Robotaxi fleet suspended in Dubai as Middle East conflict intensifies

(Web Desk) - Chinese autonomous driving firm WeRide has suspended its robotaxi fleet in Dubai, as escalating US-Israel conflict with Iran disrupts key Middle Eastern hubs, a promising market for the industry.

The Gulf region has become a significant overseas expansion ground for Chinese robotaxi companies, attracted by a friendly regulatory environment and robust demand for ride-hailing services.

Despite the Dubai suspension, WeRide, which has operated in the region since 2021, confirmed on Tuesday that its robotaxi fleets in Abu Dhabi and Riyadh are continuing regular public commercial and passenger operations. All its employees in the region are now working from home and limiting unnecessary outings to ensure their safety and well-being.

Two other major Chinese robotaxi firms, Baidu's Apollo Go and Pony.ai, are also monitoring the situation. Apollo Go was "in close coordination with local regulators and will adjust our services as needed to ensure the continued safety of our staff and an orderly response to the local environment," a company statement said.

The robotaxi unit of Baidu launched commercial robotaxi services in Abu Dhabi in January.

Pony.ai had suspended its on-road testing activities in Doha and Dubai before resuming testing in Doha on Monday.

It will resume testing in Dubai "at an appropriate time," according to the company, which remains at the testing stage in the region.

The Gulf was previously highlighted to become the region where Chinese and US robotaxis go head-to-head and compete for passengers and customers.

"We are actually happy to see positive and active competition and we won't be afraid of such competition," he said at the World New Energy Vehicle Congress in Abu Dhabi last week.

Worried about worsening traffic congestion and a shortage of taxi and ride-hailing services that largely rely on migrant workers for their drivers, Dubai has set a goal of having 25 per cent of its daily transportation be smart and driverless by 2030.

“Abu Dhabi's target is 25 per cent of total trips by 2040 while Saudi Arabia is aiming for 15% by 2030.