The UAE’s automotive sector wrapped up 2025 with notable developments in multiple sectors. December brought a mix of major road upgrades, headline car launches and pilot testing of next-generation mobility initiatives, reflecting how quickly the market is evolving. Together, these developments underline the direction the UAE’s automotive landscape is taking as the year comes to a close.
UAE Automotive Industry News
The UAE automotive industry news from December 2025 is as follows:
Dubai Hosted Automechanika 2025 With Over 2,400 Global Automotive Brands
Dubai hosted Automechanika 2025, the Middle East’s largest international automotive aftermarket trade show, bringing together more than 2,400 global brands under one roof. The event showcased a wide spectrum of the aftermarket industry, attracting parts manufacturers, workshops and service centres, fleet and transportation professionals and other key stakeholders from across the sector.
Key highlights included industry competitions, the Automechanika Awards, Automechanika Academy, Innovation4Mobility and Made in GCC, all focused on the future direction of automotive mobility.
Autonomous Robotaxi Pilot Launched in Umm Suqeim and Jumeirah Districts
Under Dubai’s Self-Driving Transport Strategy, a pilot public Robotaxi service was launched in Umm Suqeim and Jumeirah. Introduced via the Uber app in collaboration with WeRide and Uber Technologies, the trial allowed users to book a Robotaxi by selecting the ‘Autonomous’ option within the app.
Transport Data Analysis Lab Launched to Improve Traffic Flow Planning
RTA has launched the Transport Data Analysis Laboratory to strengthen data-led decision-making at both strategic and operational levels. The facility draws real-time data from more than 35 sources across multiple transport modes, including buses, metro and trams.
Powered by AI and predictive models, the lab unifies operational monitoring within a single system to generate proactive, effective responses. It supports transport planning, improves traffic flow and enhances readiness for major events and emergencies.
Taxi Ride-Sharing Trial Expanded After 228% Rise in Ridership
The trial taxi ride-sharing service was expanded after recording a 228% increase in riders within the first six months of its launch. Initially, the service operated between Ibn Battuta Mall (Dubai) and Al Wahda Mall (Abu Dhabi). The expanded pilot introduced two additional hubs: Al Maktoum International Airport and the Dubai World Trade Centre, adding new routes that linked several major locations across the emirate.
Dynamic Message Signs Reduced Travel Times by up to 20% Across Key Roads
Dubai Roads and Transport Authority’s (RTA) Dynamic Message Signs (DMS) have helped cut journey times by up to 20% on key routes across the emirate. These real-time roadside updates improve road safety by giving drivers early warnings about accidents, congestion and adverse conditions.
Salik Announced ‘Erth Dubai’ Competition With AED 100,000 in Prizes
Salik announced the ‘Erth Dubai Through Your Eyes’ competition, offering a total prize pool of AED 100,000. Participants are invited to reimagine Salik tag designs, with the top three entries set to receive $15,000, $7,000 and $5,000, respectively.
The 10th Al Salam Cycling Championship Kicked Off With the Emirati Amateur Race
Held under the patronage of His Highness Sheikh Mohammed bin Rashid Al Maktoum and organised by The Private Office of the Ruler of Dubai, the 10th Al Salam Cycling Championship began with the Emirati Men’s Amateur Race. The 158 km race took place on Sunday, 28 December, starting at the Dubai Police Academy and finishing at Al Marmoom Conservation Reserve.
Dubai Municipality Announced the Region’s First Integrated RV Route
Dubai Municipality introduced the region’s first integrated RV route, featuring a connected network of dedicated stations and serviced parks. The route has been planned to link mountain, beach and desert destinations, showcasing Dubai’s diverse natural landscapes.
Three New Strategies Adopted by Dubai Police to Improve Road Safety
Dubai Police adopted three new strategies to improve road safety and reduce traffic accidents across the emirate. These included a joint road safety strategy with RTA, alongside two dedicated plans focused on lowering accident rates and creating a safer traffic environment for all road users.
E-Scooter Permit Service Activated via Dubai Now and RTA Apps
The e-scooter riding permit application service was expanded to the RTA Dubai and Dubai Now apps. Applicants must be 17 years or older and have to clear a theoretical test to receive the permit. Holders of valid UAE or international driving licences are exempt from the permit requirement.
Dubai Trialled Drone Technology to Clean Traffic Signals
Dubai has launched a pilot phase to use drone technology for cleaning traffic signals across the emirate. The initiative will deploy drones for signal washing, reducing reliance on heavy equipment while supporting sustainability goals through lower resource use and emissions.
