Irfan Tansel, CEO of Al Masaood Automobiles. Picture: Al Masaood Automobiles
Irfan Tansel, CEO of Al Masaood Automobiles. Picture: Al Masaood Automobiles
Irfan Tansel, CEO of Al Masaood Automobiles. Picture: Al Masaood Automobiles
Irfan Tansel, CEO of Al Masaood Automobiles. Picture: Al Masaood Automobiles

Why Middle East consumers stand to gain from global automotive shifts



Recent waves of US-led tariffs on automotive imports - especially those targeting European, Japanese, South Korean and Chinese automakers - are triggering seismic changes in global automotive supply chains. But few regions remain as insulated and opportunistic as the Middle East automotive market.

While trade tensions ripple across North America, Europe, and Asia, the Middle East emerges as an unlikely beneficiary - particularly for its consumers.

Global shake-up, regional advantage

Why? Because the Middle East has not responded in kind. While the US has imposed tariffs, the Middle East has maintained a largely open trade stance. As a result, this region becomes a critical alternative destination for global automakers looking to offload excess production and maintain factory utilisation rates.

For consumers in the UAE, Saudi Arabia and the wider region, this means better availability, more choice and potentially lower prices - particularly in the luxury and mass-market segments.

Japanese and South Korean recalibration

Japanese brands dominate the Middle East automotive landscape, accounting for up to 60 per cent of all vehicle sales in key markets. If tariffs restrict their competitiveness in the US - a 15 million vehicle market versus the Middle East’s 1.5 million - they will need to pivot aggressively to other export destinations. The Middle East, with its absence of trade barriers, becomes a natural recipient of this pivot.

South Korean manufacturers face a similar calculus. As global trade constraints narrow their traditional pathways, competition in the Gulf region will only intensify. This sets the stage for a consumer-friendly market where automakers compete not only on quality, but increasingly on pricing and availability.

Luxury cars: From waiting lists to immediate delivery?

Traditionally, new luxury models were prioritised for western markets, especially the US. That may now change.

For European automakers, softening demand in North America due to tariffs could result in redirected stock to the Gulf - particularly the UAE, where luxury cars represent 13 pre cent of the market.

This shift could resolve long-standing supply issues in the region, reducing wait times and even bringing price moderation in the premium segment.

Impact on North American vehicle production

The imposition of tariffs between the US, Canada and Mexico presents additional complexities. When the US applies tariffs on Canadian or Mexican components, it drives up the cost of manufacturing for American brands, ultimately leading to higher prices for cars produced in North America. Though these price rises do not directly affect the Middle East due to the region’s tariff-free policies, they could make American vehicles pricier, making them less competitive in the Gulf compared to European, Japanese, South Korean or Chinese alternatives.

For consumers in the Middle East, this means American brands may experience a rise in pricing as the additional production costs are passed down the supply chain. The knock-on effect will likely cause a shift in the purchasing preferences of customers, as they gravitate toward manufacturers unaffected by such tariffs, further benefiting non-American global brands operating within the region.

China’s quiet domination

Perhaps the most profound transformation is the meteoric rise of Chinese automotive brands in the Middle East. In just five years, their market share has surged from less than 1 per cent to more than 20 per cent in 2024. This is not just a statistic - it’s a signal.

With Chinese manufacturers largely blocked from US and European markets due to previous and new tariffs and protectionist policies, they have turned east and south - to Asia, Africa, South America and, crucially, the Middle East.

Armed with ultra-modern factories, rapid model development cycles of 2-3 years versus 6–7 for legacy brands, and aggressive pricing strategies, Chinese automakers are redefining the competitive landscape. And because they face no local tariffs, their ability to undercut rivals is unmatched.

The hidden cost: A new challenge for dealerships

While consumers stand to gain, the picture is more complex for regional automotive businesses. Increased competition, oversupply, and price deflation could strain dealer margins and business sustainability.

Dealers and distributors will need to adapt quickly, focusing on efficiency, innovation, after-sales excellence, and digital transformation. Those who cling to outdated models risk being swept aside by the very forces that are benefiting the consumer.

A rare moment of leverage

For Middle Eastern consumers, these shifting global dynamics represent a rare window of opportunity. More cars, better prices, and improved access to luxury and cutting-edge technology—without the baggage of trade wars or retaliatory tariffs.

For industry leaders, however, this is a moment of recalibration. The region’s open trade policy is attracting global attention, but success will depend on navigating this new, ultra-competitive environment with clarity, speed, and strategic foresight.

The automotive future of the Middle East will be shaped not in Washington, Brussels, or Beijing - but on the showroom floors of Abu Dhabi, Riyadh and Dubai.

The bio

Favourite book: The Alchemist by Paulo Coelho

Favourite travel destination: Maldives and south of France

Favourite pastime: Family and friends, meditation, discovering new cuisines

Favourite Movie: Joker (2019). I didn’t like it while I was watching it but then afterwards I loved it. I loved the psychology behind it.

