Industry News

GCC Policy & trade

UAE caps residents at five registered vehicles from January 2027

New UAE traffic regulations taking effect on 1 January 2027 limit individual residents to five registered vehicles, with an extra fee per vehicle for the third, fourth and fifth; no equivalent cap is set for companies. Individually owned light vehicles that were new when first registered and are no more than six years old may be registered for two years instead of one, at the licensing authority's discretion. The rules, set by Cabinet Decision No. 174 of 2026, also bar right-hand-drive vehicles from road licensing.

Our thoughts The cap and extra fees mainly touch multi-car households rather than company fleets, while two-year registration slightly eases ownership of newer private cars.

GCC Launches

BYD's Yangwang U9 Xtreme reaches 503km/h on Abu Dhabi roads

BYD's premium brand Yangwang says its U9 Xtreme reached 503.17km/h on open public roads in Abu Dhabi, beating the 496.22km/h the same model set at Papenburg in Germany in 2025. The quad-motor car runs on a 1,200V platform producing 2,220kW (2,977hp), and no more than 30 will be built worldwide. No UAE pricing or sales plans were announced.

Our thoughts Choosing Abu Dhabi for a record attempt suggests Chinese brands now treat the Gulf as a stage for premium positioning, not only for volume models.

Global Finance & M&A

Mitsubishi Motors cuts full-year forecast, citing Middle East conflict

Mitsubishi Motors lowered its forecasts for the year to March 2027: sales to JPY2.96tn (USD18.7bn) from JPY3.26tn, operating profit to JPY70bn (USD442m) from JPY90bn and net profit to JPY10bn (USD63m) from JPY25bn, with global volume now expected at 764,000 vehicles. It pointed to weaker sales, higher fuel prices linked to the Middle East conflict and its effect on the region, low-priced Chinese EVs and rising material costs. Second-quarter operating profit still rose 77% year on year to JPY20.6bn.

Our thoughts A second Japanese maker naming the Middle East as a drag on results, after Toyota, suggests the regional slowdown is market-wide rather than specific to one brand.

Global Investment

Kia to invest KRW3tn in new EV facility at Gwangju

Kia will spend KRW3tn (USD2.21bn) up to 2029 on a new electric vehicle production facility at its AutoLand Gwangju complex in South Korea, as part of Hyundai Motor Group's KRW125.2tn five-year domestic investment plan. The site is to move beyond combustion-engine models and become a hub for software-defined and lower-emission vehicles. Kia also signed an agreement with local authorities and universities to test purpose-built vehicles and autonomous shuttles; capacity and models have not been disclosed.

Global People

Toyota names Mark Templin chief executive of North America

Toyota Motor North America has named Mark Templin, currently its executive vice-president and chief operating officer, as president and chief executive from 1 January 2027. He succeeds Ted Ogawa, chief executive since April 2020, who becomes a senior executive adviser and then, from April 2027, a Senior Fellow at Toyota Motor Corporation in Japan. Hiroshi Nambu, head of Toyota's business planning and operation division, takes over as chief operating officer from the same date.

Global Investment

Audi weighs USD3bn second phase at planned Georgia plant

Documents from the Mid-Georgia Gateway Development Authority, reported by Reuters, show Audi is assessing a USD3bn second phase with 3,000 more jobs at its planned plant near Macon. The first phase, announced in late October, is a USD4bn plant due to open in the early 2030s, building about 200,000 SUVs a year with 4,500 jobs. Audi has not confirmed the expansion; it has been seeking lower US tariffs on vehicles it imports from the EU.