Introduction
The global automotive sector continues its dramatic transformation, shaped by localisation, intelligent mobility, and bold technological pivots. July 2025 brought a surge of momentum—from XPeng inaugurating its first overseas production hub in Indonesia to Rivian’s AI expansion in London and Hailo’s launch of next-gen in-vehicle processors. While some brands are leaning into heritage-driven design revivals, others are betting on advanced autonomy, rapid EV scalability, and frictionless ownership models. Against a backdrop of regulatory tension, shifting supply chains, and intensified global ambition, automakers are recalibrating strategies to stay ahead in the race toward an electrified and software-defined future.
XPeng Kicks Off Overseas Production in Indonesia
XPeng has launched its first overseas production base through local assembly of the X9 electric MPV at a facility in Purwakarta, West Java. The initiative positions Indonesia as a regional hub and supports plans to expand sales across 70 percent of the country’s major cities by end‑2025. The move underscores XPeng’s strategy to localise manufacturing and serve Southeast Asia at scale.
Rivian Looks to London for New AI Talent
Rivian is establishing a new AI and autonomous‑driving hub in London to tap the UK’s world‑class engineering talent. The move complements its U.S. team in Palo Alto and supports its ambition to evolve into a software‑centric mobility brand. London is seen as a strategic ‘beachhead’ into Europe’s tech ecosystem.
Hailo’s Latest Edge AI Processor Hits the Market
Hailo has launched the second‑generation Hailo‑10H accelerator catering to in‑vehicle generative AI workloads. The chip enables on‑device processing of language and vision models with low latency and high energy efficiency. Its debut reflects rising demand for privacy‑focused and real‑time automotive AI functionality.
Automotive Trade Remains Stalled at EU‑China Summit
At the 25th EU‑China summit in Beijing on 24–25 July 2025, leaders failed to resolve key automotive trade issues, despite a joint climate statement. EU concerns over Chinese EV subsidies, rare earth export curbs, and trade imbalances dominated discussions, while China resisted meaningful concessions. Although climate cooperation was affirmed, the automotive sector remained a central point of contention. European officials signalled potential future trade defence measures in response.
Ferrari Unveils Amalfi and Reclaims Testarossa Name
Ferrari has launched its new Amalfi model while reclaiming rights to the Testarossa name. The Amalfi blends grand touring luxury with performance DNA. Testarossa’s return could spark a future design revival or limited edition. The move taps into Ferrari’s rich heritage to excite modern buyers. Nostalgia remains a key pillar of Ferrari’s brand strategy. More details are expected later this year.
Rolls-Royce Reveals Phantom Dentelle, a One-Off Luxury Masterpiece
Rolls-Royce has introduced the Phantom Dentelle, a bespoke model inspired by French lace. The one-off creation showcases exquisite craftsmanship and exclusivity. Interior detailing includes hand-applied lace motifs and rich textures. It reflects the brand’s focus on heritage, elegance, and personalisation. The Dentelle is part of Rolls-Royce’s Bespoke Collective series. It underlines the marque’s status in haute-couture automotive design.
Xiaomi Produces 300,000 EVs in Just 15 Months
Xiaomi has achieved a major production milestone, delivering 300,000 electric vehicles since launching its SU7 model just over a year ago. The tech giant’s rapid entry into the automotive sector is disrupting traditional timelines. High demand in China and growing international interest have propelled Xiaomi’s momentum. The company blends its consumer electronics expertise with smart mobility, appealing to tech-savvy buyers. Analysts say Xiaomi’s success could spark a new wave of non-traditional OEM entries.
Chery Enters UK with SUV Lineup Following Omoda and Jaecoo Success
Chinese automaker Chery has officially entered the UK market, following the success of its Omoda and Jaecoo SUV brands in other international markets. The launch reflects Chery’s global ambitions and the growing appeal of Chinese-made vehicles in Europe. UK models will be tailored to meet local safety and emission standards. Chery plans to build brand awareness through competitive pricing, stylish design, and strong aftersales support. Industry analysts see this as a bold challenge to established European SUV players.
