Omani automotive manufacturer Karwa Motors has marked a significant milestone, producing and supplying approximately 900 vehicles to the local market in 2025. The achievement underscores the company’s central role in Oman’s strategic push to establish a robust domestic automotive industry, diversify its economy, and reduce its reliance on vehicle imports.
Dr. Ibrahim bin Ali al Balushi, Chief Executive Officer of Karwa Motors, stated that the accomplishment reflects the company’s strategy to build a national automotive industry capable of meeting local demand while supporting industrial diversification.
Powering Diverse Sectors
The bulk of the production consisted of 822 school buses delivered as part of the national school vehicle replacement programme, ensuring compliance with international safety standards and approved local regulations.
Beyond education, Karwa Motors supplied 100 buses to various public and private sector entities, providing integrated transport solutions for corporate and mass transit operations. The company also demonstrated its specialized manufacturing capabilities by delivering 30 buses specifically designed for the oil and gas sector, meeting the stringent safety standards set by Petroleum Development Oman (PDO).
According to Dr. Al Balushi, these deliveries showcase a growing confidence in locally manufactured vehicles and highlight the capability of Omani industry to deliver high-quality, tailored transport solutions.
Forging Local Supply Chains
To further strengthen the domestic industrial ecosystem, Karwa Motors has signed four cooperation agreements with Omani companies. These partnerships are designed to develop an integrated local supply network covering industrial components, technical services, and logistics.
The agreements aim to significantly increase local content in Karwa’s products, enhance manufacturing efficiency, and provide opportunities for national companies to integrate into specialized industrial value chains.
Shahla bint Salem Al Zadjali, from Procurement and Logistics at Karwa Automotive, noted that the partnerships were established after a detailed assessment of local suppliers’ capabilities. She emphasized the company’s commitment to building resilient supply chains and fostering long-term strategic relationships with qualified national firms.
Driving Towards Oman Vision 2040
These strategic initiatives are a core component of Karwa Motors’ phased plan to localize knowledge, transfer technical expertise, and enhance the competitiveness of Omani automotive products in both domestic and regional markets. This directly aligns with the broader economic development goals outlined in Oman Vision 2040.
About Karwa Motors
Karwa Motors is a joint venture between Mowasalat Qatar, the state-owned transport company of Qatar, and the Oman Investment Authority (OIA), the sovereign wealth fund of the Sultanate of Oman. The initiative aims to be a leading brand in the bus manufacturing industry in the MENA region by developing, manufacturing, and marketing a range of buses from its state-of-the-art facility in Duqm, Oman.
Source: Zawya
