UAE: EV maker AXL plans to set up assembly plant in UAE, creating hundreds of jobs – News

Canadian companies are looking for locations and are considering Dubai and Abu Dhabi

Ali Eslami, CEO of AXL Electric Vehicles, attends the world premiere of its new electric mid-size SUV Sharx-5 in Dubai.Photo: Supplied

Electric car maker AXL plans to set up an assembly plant in the UAE ahead of its launch next year, which will create hundreds of jobs in the country, the chief executive of electric car maker AXL said. The Canadian company recently announced the world premiere of its new electric mid-size SUV, the Sharx-5, in Dubai.

“We are aiming for a launch in the first quarter of 2024. We are also planning to build an assembly line in the UAE. We are discussing the location and will announce it soon. We are considering Dubai and Abu Dhabi,” said AXL Electric Vehicles CEO Officer Ali Eslami told Khaleej Times in an interview.

“We are very optimistic about building a factory here because the UAE is very strategic for us because of its easy access to Europe and Asia. The facility we are planning here will have a capacity of 50,000 units per year,” he said.

In the longer term, the UAE is increasingly becoming a hot market for electric vehicles, driving more sustainable transport and sustainable development.

In 2022, M Glory Group will open a Dh1.5 billion factory in Dubai Industrial City, producing 10,000 electric vehicles per year. Recently, Al-Futtaim Electric Mobility announced a partnership with Chinese company BYD and Swedish brand Polestar, with plans to build 30,000 charging stations in the country by 2030.

Additionally, public interest in EVs has escalated over the past four years. In the UAE, around 30% of residents would consider buying one because they are a better deal than a gas-powered car. This sentiment is further supported by a strong electric vehicle market.

The AXL CEO explained that the company could start production within six to nine months, depending on building and infrastructure availability.

“Setting up an assembly plant in the UAE will create hundreds of jobs and increase GDP because we will have the option to export vehicles. So it is very strategic for us to come here and have the support of the government,” he added .

The Canadian company currently has only one model and will expand its range in due course. Its Sharx-5 model is priced at $39,800 and it plans to launch it in the UAE for around the same price.

The car will feature heated and cooled seats, a full panoramic glass roof, curtains that can be closed, an app to control car functions, and 20-inch wheels, among other things.