BYD Surpasses One Million ‘God’s Eye’ EVs Delivered
BYD has now delivered over one million Smart Driving Edition models equipped with its “God’s Eye” autonomous system as of July 6. The milestone underscores rapid in-market adoption and scale of its ADAS capabilities. A major over-the-air update rollout is planned to enhance functionalities like L4 smart parking. BYD claims it’s the first OEM to guarantee autonomous parking outcomes, raising the bar on consumer trust. This success strengthens BYD’s position as a leader in automotive autonomy.
2026 Maserati MCPura Marks New Design and Tech Era
Maserati has officially revealed the 2026 MCPura, a stylish new model that blends Italian craftsmanship with advanced digital and performance features. Designed on the brand’s updated platform, the MCPura brings a sleek, futuristic look while staying true to Maserati’s luxury roots. Interior highlights include a minimalist cockpit with advanced connectivity and AI-enhanced driving assistance. The powertrain details hint at hybrid and full-electric variants, showing the brand’s ongoing shift toward electrification. The MCPura signals Maserati’s intent to modernise without losing its emotional appeal.
GM Commits $4 Billion to U.S. ICE Plants Despite EV Goals
General Motors is investing $4 billion into three U.S. plants focused on ICE trucks and SUVs. The move comes amid slower-than-expected EV demand and growing tariff uncertainties. A Michigan site once slated for EVs will now build Escalades and pickups starting 2027. The shift reflects GM’s balancing act between green targets and immediate profitability. U.S. industrial policy and domestic production incentives also factored into the decision. GM’s evolving ICE-EV mix will be closely watched as the market and policy landscape shift.
CATL and JAC Complete 150‑Second Battery Swap for E‑Trucks
CATL and JAC have demonstrated a full battery swap for electric trucks in just 150 seconds in China. The test introduces JAC’s three commercial EV models planned for launch in H2 2025. The fast swap mimics diesel refueling time, aiming to ease fleet operator concerns over downtime. CATL aims to roll out 1,000 swap stations by year-end to support growing commercial EV fleets. This could redefine logistics efficiency and accelerate electrification of heavy-vehicle transport.
Key to monitor: station network, cost per swap, and fleet adoption rates in key logistics hubs.
Porsche Unveils Next‑Gen 911 GT3 Cup Car for 2026 Season
Porsche has revealed its 992.2-based 911 GT3 Cup race car, debuting in the Porsche Mobil 1 Supercup and Carrera Cup series in 2026. Developed at Stuttgart-Zuffenhausen, the updated model offers refined aerodynamics, digital cockpit upgrades, and improved handling. It’s being built with sustainable eFuel to significantly cut CO₂ emissions by 66% compared to fossil fuels. With over 5,300 Cup cars already produced, the new model maintains Porsche’s one-make heritage and global reach. The car aims to elevate track performance while advancing sustainability goals within motorsport. Fans and teams will be watching closely as it enters real-world competition next year.
Lucid Air and Gravity Gain Hands‑Free Driving with DreamDrive Pro Update
Lucid will roll out an OTA update starting July 30 that enables hands‑free driving and lane changes on Air and Gravity models equipped with DreamDrive Pro. The system allows drivers to tap the turn signal stalk to initiate lane changes on compatible divided roads. Lucid says the update enhances its software‑defined vehicle roadmap, leveraging hardware already in place. Air owners get it first, followed by Gravity later in 2025. Reddit users praise the intuitive functionality, calling it “easy to use and intuitive” but note it’s strictly Level 2. This move puts Lucid in closer competition with Tesla and Ford’s BlueCruise in the hands‑free ADAS arena.
