Autoworld Drives Bajaj Expansion with AED 45 Million Jafza Hub

Arabian Post

5 days ago

Autoworld International FZCO is investing AED 45 million to construct a 162,000 sq ft logistics and assembly hub in Dubai's Jebel Ali Free Zone, aiming to strengthen its distribution of Bajaj two‑ and three‑wheelers across the Middle East and Africa. Slated for completion by 2026, the facility will incorporate an assembly line for motorcycles and auto‑rickshaws, alongside dedicated storage for spare parts, tyres and lubricants.
The hub also positions the company to introduce new products via partnerships with global manufacturers, reinforcing Autoworld's role as a premier Bajaj distributor in the region. Since establishing operations in Jafza in 2008, the company has leveraged the free zone's infrastructure to serve more than 25 countries.
Industry analysts highlight robust growth in the global two‑ and three‑wheeler market, driven by urbanisation, e‑commerce and demand for affordable last‑mile mobility. Africa's motorcycle sector alone is expected to expand at nearly 5 percent annually.
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Autoworld director Vishal Kumar Lakhani described the initiative as 'a major step forward in our growth strategy', praising Jafza's connectivity, infrastructure and business‑friendly environment. Abdulla Al Hashmi, Chief Operating Officer at DP World GCC, noted the expansion affirms Jafza's status as an integrated trade and logistics ecosystem hosting over 940 automotive companies from 88 countries, with AED 102 billion in automotive trade processed last year.
Beyond providing a regional nerve centre, the project is projected to create more than 100 direct and indirect jobs, and bolster the UAE's role as a logistics and mobility hub. High‑volume assembly and storage capabilities will better serve rising demand for Bajaj's fuel‑efficient vehicles in the MEA markets.
Autoworld's strategic anchor in Jafza reflects broader trends in the UAE's economic diversification efforts. Situated across 57 sq km adjacent to Jebel Ali Port and Al Maktoum International Airport, Jafza contributes roughly 21 percent of Dubai's GDP and supports more than 144,000 jobs. DP World's vision to expand automotive trade workflows in the region aligns tightly with this investment, which dovetails with plans for the world's largest car market in Dubai.
The timing corresponds with Bajaj Auto's reported surge in exports: the manufacturer recorded a 20 percent year‑on‑year increase in two‑wheeler exports in May 2025, while commercial vehicle exports rose by 37 percent year‑on‑year. These figures highlight strong global demand for Bajaj vehicles and validate Autoworld's investment in enhanced regional capacity.
As urban centres across Africa and the Middle East evolve, an increasing number of consumers and enterprises are turning to motorcycles and auto‑rickshaws for cost‑effective, fuel‑efficient transport. Analysts say the segment is increasingly central to the expansion of last‑mile delivery networks and informal urban mobility.
Autoworld's new Jafza hub will also support the launch of fresh Bajaj models in the near future, supplied through collaborations with international manufacturers. While specific products have not yet been disclosed, the facility's inclusion of tyre and lubrication storage suggests support for diverse vehicle categories.
Over the past 16 years, Autoworld has distributed Bajaj products across more than 20 countries in Africa and the Middle East, establishing itself as a leading distributor on the continent. The forthcoming expansion affirms this leadership and aligns with structural trends in regional trade logistics.