Abu Dhabi investment office backs Motherson’s new auto components facility in KEZAD

The Abu Dhabi Investment Office (ADIO) has announced support for a major automotive components facility by Samvardhana Motherson International Limited. This project aims to strengthen Abu Dhabi’s advanced manufacturing sector and boost non-oil exports.

Key Highlights

• ADIO supports Motherson's new automotive components facility in KEZAD, Abu Dhabi
• The project will create over 1,000 jobs across technical and corporate roles
• The facility will serve as a regional manufacturing and export hub for automotive parts
• Construction is underway with phased development on 87,652 square metres of land

Project Details and Strategic Goals

On May 6, 2026, ADIO confirmed its backing for Motherson’s new manufacturing hub in Khalifa Economic Zones Abu Dhabi (KEZAD). The facility will produce a variety of automotive components for Motherson’s global operations and third-party original equipment manufacturer (OEM) clients. It will serve as a regional manufacturing and export base once fully operational.

The facility is being developed in phases on a land plot of about 87,652 square metres within KEZAD. Construction has already started, indicating progress beyond the planning stage. The phased approach suggests the facility will gradually increase capacity over time.

Motherson’s product portfolio includes wiring harnesses, polymer components, mirrors, and other vehicle parts for major automakers. The announcement did not specify which products will be made at the Abu Dhabi site. The facility will use Abu Dhabi’s logistics infrastructure, including port and freight services from AD Ports Group, to reach regional and international markets efficiently.

Economic Impact and Workforce Development

The project is expected to create over 1,000 jobs in technical, engineering, manufacturing, and corporate roles. ADIO highlighted that the initiative aligns with Emiratisation, the UAE’s policy to increase Emirati participation in the private sector. The facility will also support knowledge transfer and skill development in advanced manufacturing, a key focus in Abu Dhabi’s industrial strategy.

This partnership reflects Abu Dhabi’s ongoing efforts to diversify its economy and attract high-value industrial investments. The automotive supply chain requires precision and quality, marking a step forward in the emirate’s industrial sophistication. KEZAD, managed by Abu Dhabi Ports, offers industrial land, utilities, and logistics infrastructure for large-scale manufacturing and export-oriented production.

Background and Company Information

Motherson first disclosed its plans for the UAE hub in a stock exchange filing on May 29, 2025. The May 6, 2026, announcement marks the formal public acknowledgment of ADIO’s support, with construction already underway. Samvardhana Motherson International Limited notified the National Stock Exchange of India and BSE of the ADIO press release as part of its disclosure obligations.

ADIO is a government entity tasked with attracting and enabling investment in priority sectors for Abu Dhabi’s economic development. Its focus includes advanced manufacturing, which underpins its collaboration with Motherson.

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CarBike 360 Says

The collaboration between ADIO and Motherson marks a significant step toward strengthening Abu Dhabi’s position as a global automotive hub. By fostering advanced manufacturing and attracting leading players, KEZAD continues to drive industrial growth. This strategic investment not only enhances regional supply chains but also underscores the UAE’s commitment to innovation, economic diversification, and long-term industrial development.