By Manoj Nair, Associate Editor
Dubai: Indirect talks may have started to bring the electric car brand Tesla into the UAE, which involves both existing dealerships as well as potential newcomers who want to take on one of the faster emerging brands in the world. The process may kick up a gear or two with the unveiling of the Model 3, Tesla’s volume seeker with a price tag of $35,000 (Dh128,450) and a range of 215 miles.
According to a local dealer, “For a long time there was uncertainty over Tesla’s priorities and its business model, given that it had been selling direct online and had limited production. Now, they are going for full-scale dealerships (in the US) and exploring opportunities overseas and building up its manufacturing capacity. There are quite a few UAE/Gulf based dealers who could take the Tesla option forward.”
In recent years, McLaren and Aston Martin were the biggest new marque wins that local dealers could show off. (There were also a handful of representations for Chinese auto brands during the period.) If it makes it to this market, it could be the biggest spark that the electric car movement will have had. Interestingly, Tesla already has a dealership in Jordan, according to media reports from late last year. “Tesla Supercharger” stations were set up in the country.
Even without Tesla, things are looking bright for this category.
BMW had until end March sold more than 200 units of its i8 electric sportscar (priced at Dh625,000 plus) in these markets since the launch in June 2014.
“Both the i3 and i8 are available in Jordan where the government is putting a lot of emphasis on sustainability,” said Leanne Blanckenberg, BMW Group’s regional spokesperson. “[There was an] investment of $1.5 billion in 3,000 solar powered stations as well as eliminated tariffs on the import of zero-emission vehicles.
“And the Royal Court will replace its fleet of around 3,000 vehicles with electric cars over a seven-year period in a bid to inspire behavioural change. Our i3 and i8 have both been included in this change-over.”
Meanwhile, UAE-based Al Futtaim Motors has been adding hybrid options to its Lexus line-up in the UAE and, just recently, introduced the Toyota Prius (generation 4). “At every opportunity, we will keep adding a hybrid/alternate fuel option to our range,” said an AFM spokesperson. “As it is we have a committed order from Dubai Taxi for a certain number of Camry hybrids each year.”
Al-Futtaim Motors also briefly held the rights for Fisker Karma, the luxury electric carmaker, until the latter went bust in 2012. Recently, China’s Wanxiang Group confirmed it will re-launch production, under the Elux Karma name.
Electric car sales in the UAE
• With value added tax coming into effect in 2018, auto industry sources suggest exempting hybrid/alternate fuel vehicles from it could have the desired effect in boosting sales and usage.
• Dewa has already scheduled 100 electric charging stations to open. The sustainable mobility agenda has also been taken up by other government entities.