Khazaen Economic City has signed a landmark agreement with the Chinese Spruce Group to establish a state-of-the-art center for car assembly and production.
This strategic partnership between Khazaen Economic City-Spruce Group underscores the city’s growing appeal to foreign investment and aligns with the goals of Oman’s ‘2040 Vision,’ aimed at diversifying the economy and boosting the automotive and advanced technology sectors.
The new facility is set to play a key role in enhancing Oman’s industrial capabilities and fostering sustainable economic growth.
In line with global sustainability trends, the facility will focus on producing electric and hybrid vehicles, adhering to environmental sustainability standards. The initiative is also designed to target the Middle East and Africa markets, further strengthening the presence of Omani-made products in both regional and international markets.
The project will contribute to providing training opportunities coupled with employment by training 20 Omani citizens in the first phase of operation to build local capabilities and transfer knowledge and modern technologies.
The new project will support the establishment of an integrated industrial system for the automotive supply industries, including the production of spare parts and vehicle accessories such as spark plugs, oil filters, and others, to enhance the Sultanate of Oman’s position as a producing and exporting country under the slogan ‘Made in Oman.’
The center is expected to have a production capacity of between 2,899 and 3,218 vehicles per year, reflecting the scale of the project’s industrial ambition and its role in supporting the gross domestic product, as per the statement.
Khazaen Economic City is an ideal location for establishing this unique project, due to its advanced infrastructure and strategic location, which enables it to serve as a logistics platform for exporting cars to regional and international markets.
