The Middle East is fast becoming an automotive hotbed for manufacturing. It was not long ago when news broke out with Hyundai’s plans to set up shop in Saudi Arabia’s KEAC cluster and Kia pledging an initial 500 million EGP investment in a plant in Egypt. The subsequent development across the MENA region takes form in the Sultanate of Oman and takes shape with a more commercialised offering.
Through strategic partnerships and investments in local capabilities, Oman is becoming a central player in the region’s growing industrial landscape. Key players like Daimler Truck and DeepWay are now tapping into the Sultanate’s potential, marking a shift toward a diverse and export-oriented manufacturing ecosystem.
Daimler truck X Karwa Motors
Karwa Motors, located in the Special Economic Zone at Duqm (SEZAD), will now see the manufacturing of German commercial giant Daimler’s truck offerings. The move will see Mercedes-Benz bus chassis being manufactured, with Karwa Motors now holding the status of an official Daimler Buses Approved Builder, solidifying its role as a prominent manufacturer.
This move brings international recognition to the country’s manufacturing sector and lays the groundwork for future expansions in vehicle production, contributing to its growing reputation as a competitive manufacturing destination.
Who is Karwa Motors?
Karwa Motors, a joint venture between Mowasalat Qatar and the Oman Investment Authority (OIA), is expanding its presence with global partnerships. Recently, the company secured deals with international manufacturers Empl Fahrzeugwerk GmbH of Austria to produce specialised vehicles, including firefighting, civil rescue, and military trucks. By partnering with well-established global brands, Karwa Motors further strengthens its role in the automotive sector and enhances the region’s growing reputation in the worldwide market.
Innovative partnerships are the platform for economic success. Karwa Motors and Daimler trucks are not the only commercialised centric automotive manufacturing projects. Less than a month ago, Chinese manufacturer DeepWay also made its entrance into the sultanate.
DeepWay’s move into the Sultanate
DeepWay, a Chinese developer of intelligent new energy trucks, underscores Oman’s role in the Middle East’s push towards electrification. The company’s new energy trucks, designed for long-range energy efficiency and built to withstand extreme heat, are ideal for the desert conditions and heavy-duty logistics needs.
DeepWay’s trucks are equipped with intelligent technologies such as the “Tianji · Suixing” driver-assist system and “DeepWay · Tianshu” connected fleet management platform, offering integrated solutions for increased efficiency and safety in logistics operations.
A Growing Role in the Middle East’s Automotive Landscape
While being oil-rich nations, the Middle East as a whole is moving towards electric mobility, and Oman does not plan to fall behind. With a national goal of securing 35% of new vehicles registered in 2030 to be electric, partnerships like DeepWay are a step towards transitioning into zero-carbon, energy-efficient transportation.
Through strategic partnerships with global giants like Daimler Truck and DeepWay, the Sultanate is making substantial strides in MENA’s automotive sector. By investing in the infrastructure required, fostering technological exchange to boost skills, and promoting sustainability, it is positioning itself as a key player in the region’s automotive manufacturing industry.
As the Middle East strives towards becoming a green-first region, it is simultaneously strengthening its local automotive economy by fostering homegrown manufacturing. With this momentum building, the region’s next strategic move is definitely being secured with global automotive unfolding behind closed doors.
What is your prediction for the future of automotive manufacturing in the Middle East?