Regional Highlights
Abu Dhabi Summer Sports Gains Boost from Al Masaood Automobiles
Al Masaood Automobiles has signed on as the official automotive partner for the 4th edition of Abu Dhabi Summer Sports. The sponsorship will provide logistical support and promotional vehicles throughout the event. Organisers say the partnership underlines Al Masaood’s commitment to local community and youth sports engagement. This follows a broader trend of auto brands aligning with regional sporting events for brand visibility. Al Masaood aims to deepen its market presence across the UAE with high‑profile, experiential campaigns. Activity will ramp up with on‑site activations, branded vehicles, and fan engagement zones.
Jameel Motors and GAC to Launch New EV Range in the UK
Jameel Motors has partnered with China’s GAC to introduce a new line of electric vehicles in the UK market. The move includes sales, servicing, and charging infrastructure plans starting in 2026. This marks GAC’s first major cooperation in Europe outside of niche testing and showcases Jameel’s ambition to diversify its portfolio. Initial models are expected to be competitively priced compact SUVs aimed at urban consumers. The partnership caters to growing UK demand for affordable, high‑quality EV options amid rising EV adoption. Watch for announcements on pricing, launch timing, and model specifications later this year.
National Auto Award 2025 Marks 13 Years of Excellence in Saudi Arabia
The 13th National Auto Award celebrates excellence, innovation, and craftsmanship within Saudi’s automotive sector. Organised by PR Arabia, the event honours top manufacturers, designers, and engineers shaping industry transformation. Over 250 awards have been presented historically, reinforcing its position as the Kingdom’s premier automotive accolade. The 2025 theme promises fresh perspectives while building on a legacy of quality and transparency. Industry leaders will gather to spotlight future-focused breakthroughs.
Dnata Rolls Out Autonomous Electric Tractors at Dubai World Central
Dnata has deployed six EZTow autonomous electric baggage tractors at Al Maktoum International Airport. Developed with TractEasy, these vehicles tow up to four ULDs at speeds of 15 km/h along pre-programmed routes. The move follows a year-long collaboration between dnata, Dubai Airports, and the GCAA. Investment of roughly AED 6 million (US $1.6 million) supports automation of ground-handling operations. This initiative aims to improve efficiency, safety, and turnaround times by reducing manual strain. The rollout could become a blueprint for autonomous airport logistics globally.
Jordan Hybrid Vehicle Imports Surge 31 Percent in H1 2025
Hybrid vehicle imports to Jordan rose sharply by 31 percent in the first half of 2025, reflecting strong consumer interest. Growth was driven by regulatory incentives, rising fuel costs, and increasing awareness of environmental impact. A surge in Japanese-brand hybrids accounted for the majority of imports, reshaping market composition. This trend reflects broader Levant auto-market electrification and the emerging consumer preference for greener options. The import increase provides strategic insight for regional automakers planning market entry and partnership.
Ford South Africa Accelerates Dealer Network Growth with $51 Million Investment
Ford has committed $51 million to expand its dealership footprint across South Africa. The investment aims to modernise facilities, increase EV servicing capability, and support retail volume growth. It positions Ford to capture market share amid intensifying competition and increasing demand for electric mobility. By enhancing dealer infrastructure, Ford aims to improve customer experience and aftersales support. The strategic injection underscores Ford’s commitment to strengthening presence in a key African market.
BMW Middle East Reports Double-Digit Growth in H1 2025
BMW Group Middle East has posted strong double-digit sales growth for the first half of 2025. Demand remains robust for both traditional luxury models and electrified vehicles. Leading markets include the UAE and Saudi Arabia. The X5, iX, and 7 Series were among the top regional performers. BMW continues expanding its retail footprint and EV infrastructure. The results reflect growing appetite for premium mobility.
Abdul Latif Jameel Motors Wins Toyota Gold for 14th Year
Abdul Latif Jameel Motors has received Toyota’s Gold Award for the 14th consecutive year. The accolade honours excellence in customer satisfaction, operations, and sales performance. It reinforces Jameel’s leadership position in Saudi Arabia’s automotive market. The distributor has invested heavily in digital tools, talent, and service training. Toyota continues to rely on Jameel for regional brand strength. The award reflects sustained performance and strategic alignment.
