Mohammed Maktari, the new Chief Executive Officer of NIO MENA, is a man on a mission. He is aiming to make a significant impact in the electric vehicle landscape of the UAE and, indeed, the rest of the MENA region.
Speaking recently at NIO House in Abu Dhabi, Maktari showed a calm confidence, derived from over thirty-five years of experience in the automotive industry, where he has witnessed various transformational phases, from the luxury car boom to the current electric vehicle (EV) revolution.
NIO, an innovative Chinese electric vehicle manufacturer, opened its flagship 970-square-metre location on Al Maryah Island last November, marking the company’s first venture into the MENA region. The space, characterised by understated luxury and minimalist design, serves as more than just a car showroom; it aspires to embody a lifestyle akin to an exclusive members’ club. During an interview with Arabian Business, Maktari stated, “We are building the NIO network in the MENA region, starting in the capital of the UAE,” suggesting his strategic vision for the brand from the very beginning of his tenure.
One of the hallmark technologies that set NIO apart in the competitive EV market is its battery-swapping solution. Maktari mentioned that “the first Power Swap Station in MENA went operational last month in Abu Dhabi,” where drivers can replace their depleted batteries with fully charged ones in just minutes, eliminating the wait typically associated with charging. This technology aims to alleviate the range anxiety often prevalent among potential EV users, particularly in extreme climates where battery performance can be impacted.
The NIO EL8.
The growth of electric vehicles in the Gulf region serves as a notable paradox; despite its oil wealth, the region is rapidly embracing EVs, with NIO, BYD, and other Chinese manufacturers challenging Tesla’s previous dominance. Last year, Tesla held over 40 per cent market share in the UAE, but by early 2025, this number has plummeted to just 16 per cent, emphasising the rapidly changing dynamics of the market.
NIO entered the MENA market formally in October with a joint venture established alongside CYVN Holdings, a prominent Abu Dhabi investor in advanced mobility. In addition to selling vehicles, NIO’s plans include the creation of a research and development centre in Abu Dhabi focused on autonomous driving and artificial intelligence, highlighting the company’s commitment to developing a comprehensive ecosystem around electric mobility.
Maktari elaborated, “We’re not just bringing vehicles to market. We’re establishing a comprehensive ecosystem that includes R&D, charging infrastructure, battery-swapping networks, and a completely different ownership experience.” This holistic approach contrasts sharply with competitors, with NIO prioritising a premium experience and innovative technology rather than relying solely on competitive pricing or established brand recognition.
NIO House in Abu Dhabi.
Liability for traditional automotive powerhouses could shift as the automotive industry undergoes a transformation increasingly influenced by Chinese manufacturers, who have accelerated technological advancements while also securing vital supply chains needed for battery production. Maktari acknowledges that “the quality and technology of Chinese EVs today are world-class,” reflecting the shifting paradigm where previously dominant Western brands are facing growing competition from their Eastern counterparts.
NIO’s battery-swapping technology could play a critical role in furthering electric vehicle adoption in the region, especially as temperatures in the summer months regularly surpass 45°C (113°F), which can exacerbate battery degradation concerns. With plans to expand this infrastructure, NIO is not only addressing local climate issues but also attempting to replicate its successful model seen in China, where battery swapping has gained significant popularity.
As NIO capitalises on the growing demand for luxury vehicles in the MENA region, it is also participating in a broader shift towards electrification that is supported by government initiatives. The UAE has established ambitions to convert half of its government vehicle fleet to electric by 2030, with similar goals set forth by Saudi Arabia. Maktari sees these commitments as vital to NIO’s regional strategy, aligning with a leadership vision focused on sustainability and technological advancement.
Long-term, NIO’s plans involve deepening its roots in the region through a research facility in Abu Dhabi and potentially exploring manufacturing opportunities in countries like Egypt. In 2024, NIO reported total revenues of $9.01 billion, marking an 18.2 per cent increase from the previous year, which positions the company favourably within the global automotive market.
