The Silk Road of Tech: Chinese Giants Invade Dynamic Arab Markets, Fueling Growth in Autonomous Driving and E-Commerce

Against the backdrop of increased vitality and notable development within the Arab region's markets, recent years have witnessed a robust entry of Chinese technology companies into these growing economies. The local operations of these firms have gradually crystallized and taken root, contributing significant new economic momentum to Arab economies.

Autonomous Mobility Leadership in Dubai: Dubai stands out as a leading example in the adoption of future technologies. At the Dubai World Congress for Self-Driving Transport, held last September, authorities announced plans to establish an integrated model zone, aiming to merge multiple transportation modes into a single area. This zone is designed to serve as a global model for cities in the field of autonomous mobility. This move aligns with the city's Smart Autonomous Mobility Strategy, which targets converting 25% of all transport journeys in Dubai into self-driving trips by 2030.

The Roads and Transport Authority (RTA) in Dubai has collaborated with several leading global companies, including specialized Chinese firms, in its endeavor to become a world leader in autonomous technology applications, as reported by the Dubai Government Media Office. WeRide, one of the leading Chinese autonomous driving companies, confirmed that its fleet of self-driving vehicles has been tested in over 30 cities worldwide, expressing its full readiness to operate in Dubai. Similarly, Apollo Go, a subsidiary of the Chinese technology giant Baidu, recently announced that its weekly service requests surpassed 250,000 orders as of October 31st, all of which were autonomous driving requests. The company's operations are now widely deployed in 22 cities globally, extensively covering major hubs like Beijing, Shanghai, Hong Kong, Dubai, and Abu Dhabi.

E-Commerce and Delivery Services Expansion: Other Chinese tech companies have steadily expanded by establishing local operations in Arab markets. KeeTa, the international brand affiliated with Meituan, a Chinese leader in e-commerce and delivery services, launched its local operations in Kuwait, thus covering Saudi Arabia, Qatar, and Kuwait.

KeeTa stated that the delivery services market in the Arabian Gulf region possesses enormous growth potential. Since its official entry into the Saudi market in September 2024, KeeTa has attracted a growing number of local users by offering high-quality delivery service, leading to an increase in online orders for local restaurants. The company has now secured a spot among the top three players in terms of market share for delivery services in Saudi Arabia.

Thanks to key factors such as a technically skilled youth demographic, a strong inclination towards online shopping, advanced infrastructure, widespread internet access, and efficient delivery services, the e-commerce market continues its steady expansion in countries like Saudi Arabia and the UAE. Chinese companies have injected new momentum into this emerging sector. This contribution extends beyond Chinese e-commerce platforms like TikTok Shop and AliExpress, which have established Middle East operations, to providing new opportunities for Chinese cross-border e-commerce firms. These platforms aim to offer a convenient shopping experience and a vast product variety to win over local consumers. In Saudi Arabia, platforms like TikTok Shop have become a preferred choice for consumers' daily shopping needs.

Ride-Hailing Services in Egypt: During the 11th Conference of Chinese and Arab Businessmen and the 9th Investment Symposium under the China-Arab Cooperation Forum, Chen Nan, Vice President of Government Affairs for the Chinese ride-hailing giant DiDi, spoke about the company's progress. He explained that since its entry into the Egyptian market in September 2021, DiDi has expanded its services to 10 cities, including Cairo and Alexandria, covering 65% of Egypt's urban population, with over one million drivers utilizing the platform.

Chen Nan believes that the key to DiDi's success lies in its successful localization strategies, such as offering a negotiable car-hailing service and online two-wheeled motorcycle ride-hailing. The company has also actively supported local livelihoods, for example by providing support and incentives for drivers during Ramadan. Chen added that DiDi plans to leverage Artificial Intelligence (AI) technology and its platform advantages to improve local transport efficiency and boost the development of the tourism industry in Egypt.