In a significant move toward sustainable industrial growth, Oman signs a $250M deal with South Korea’s EL B&T to establish an electric vehicle (EV) and battery cell manufacturing facility at the Special Economic Zone at Duqm (SEZAD). This landmark agreement reflects the Sultanate’s strong commitment to green industrialization and economic diversification.
Project Overview and Investment Details
The Oman Signs USD 250 Million deal involves an investment of approximately RO 96.2 million and will be executed in two phases. Once fully operational, the facility is expected to produce up to 60,000 electric vehicles annually and around 1.6 million battery cells. Phase I will cover an area of 467,000 square meters, with an additional 429,000 square meters allocated for Phase II expansion.
Strengthening Oman’s Green Industry Vision
Officials highlighted that Oman’s signing a $250M deal aligns closely with Oman Vision 2040 and the country’s carbon neutrality goals. The project aims to localize advanced EV manufacturing technologies, strengthen supply chains, and attract further investments in green industries. It will also enhance Duqm’s growing ecosystem, which already includes wind turbine manufacturing and automotive projects like Karwa Motors.
Production Timeline and Market Expansion
Commercial production is expected to begin by March 2028. Initially, the facility will cater to the domestic market, with plans to expand exports to GCC, Middle Eastern, and North African regions. The company also plans to power operations through a dedicated green energy station, ensuring environmentally sustainable production.
Strategic Importance of Duqm SEZ
Oman signs a $250M deal, further reinforcing Duqm’s position as a regional hub for sustainable and innovation-driven industries. Its strategic location, advanced infrastructure, and investor-friendly policies make it an ideal destination for large-scale industrial projects.
Overall, this initiative marks a transformative step in Oman’s journey toward becoming a leader in electric mobility and green manufacturing.
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