Ashok Leyland has expanded in Qatar through a new distribution agreement with Al Futtaim Group’s Famco Qatar, extending the partnership that underpinned its 2024 entry into Saudi Arabia, Hindu Businessline reports. The tie-up brings Falcon and Oyster buses as well its truck range to the Qatari market, backed by local service and fleet-support infrastructure.

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Strategic Gulf build-out: Ashok Leyland said the collaboration leverages Al Futtaim’s regional network to offer low total cost of ownership options and long-term reliability for Qatari operators. The move comes as the flagship company of Hinduja group saw a 30% y-o-y jump in export market sales to 15.3k units in FY 25, around 40% of which came from Gulf countries, the company told Business Standard.

Regional manufacturing: Leyland is exploring local partnerships to create asset-light assembly facilities similar to its 50:50 joint venture with the Ras Al Khaimah Industrial Authority in the UAE. With the Ras Al Khaimah plant already near its full 6k unit per year capacity, the company is eyeing Saudi Arabia as its next manufacturing hub in West Asia.

Why Skoda’s Saudi entry is good for India

Skoda Auto has entered Saudi Arabia through a partnership with Jeddah-based SamacoMotors of Al Nahla Group, accelerating its Middle East expansion after launches in Oman, Qatar, and the UAE, Skoda said in a statement. The company cited strong long-term demand, with annual Saudi auto sales projected to reach 1 mn vehicles by 2030. It plans to launch outlets in Jeddah and Al Khobar by year-end, followed by Riyadh in 2026.

India link: India is a key manufacturing base for exports to Saudi and Oman as well as 24 other markets. Skoda’s exports of assembled-in-India vehicles grew 20% y-o-y in 2024, representing 40% of their local production, Acko Drive writes.

India’s a rising global player: With 6k vehicle and component manufacturers, India was ranked third globally this year in terms of production, exporting 5.3 mn units in FY 25. The country’s automakers are increasing their global footprint, particularly in MENA, backed by competitive manufacturing costs, skilled labor, and a USD 3.1 bn government subsidy program.