Dubai Approved an Additional Front Plate for Company-Owned Delivery Motorcycles
Motorcycles and e-bikes used in corporate delivery services in Dubai will now require an additional front number plate. The move was introduced by RTA to strengthen the regulation of the delivery sector and align operational standards with global best practices.
Al Quoz Industrial Area Welcomed a New Driver Training and Testing Centre
A new driver training and testing branch was approved to open in Al Quoz Industrial Area, expanding access to licensing services in the area and nearby districts. The site became RTA’s 29th service point, supporting smoother processing for driver training, testing and licensing-related services across Dubai.
595 New Bus Shelters Completed Across High-Demand Areas of Dubai
595 new bus shelters were completed across Dubai to serve high-demand areas as part of a wider project to deliver 762 shelters. With this milestone, the programme reached 89% completion. The upgraded shelters featured modern, user-focused amenities designed to improve comfort and convenience for public transport users.
90 Special Number Plates Offered at an Open Auction in Dubai
90 distinctive number plates were offered at the 120th Open Auction, including 2, 3, 4 and 5-digit plates. To participate, bidders needed a Dubai traffic file, a security deposit cheque of AED 25,000 payable to RTA and a non-refundable registration fee of AED 120.
Simplified Protocol Approved to Ease Yacht Movement Between Abu Dhabi and Dubai
Movement of foreign yachts between Dubai and Abu Dhabi was simplified following approval of a new protocol. The updated system introduced mutual recognition of sailing permits issued by either emirate, exempting the need for duplicate local entry and exit procedures.
Mobility Plan Rolled Out to Support the Abu Dhabi Formula 1 Grand Prix
AD Mobility rolled out a comprehensive mobility plan to support the Formula 1 Etihad Airways Abu Dhabi Grand Prix. The measures included road service patrols, tow trucks and emergency support teams, along with AI-powered drones to monitor traffic on Yas Island. A fleet of 15 autonomous vehicles was also deployed to help manage movement and improve the spectators’ travel experience.
4th Bike Abu Dhabi Gran Fondo Drew 1,000+ Cyclists
More than 1,000 cyclists representing 68 nationalities took part in the fourth Bike Abu Dhabi Gran Fondo, offering a total prize pool of AED 2M. The 150 km race started at Hazza bin Zayed Stadium in Al Ain and finished at the Sheikh Zayed Festival in Al Wathba.
In the overall men’s category, Serhii Sydor claimed first place, followed by Cornelis Vermeltfoort and Anton Popov. Nina Kessler topped the women’s race, with Nora Jenčušová and Yona Vandamme completing the podium. Emirati winners included Abdulla Al Hammadi in the men’s nationals category and Marwa Salman in the women’s nationals race.
Abu Dhabi Mobility Won the Strategic AI Project of the Year Award
At the Middle East AI & Analytics Summit, Abu Dhabi Mobility (AD Mobility) was awarded ‘Strategic AI Project of the Year 2025’ for its autonomous vehicle project TXAI. It was the region’s first pilot autonomous vehicle service, with its first phase launched in 2021.
RAKTA Launched the Classic Taxi Service in Ras Al Khaimah
The Classic Taxi Service was launched in Ras Al Khaimah on 12 December 2025 by the Ras Al Khaimah Transport Authority (RAKTA). The taxis operate on designated routes within Al Marjan Island and along Al Qawasim Corniche, running daily from 4:00 pm to 10:00 pm.
New Car Launched in December 2025
The new cars in the UAE launched during December 2025 include:
- Toyota Yaris: The latest Toyota GR Yaris has been released with a 1.6-litre three-cylinder turbocharged 12-valve engine producing 296 hp and 390 Nm of torque.
- Hongqi Golden Sunflower: The 2026 Golden Sunflower GUOYA released by Hongqi in the UAE comes with a V8 engine delivering 430 kW of power and 800 Nm of torque.
FAQs
What were the major developments in the UAE automotive sector in December 2025?
December saw major industry events, smart mobility pilot projects and infrastructure upgrades, including autonomous taxi trials, expanded ride-sharing services and data-led traffic management initiatives.
How did fuel prices affect the UAE automotive market in December 2025?
Fuel prices did not significantly disrupt market activity during December, with demand continuing to be driven more by technology adoption, shared mobility growth and efficiency-focused transport solutions.
What new car models were launched in the UAE in December 2025?
Several global brands introduced new models in the UAE market, including Toyota GR Yaris and Hongqi Golden Sunflower GUOYA.
These are the key UAE auto sector news from December 2025, spanning major events, infrastructure upgrades and new vehicle introductions. Together, they reflected how the Emirates continued to shape a more efficient transport network, with a growing focus on sustainability, smarter mobility systems.
Stay tuned to dubizzle’s auto blog to learn about the latest UAE automotive regulations.
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