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Wednesday, January 26, 2022
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Why local manufacturing is good for fleet buyers

Last month, UAE-based heavy equipment manufacturer Bion Industrial launched three new tippers, designed, developed and built entirely in the Emirates.

Although Bion Industrial – part of the Bion Group established in 2007 – has maintained a fairly low profile thus far, the launch event was a way of announcing its presence to the industry. And with construction and infrastructure projects gaining even more momentum in the GCC, it’s obvious that there’s a large and booming market, even for a relatively new company to tap into.

What’s also interesting about the launch is that it signifies the steady growth of the UAE’s manufacturing and industrial capabilities. As the country looks to diversify its economy, manufacturing is set to play a key role. Its contribution to the UAE’s GDP is expected to increase from the current 11% to a quarter of the total by 2025.

The growth of the manufacturing sector is clearly visible around the GCC as well, with heavy vehicle OEMs now leveraging the advantages of having production and assembly facilities in the region. The Volvo Trucks joint venture has now begun assembly at its new facility in Saudi Arabia.

These are encouraging developments for fleet buyers. After all, not only are local manufacturing and assembly companies more responsive to the demands of the local market, it suggests that a strong service offering will be part of the package.

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Stian Overdahlhttp://www.meconstructionnews.com
Stian Overdahl has several years experience reporting on the construction industry in the Gulf and MENA region, with a specialist view on the construction machinery and heavy vehicles industry. Stian has visited major projects in Saudi Arabia, the UAE and Qatar, as well as reporting from conferences and trade events. He has driven heavy vehicles on some of the most-demanding test tracks in the world, including working quarries, off-road test sites and racetracks. Special interests include manufacturing of vehicles and machinery and overall product design; adoption of new technologies in the construction-machinery sector such as machine control, telematics and automation; and heavy lift operations and lifting solutions.
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