By Wu Siya

 

BEIJING, Nov. 28 (China Economic Net) – "Xpeng and Ali & Sons Holding LLC held a launch conference for the G6 and G9 models in Dubai, marking our entry into the UAE market, which is also an important milestone in our layout in the Middle East," a marketing manager of Chinese NEV pioneer XPeng told the China Economic Net at ongoing 2nd China International Supply Chain Expo (CISCE).

 

So far, Xpeng and GSM, a subsidiary of Ali & Sons Holding LLC, have quickly established a sales channel in the UAE. According to the plan, the two parties will open another store in Abu Dhabi next year.

 

 

As early as two months ago, another Chinese new energy giant BYD and its partner Al-Futtaim held a flagship store opening ceremony on Sheikh Zayed Avenue in Dubai. The flagship store, which covers an area of more than 1,100 square meters, also made a local debut of luxury SUV Yangwang U8. According to this NEV giant, it will be officially launched in the UAE market in 2025.

 

"We are going to open new stores in Abu Dhabi, Al Ain and Ras Al Khaimah by the end of the year," a staff introduced.

 

The reporter learned at the booth that with the improvement of environmental awareness and government subsidies for electric vehicles, an increasing number of UAE consumers have begun to pay attention to environmentally friendly cars, especially electric models with advanced smart technology, which are favored by the younger generation. It is estimated that by 2035, local electric vehicle sales will exceed 110,000 units.

 

At the same time, the market share of Chinese auto brands in the UAE has continued to increase, reaching 12%. In addition to the above two, many Chinese auto brands such as Geely, Changan, Haval, Great Wall, etc. have entered the UAE market, with Geely has even entered the top 10 of the UAE auto brand rankings in August.

 

"The entry of Chinese NEVs into the UAE market provides our consumers with more comprehensive choices. Chinese car companies can drive the common development of the UAE’s related market in terms of supporting infrastructure construction such as charging piles and service networks, killing two birds with one stone. Why not?" Shahid, a local scholar, said in the interview.

 

According to the latest data from Bain Consulting, the UAE temporarily leads the Middle East countries with a 3% electric vehicle ownership rate, while other countries are 1% or even lower, all of which shows that the Middle East new energy vehicle market is still in its infancy and contains many opportunities. It is estimated that the UAE hybrid and pure electric vehicle market size is expected to grow to USD 5.19 billion by 2029.