Ashok Leyland has said its manufacturing operations in Ras Al Khaimah, UAE, are gradually stabilising after recent disruptions linked to tensions in West Asia. The company also confirmed that its planned assembly facility in Saudi Arabia remains on track as part of its broader international expansion strategy.

According to reports, the commercial vehicle maker had temporarily slowed production at its Ras Al Khaimah plant after regional geopolitical tensions disrupted supply chains and workforce movement for several weeks. Despite the disruption, the company said demand across Gulf Cooperation Council markets, especially for buses and commercial vehicles, continues to remain strong.
Company officials said production at the UAE facility is now picking up again as conditions improve. The Ras Al Khaimah plant has reportedly been operating above its rated capacity due to rising regional demand, prompting Ashok Leyland to accelerate plans for a Saudi Arabia assembly facility.
The upcoming Saudi plant is expected to help Ashok Leyland reduce logistics and customs costs while strengthening its position in one of the Middle East’s largest commercial vehicle markets. Reports suggest the Saudi facility could begin production within the next 18 to 24 months after receiving necessary approvals.
Industry analysts say the company’s Middle East expansion strategy reflects growing demand for commercial vehicles, buses, and infrastructure-related transport solutions across the Gulf region. Ashok Leyland has also been strengthening its international footprint through new partnerships and investments in emerging markets beyond India.
