain forming in Oman.

Oman Investment

Oman–China state-visit deals include free-zone warehousing

During His Majesty the Sultan's state visit to China, the Oman Investment Authority and other Omani entities signed 23 agreements and partnerships. Asyad Group and JD.com agreed to develop distribution warehouses, starting in the Muscat International Airport Free Zone, Khazaen Economic City and Sohar Free Zone, and China International Marine Containers signed a memorandum on transport and logistics in Oman. The package also includes a planned USD800m joint fund with the Silk Road Fund.

Our thoughts None of the deals concerns vehicles directly, but more Chinese-backed warehousing in Oman's free zones would strengthen the case for using Oman as a regional base for parts and after-sales distribution.

GCC Launches

Toyota and Geely launch plug-in hybrid SUVs in the UAE

Al-Futtaim Toyota has launched the RAV4 plug-in hybrid in the UAE in two all-wheel-drive trims at AED154,900 and AED169,900 (USD42,200 and USD46,300). On the same day AGMC opened pre-orders for the Geely Monjaro EM-i at AED130,900 to AED149,900 (USD35,600 to USD40,800), quoting up to 116 km of electric range under WLTP.

Our thoughts A mainstream Japanese brand and a Chinese rival now offer plug-in hybrid SUVs within a few thousand dollars of each other, giving Gulf distributors a clear price benchmark for the segment.

GCC Market

UAE cuts November pump prices after October's rise

The UAE Fuel Price Committee has lowered prices for November: Super 98 falls to AED4.16 a litre from AED4.40, Special 95 to AED4.04 from AED4.28 and diesel to AED4.75 from AED4.80. October prices had risen by about 16% with Brent crude above USD100 a barrel.

Our thoughts Monthly swings in UAE pump prices keep running costs in the sales conversation, which favours hybrids and plug-in models over conventional petrol cars.

Middle East Launches

Chery-backed Freelander plans 11 Middle East markets, including Oman

Freelander International, the brand backed by Chery, says it will enter 11 Middle East markets, including Saudi Arabia, the UAE, Kuwait, Qatar, Bahrain and Oman, with a full roll-out in the first half of 2027. Al Tayer Motors and Premier Motors will represent it in the UAE, where the Freelander 8 is due in the first quarter of 2027. Partnership agreements for Bahrain and Oman were signed in October; the partners were not named.

Our thoughts A new Chinese-backed brand with an as-yet unnamed Omani partner will shift at least one local distributor's line-up in 2027; how quickly it builds a showroom and service network will decide how fast it can compete.