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In the deserts of the Middle East, a green revolution from the East is quietly unfolding. Chinese new energy vehicle brands are no longer content with the internal competition of the domestic market; instead, they are turning their attention to the oil-rich Middle East, sowing the seeds of electrification in this traditional land of fuel vehicles.On September 8 in Germany, at the 2025 Munich International Motor Show, the AITO brand made its overseas debut with the global models M5, M8, and M9, marking the official launch of the brand's deep engagement in the Middle East market.
All three new cars have passed the UAE market access certification and have been deeply optimized in terms of smart cabins and hardware performance to cater to the characteristics of the Middle Eastern market. Following this, Avita Technology signed a national agency agreement with the Kuwaiti automotive dealer group Alghanim Sons Group in Munich, marking another strategic move for Avita in the Middle Eastern region.At the 2025 Munich International Motor Show, the AITO brand showcased its cutting-edge technology capabilities and global strategic blueprint to the world. The AITO booth premiered three new models, the AITO 9, AITO 7, and AITO 5, which have been deeply localized for the Middle Eastern market. Sirius Automobile President He Liyang stated that this appearance marks an important milestone in AITO's global strategy. With technical innovation and market acceptance, the brand has established a unique positioning of 'new luxury' in the era of intelligence. At the same time, Avita Technology is also accelerating its layout in the Middle Eastern market. After entering the markets of the UAE, Qatar, Jordan, and Egypt, Avita has reached a cooperation agreement with the Kuwaiti automotive dealer group Alghanim Sons Group. The two parties plan to achieve local brand launch and vehicle delivery in early 2026.
Localization adaptation is key.
In response to the special natural environment of the Middle East market, Chinese new energy vehicle brands have conducted in-depth local development. The AITO series models have been deeply optimized in areas such as smart cockpits and hardware performance. All three models support multilingual interaction in Chinese, English, and Arabic, and have integrated into the local digital ecosystem. On the hardware level, the vehicles have enhanced performance to withstand extreme conditions such as high temperatures and sandstorms, ensuring compliance with local regulations while improving the user experience. For example, the Wenjie M5's smart driving system has upgraded to 192-line LiDAR and 4D millimeter-wave radar, adding omnidirectional collision avoidance and automatic emergency steering functions for active safety, while the comfortable braking system and red caliper design further highlight the sporty characteristics.。
Avita Technology also recognizes the importance of localization. The ASG Group's experience in the automotive field will help Avita adapt to the preferences of Kuwaiti consumers, such as vehicle adaptability adjustments for high-temperature desert environments and the layout of localized charging infrastructure.
Diversified Overseas Expansion Models
Chinese new energy vehicle brands have adopted a diversified approach to going overseas in the Middle East market. The AITO brand directly demonstrates its technological strength and product advantages by participating in international auto shows and obtaining local certifications. On the other hand, Avita mainly adopts a 'borrowing a ship to go to sea' model by cooperating with top local dealers to reduce upfront investment risks. This cooperation model reflects Avita's 'light asset overseas strategy': by partnering with local dealers, it lowers the costs and risks of direct investment while accelerating market penetration. Additionally, some companies, such as Lufada Motors, focus on the export service field for new energy vehicles, establishing a comprehensive service system covering pre-sale, in-sale, and after-sale services. They have set up experience centers in Dubai and Riyadh, offering 7-day in-depth test drive services and developing an AR car viewing system to support remote custom configurations.
Market competition landscape
The Saudi new energy electric vehicle market presents a competitive landscape of "strong international brands and rising local brands." In terms of overall vehicle sales, Tesla remains at the forefront of the market, accounting for about 27% market share due to the excellent cost performance and brand influence of the Model 3 and Model Y.
BYD has been performing impressively since entering the Saudi market in 2024, especially with its Seal and Yuan PLUS models being popular among middle-class families, increasing its market share to about 15%. Traditional luxury brands like BMW and Mercedes-Benz maintain around 10% market share relying on their high-end electric models. Among local brands, Lucid Motors has been stable in the luxury pure electric sector, capturing about 7% of the high-end market, particularly favored by high-net-worth individuals. Ceer, a local brand invested by the Saudi sovereign fund PIF, quickly opened up the market after launching its first mass-produced model in 2025, expecting to achieve a market share of over 5% within the year.
Challenges and opportunities coexist.
Chinese new energy vehicle brands face numerous challenges in the Middle East market. The international market is highly competitive, with giants like Tesla and BYD already having a head start. Cultural differences may lead to difficulties in brand adaptation. The globalization of the supply chain increases complexity; geopolitical factors such as trade barriers could impact progress. High summer temperatures may affect battery performance, requiring product adaptation. But the opportunities are equally immense. The Middle East has traditionally relied on fuel vehicles, but in recent years, the penetration rate of electric vehicles has gradually increased, supported by government policies for a green transition. The region has high per capita income and a significant share of luxury vehicles, which aligns well with the positioning of high-end Chinese electric vehicle brands such as Avita. The Saudi government includes the development of the electric vehicle industry as a core issue in its 'Vision 2030', proposing that by 2030, 30% of vehicles in Riyadh will be electrified. This goal is one of the earliest timelines for promoting electric vehicles in the Middle East, providing vast market space for Chinese brands.
Future Outlook
As governments in the Middle East promote green transformation and sustainable development, Chinese new energy vehicle brands have broad prospects in this market. Avita plans to enter over 50 countries globally by 2025 and establish more than 160 sales outlets. By 2030, Avita aims to further increase the number of countries covered, with overseas sales accounting for more than 50% of total sales, establishing a world-class new luxury brand. The Saudi government plans to promote over 30% electrification of new vehicles in Riyadh before 2030, and this goal is being gradually implemented. Several major cities have introduced special plans for the development of new energy vehicles and are planning to build thousands of public and private charging network nodes.
The development of Chinese new energy vehicle brands in the Middle East market is transforming from "product export" to "ecosystem export." In the future, not only will Chinese-manufactured electric vehicles drive through the streets and alleys of the Middle East, but Chinese technology, Chinese services, and Chinese standards will also deeply participate in the region's green transportation transformation. Chinese new energy vehicle brands are carving out new paths in the Middle East, a market traditionally dominated by fuel vehicles. Through deep localization adaptation, cooperation with local dealers in a win-win model, and continuous technological innovation, Chinese brands are gradually gaining recognition among Middle Eastern consumers. In the face of competition from international brands like Tesla, Chinese new energy vehicles are finding their position in the Middle East market thanks to their intelligence, luxury feel, and localization capabilities. The global strategy of the Chinese automotive industry, transitioning from fuel vehicles to electric vehicles and from product exports to ecosystem exports, is being tested in the Middle East market and providing replicable experiences for the exploration of other markets.
