UAE leads Gulf markets in global EV preparations

Dubai: The UAE has emerged as the Gulf’s highest-ranked market for electric vehicle readiness, as a new global study finds that charging networks, vehicle availability, costs and government policy are becoming just as important as the technology inside EVs.

The UAE ranked 22nd globally with a score of 53 in Arthur D. Little’s 2026 Global Electric Mobility Readiness Index (GEMRIX), according to the report released on Wednesday.

The study assessed 31 markets and found that the global shift towards electric vehicles is increasingly becoming an “ecosystem race”. In practical terms, countries need more than attractive electric cars to encourage widespread adoption.

They also need sufficient charging infrastructure, competitive ownership costs, supportive regulations, adequate vehicle choice and consumers willing to make the switch.

Electric vehicles accounted for around 9% of new vehicle sales in the UAE in 2025, according to Arthur D. Little.

Battery electric vehicles, or BEVs, represented around 6% to 8% of new sales, while plug-in hybrid electric vehicles, known as PHEVs, accounted for about 2.5%.

Charging infrastructure has also expanded. The report estimates that the UAE now has approximately 2,800 charging points, including around 1,250 DC charging points and 350 high-power charging units.

The country has set a longer-term target for electric and hybrid vehicles to make up 50% of vehicles on its roads by 2050. Dubai, meanwhile, is targeting an EV share of more than 15% of its vehicle fleet by 2030.

“The UAE’s position in GEMRIX 2026 reflects an EV market with growing visibility and a clear ecosystem direction,” said Joseph Salem, Partner and Middle East lead for the Travel, Transportation, and Hospitality practice at Arthur D. Little.

“EV adoption is gaining momentum alongside continued investment in charging infrastructure and strong long-term mobility ambitions. The opportunity now is to keep aligning infrastructure, vehicle availability and customer needs to translate this momentum into broader market scale.”

The UAE remains some distance from the world's most mature electric vehicle markets.

China topped the 2026 index with a score of 106, followed by Norway at 103. They were the only two markets to score above 100, the level Arthur D. Little uses to indicate broad market-readiness parity between electric and internal combustion engine vehicles.

Singapore ranked close behind with a score of 96, followed by the Netherlands at 90.

GEMRIX measures markets across five broad areas covering macroeconomic conditions, the EV market and competition, customer readiness, public charging infrastructure, total cost of ownership and regulation.

The findings suggest there is no single formula for increasing EV adoption.

Growth has accelerated in parts of Europe, while markets including Türkiye, Thailand, Vietnam, Indonesia and Brazil are also gaining momentum through different combinations of lower vehicle costs, charging infrastructure, government policy and domestic manufacturers.

The report also expects the transition to vary by market and vehicle type. Battery-only EVs may expand faster in some countries, while plug-in hybrids and range-extended electric vehicles could continue to act as a bridge in others.

“The world will not become 100% electric at one speed or through one pathway; winners will read each ecosystem and act before the market opportunity is obvious,” said Alexander Krug, Partner in Arthur D. Little’s Automotive & Manufacturing Goods Practice.

China illustrates how competition in the EV industry has expanded beyond individual vehicles, according to the report.

Its position combines large-scale vehicle manufacturing with battery and component supply chains, vehicle software, charging infrastructure, energy economics, incentives and regulation.

Arthur D. Little said the expansion of Chinese automakers into emerging markets also demonstrates how competitive prices, speed and products suited to local conditions can challenge established automotive brands.

“The EV race is no longer just about vehicle technology,” said Dr. Philipp Seidel, Principal in Arthur D. Little’s Automotive & Manufacturing Goods Practice.

“Chinese success shows what happens when product, manufacturing and supply chains, infrastructure, energy and policy are orchestrated as one system. Thanks to this, Chinese OEMs now increasingly dominate the global market through targeted export of not only vehicles but of full EV ecosystems.”

For the UAE, the latest ranking points to a market where EV adoption and charging availability are expanding, while considerable room remains before electric vehicles reach the level of market readiness seen in China, Norway and other leading markets.