National Auto Award 2025 Marks 13 Years of Excellence in Saudi Arabia
The 13th National Auto Award celebrates excellence, innovation, and craftsmanship within Saudi Arabia’s automotive sector. Organised by PR Arabia, the event honours top manufacturers, designers, and engineers shaping industry transformation. Industry leaders will gather to spotlight future-focused breakthroughs.
Mercedes-Benz Middle East Consolidates 100 Markets Under Dubai Hub
Mercedes-Benz has restructured its Middle East operations to manage over 100 global markets from Dubai. The move centralises strategic planning, resource allocation, and regional oversight. Dubai will serve as a regional powerhouse for sales, marketing, and logistics. The restructuring aims to improve speed, efficiency, and market responsiveness. It reflects Daimler’s confidence in Dubai as a global business hub. The change marks a major operational shift in regional governance.
Nissan Reaffirms African Commitment Amid Plant Uncertainty
Despite facing uncertainty over its South African manufacturing facility, Nissan has reiterated its long-term growth plans for the African continent. The brand sees untapped potential in key markets like Kenya, Egypt, and Nigeria. Ongoing discussions with regional governments aim to stabilise operations and explore new assembly possibilities. Nissan’s strategy is focused on localisation, affordability, and durable models suited for the African climate. The company believes Africa is essential to its future footprint outside traditional strongholds.
Egypt Allocates $30M to Accelerate the Automotive Industry in FY2025
The Egyptian government has earmarked $30 million for FY2025 to stimulate growth and localisation in its automotive sector. Funds will support parts manufacturing, supply chain development, and strategic partnerships with global OEMs. The investment is part of Egypt’s wider industrialisation push, aimed at reducing reliance on imports. Officials hope the initiative will boost local job creation and export potential in the MENA region. The funding reflects a regional trend toward building self-sufficient, EV-capable automotive ecosystems.
SelfDrive Mobility Launches Rent‑to‑Own Program in the UAE with Direct Dealership Access
SelfDrive Mobility has rolled out a zero‑interest “rent to own” scheme offering brand-new vehicles directly from dealerships. Customers can seamlessly transition to full ownership at any time during the first 12 months without down payment. The service reinforces the firm’s leadership in flexible leasing and digital mobility solutions in the GCC.
Stellantis Middle East Launches Zofeur Pick & Drop Service for Seamless Vehicle Maintenance
Stellantis has introduced Zofeur-powered Pick & Drop vehicle servicing in Dubai and Abu Dhabi for all its vehicle brands. The on-demand service integrates into FlexCare maintenance plans or can be purchased separately, offering location flexibility and real-time tracking. It reinforces Stellantis Middle East’s digital-first service strategy while supporting workshop efficiency and customer retention.
Conclusion
July 2025 showcased an automotive landscape that is both global in ambition and local in execution. From XPeng’s strategic localisation in Indonesia to Rivian’s AI push in London, brands are transforming operational models to stay competitive in an era defined by intelligent mobility and shifting regulatory landscapes. Tesla’s legal scrutiny, BYD’s ADAS milestones, and Lucid’s software enhancements all underline the industry’s growing dependence on trust, transparency, and technology.
At the same time, markets across the Middle East, Africa, and Asia are stepping into leadership roles. Whether it’s BMW’s double-digit growth in the Gulf, Ford’s investment in South African retail infrastructure, or Egypt’s push for automotive localisation, the global centre of gravity is expanding beyond traditional powerhouses. Electrification trends in Jordan, assembly developments in Senegal, and new launches in the UK further signal the industry’s dynamic evolution.
Heritage, innovation, and customer-centricity are now the defining pillars of automotive success. As we move into the latter half of the year, OEMs and disruptors alike must harness agility, local insight, and performance excellence to lead in this high-stakes race toward the future of mobility.
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