Dubai, United Arab Emirates, 11 June 2019: According to the Dubai Chamber of Commerce and Industry, Dubai’s automotive sector is poised for growth and is expected to increase by 35 per cent between 2017 and 2021 due to the spare parts and accessories market.
A key player in the automotive sector, Diesel Technic (ME) FZE is manoeuvring itself to capitalise on this advancement. The German-headquartered group has 41,000 products covering the full range of automotive parts and accessories and has been a leading player in the GCC’s automotive and spare parts and accessories sector since 1995.
Diesel Technic, however, has not been alone in building its brand in the Middle East. Since its inception in the region, the company has received ample support from Jebel Ali Free Zone (JAFZA) by utilising the free zone’s holistic ecosystem and trade network, catering to its distribution partners and workshop customers in the Middle East and Africa.
Upon starting its operations at JAFZA, the business has prospered from AED 2 million to AED 290 million. A company spokesperson states “We always received the highest support from JAFZA”.
In addition, Diesel Technic has expanded operations covering Kuwait, Syria, Libya, Iran, Iraq, Oman and Yemen. Furthermore, they are now present in Kenya, Zimbabwe, Zambia, Angola and several other countries in Africa.
Dirk Heibel, General Manager, Diesel Technic (ME) said, “We see tremendous potential for the UAE’s automotive sector, and we intend on leveraging the strong trade ecosystem DP World has created with Jebel Ali Port and JAFZA to enhance our access to markets across the region. We also intend on working closely with the free zone to further strengthen Dubai’s automotive and spare parts and accessories trade.”
In 2012, the company sought JAFZA’s assistance in leasing a neighbouring plot, to expand its facility by building a new office building and warehouse from where it operates now.
Due to the availability of products, state-of-the-art storage technology and tailor-made logistics solutions, Diesel Technic ensures a fast and reliable supply of spare parts to distribution partners and their workshop customers, increasing productivity and minimising vehicle downtime.
DP World’s Jebel Ali Port and JAFZA have created a hub for the automotive transport and spare parts sector in the Middle East. According to Mohammed Al Muallem, CEO and Managing Director, DP World UAE Region, as an enabler of global trade, DP World helps “customers manage the complexities and reduce the costs of the global supply chain.”
He also states that “The Jebel Ali hub provides comprehensive capability and competence to companies to offer a customised platform and logistics solution.”
The integrated automotive logistics facilities offer a wide range of services such as automobile storage, parts and aftermarket logistics, distribution and transportation management, inventory management and value-added services (including picking and sorting, packaging and labelling, palletisation, pre-delivery inspection, and accessorisation). It also enables reverse logistics, customs brokerage, freight forwarding by land, sea and air, and modal conversion, from RoRo to container.
Dubai is the region’s automotive hub where all of the top global players are present. This includes the likes of Bridgestone, GM, Honda, Mitsubishi, Daimler, Audi, Michelin, Caterpillar, Toyota, Tesla, Mercedes Benz, Ford, Scania, Volvo, Isuzu, Exide and Sumitomo, among others.