Favourite Author: My father for sure

Favourite Artist: Damien Hurst

New Zealand squad

Tim Southee (capt), Trent Boult (games 4 and 5), Colin de Grandhomme, Lockie Ferguson (games 1-3), Martin Guptill, Scott Kuggeleijn, Daryl Mitchell, Colin Munro, Jimmy Neesham, Mitchell Santner, Tim Seifert, Ish Sodhi, Ross Taylor, Blair Tickner

Terminator: Dark Fate

Director: Tim Miller

Starring: Arnold Schwarzenegger, Linda Hamilton, Mackenzie Davis 

Rating: 3/5

RESULTS

1.45pm: Maiden Dh75,000 1,200m
Winner: Lady Parma, Richard Mullen (jockey), Satish Seemar (trainer).
2.15pm: Maiden Dh75,000 1,200m
Winner: Tabernas, Connor Beasley, Ahmed bin Harmash.
2.45pm: Handicap Dh95,000 1,200m
Winner: Night Castle, Connor Beasley, Satish Seemar.
3.15pm: Handicap Dh120,000 1,400m
Winner: Mystique Moon, Sam Hitchcott, Doug Watson.
3.45pm: Handicap Dh80,000 1,400m
Winner: Mutawakked, Szczepan Mazur, Musabah Al Muhairi.
4.15pm: Handicap Dh90,000 1,800m
Winner: Tafaakhor, Sandro Paiva, Ali Rashid Al Raihe.
4.45pm: Handicap Dh80,000 1,950m
Winner: Cranesbill, Fabrice Veron, Erwan Charpy.

The%20Roundup
%3Cp%3EDirector%3A%20Lee%20Sang-yong%3Cbr%3EStars%3A%20Ma%20Dong-seok%2C%20Sukku%20Son%2C%20Choi%20Gwi-hwa%3Cbr%3ERating%3A%204%2F5%3C%2Fp%3E%0A
ELIO

Starring: Yonas Kibreab, Zoe Saldana, Brad Garrett

Directors: Madeline Sharafian, Domee Shi, Adrian Molina

Rating: 4/5

MATCH INFO

Osasuna 1 Real Madrid 4
Osasuna: García (14')
Real Madrid: Isco (33'), Ramos (38'), Vázquez (84'), Jovic (90' 2)

Closing the loophole on sugary drinks

As The National reported last year, non-fizzy sugared drinks were not covered when the original tax was introduced in 2017. Sports drinks sold in supermarkets were found to contain, on average, 20 grams of sugar per 500ml bottle.

The non-fizzy drink AriZona Iced Tea contains 65 grams of sugar – about 16 teaspoons – per 680ml can. The average can costs about Dh6, which would rise to Dh9.

Drinks such as Starbucks Bottled Mocha Frappuccino contain 31g of sugar in 270ml, while Nescafe Mocha in a can contains 15.6g of sugar in a 240ml can.

Flavoured water, long-life fruit juice concentrates, pre-packaged sweetened coffee drinks fall under the ‘sweetened drink’ category
 

Not taxed:

Freshly squeezed fruit juices, ground coffee beans, tea leaves and pre-prepared flavoured milkshakes do not come under the ‘sweetened drink’ band.

Bombshell

Director: Jay Roach

Stars: Nicole Kidman, Charlize Theron, Margot Robbie 

Four out of five stars 

The specs

Engine: 2.0-litre 4-cyl turbo

Power: 247hp at 6,500rpm

Torque: 370Nm from 1,500-3,500rpm

Transmission: 10-speed auto

Fuel consumption: 7.8L/100km

Price: from Dh94,900

On sale: now

Fines for littering

In Dubai:

Dh200 for littering or spitting in the Dubai Metro

Dh500 for throwing cigarette butts or chewing gum on the floor, or littering from a vehicle. 
Dh1,000 for littering on a beach, spitting in public places, throwing a cigarette butt from a vehicle

In Sharjah and other emirates
Dh500 for littering - including cigarette butts and chewing gum - in public places and beaches in Sharjah
Dh2,000 for littering in Sharjah deserts
Dh500 for littering from a vehicle in Ras Al Khaimah
Dh1,000 for littering from a car in Abu Dhabi
Dh1,000 to Dh100,000 for dumping waste in residential or public areas in Al Ain
Dh10,000 for littering at Ajman's beaches 

If you go...

Etihad flies daily from Abu Dhabi to Zurich, with fares starting from Dh2,807 return. Frequent high speed trains between Zurich and Vienna make stops at St. Anton.

UAE currency: the story behind the money in your pockets
UAE currency: the story behind the money in your pockets
Biography

Favourite Meal: Chicken Caesar salad

Hobbies: Travelling, going to the gym

Inspiration: Father, who was a captain in the UAE army

Favourite read: Rich Dad Poor Dad by Robert Kiyosaki and Sharon Lechter

Favourite film: The Founder, about the establishment of McDonald's

ENGLAND TEAM

England (15-1)
George Furbank; Jonny May, Manu Tuilagi, Owen Farrell (capt), Elliot Daly; George Ford, Ben Youngs; Tom Curry, Sam Underhill, Courtney Lawes; Charlie Ewels, Maro Itoje; Kyle Sinckler, Jamie George, Joe Marler
Replacements: Luke Cowan-Dickie, Ellis Genge, Will Stuart, George Kruis, Lewis Ludlam, Willi Heinz, Ollie Devoto, Jonathan Joseph

Updated: May 20, 2025, 12:04 PM`