Muscat – Oman is poised to become a regional hub for cutting-edge industries with plans for a semiconductor factory and electric vehicle (EV) infrastructure. The announcement follows discussions between Omani officials and representatives of AONH Private Holdings, a semiconductor manufacturer, and JR a Chinese electric car company.

The meeting, attended by H E Qais bin Mohammed al Yousef, Minister of Commerce, Industry and Investment Promotion, and H E Dr Saleh bin Saeed Masan, Undersecretary for Trade and Industry, explored opportunities for localising these high-tech industries in line with Oman’s Industrial Strategy 2040.

H E Yousef emphasised the government’s commitment to attracting investments in emerging sectors, including semiconductors and EVs. “We are working with relevant authorities to provide necessary facilities and incentives to support these projects, which will further establish Oman’s position as a leading industrial centre.”

AONH Chairman Ali Steve Chao informed that the company has selected Oman as its first investment destination in the reg-ion to establish a factory focused on manufacturing AI semiconductor chips, which are integral to the Fourth Industrial Revolution. The project will also feature a training centre to help develop local talent and boost Oman’s industrial competitiveness and investment in Oman could reach around US$18bn.

An agreement to this effect was signed between Ministry of Transport, Communications and Information Technology and AONH earlier this month.

In parallel, JR outlined plans to invest in Oman’s EV sector, with advanced technologies in electric car charging and battery replacement. Initial studies suggest the company creating up to 10,000 jobs. The project, which is expected to begin within two years after official announcement, aligns with the country’s push to diversify its economy and reduce dependence on oil.

H E Masan underscored the fact that these investments align with Industrial Strategy 2040, particularly in capital-intensive and knowledge-based industries.  He highlighted the formation of a technical team to develop an executive plan to localise these projects and ensure successful implementation.