SingAuto to build 'world's largest' commercial EV industrial district in Abu Dhabi

The facility will be one of five major manufacturing hubs globally, its chief executive says

Singapore-based SingAuto, a commercial electric vehicle maker, has received preliminary approval to build what it claims will be "the world's largest" commercial EV industrial district in Abu Dhabi, supporting the growth of the UAE's sustainable transport sector.

Construction of the district will begin after the company is granted final regulatory permission, its chief executive Chris Chen told The National in Abu Dhabi on Monday.

He declined to disclose the value of the project, which will be developed in co-ordination with local partners.

"We do think the UAE will be leading this kind of new and green energy, as well as intelligent innovation, in commercial vehicles ... we want to be more aggressive [in the UAE]," Mr Chen said.

He was speaking on the sidelines of the global launch of the company's flagship SingAuto S1, its first cold chain logistics vehicle.

Cold chain logistics covers the specialised storage and transport of temperature-sensitive goods, such as medicine, chemicals and food.

While SingAuto has already launched the S1 in China, the company plans to focus on the UAE because of the country's commitment to sustainable goals, Mr Chen said.

"We are working the same way ... the UAE and the region also want to build global standards and participate in global competition [to rank] higher in this industry," he said.

He referred in particular to Abu Dhabi's "drive for innovation" and support for companies that want to establish sustainable transport bases.

The UAE is seeking to become a leader in smart transport systems as part of efforts to boost sustainability and focus on the future economy.

In October, Abu Dhabi launched the Smart and Autonomous Vehicles Industry cluster, aimed at establishing the emirate as a major centre for the development of high-tech vehicles, and to contribute up to Dh120 billion ($32.7 billion) to the UAE's economy and generate up to 50,000 jobs.

Several local and global companies have already signed up for Savi.

SingAuto is also open to joining the cluster, Mr Chen said.

"We value the UAE as the first step to our global expansion," he said. "We are definitely open to explore more details and ... how we can co-operate at a deeper level."

Last month, the Abu Dhabi Department of Economic Development teamed up with Emirates Global Industries – Alfahim Group to establish a new industrial centre that will see the creation of a manufacturing plant for electric buses and lorries.

The Dubai Autonomous Transportation Strategy, meanwhile, has a goal of transforming a quarter of total transportation in the emirate to autonomous mode by

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  SingAuto's S1, a cold chain logistics vehicle, at the Singapore-based company's grand launch in Abu Dhabi. All photos: Victor Besa / The National

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  SingAuto has received preliminary approval to build commercial electric vehicle industrial district in the UAE capital

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  The company showcased its driverless and cold-chain technology

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  SingAuto plans to focus on the UAE because of the country's commitment to sustainable goals

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  Construction of the district will begin after the company is granted final regulatory permission

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  The S1 is SingAuto's first cold chain logistics vehicle

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  SingAuto has no plans to launch passenger EVs but aims to focus on the commercial sector

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  It plans to build five major manufacturing centres across the world, with the first in China and the second set for the UAE

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  SingAuto has already launched the S1 in China

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  The commercial EV industrial district in Abu Dhabi will be developed in co-ordination with local partners

2030. This is expected to bring Dh22 billion in annual economic revenue in a number of sectors by reducing transport costs, carbon emissions and accidents.

"The UAE has already invested a lot of money to drive this kind of innovation and energy change switching ... the government has a very clear direction," Mr Chen said.

In February, SingAuto received a $45 million investment from a UAE organisation, which Mr Chen declined to identify at this stage.

Any eventual plans to attract more investments will hinge on a "very, very mature consideration of what kind of business model" SingAuto wants to build, he said.

"This is a long term business ... I will not simply ask for money. I will see whether we have the same view of this business," Mr Chen said.

Chris Chen, chief executive of SingAuto, during the launch of the company's flagship S1 autonomous electric vehicle in Abu Dhabi on Monday. Victor Besa / The National

"We are capable to design and develop the vehicles ... [but] we should make it very clear what kind of approach [we pursue] to achieve the business objective."

SingAuto also has no plans to launch passenger EVs to rival the likes of Elon Musk's Tesla Motors, and would rather focus on the commercial sector, Mr Chen said.

It plans to build five major manufacturing hubs across the world, with the first two now in China and the UAE.

The remaining three would be in Europe, South-east Asia and the US or Mexico, giving the company intercontinental coverage, Mr Chen said.