Even as the war in Iran continues to cast a shadow over regional markets and cross-border logistics, Chinese autonomous driving companies are pressing ahead with aggressive expansion plans in the Middle East, signaling strong confidence in the Gulf’s regulatory stability and long-term smart mobility ambitions.
The latest move comes from Didi, which plans to begin its first overseas robotaxi test in the United Arab Emirates later this year, marking a significant milestone in its international expansion strategy. The company disclosed the plan on Wednesday, shortly after co-founder Zhang Bo, who heads its autonomous driving unit, addressed a UAE-China business cooperation forum in Beijing.
The announcement coincided with a high-level state visit by Abu Dhabi Crown Prince Sheikh Khaled bin Mohamed bin Zayed Al Nahyan, who met Chinese President Xi Jinping in Beijing on Tuesday. That diplomatic backdrop adds weight to the commercial announcement, suggesting that autonomous mobility is becoming part of the broader economic and technology partnership between China and the UAE.
Register for Tekedia Mini-MBA edition 20 (June 8 – Sept 5, 2026).
Register for Tekedia AI in Business Masterclass.
Join Tekedia Capital Syndicate and co-invest in great global startups.
Register for Tekedia AI Lab.
Besides Didi, at least three other major Chinese robotaxi players are already advancing commercial deployments in the emirate, transforming Dubai and the wider UAE into one of the most active international launch markets for autonomous driving technology outside China.
Leading the charge is WeRide, which earlier this month launched a fully driverless, fare-charging robotaxi service in Dubai’s Jumeirah and Umm Suqeim districts, two of the city’s busiest coastal and tourist corridors. Riders can book the service directly through Uber’s app, marking one of the first large-scale commercial Level 4 deployments in the region.
The scale of WeRide’s ambitions in the Gulf is weighing heavily. In February, the company and Uber announced plans to deploy at least 1,200 robotaxis across Dubai, Abu Dhabi, and Riyadh by 2027, building on existing fully driverless operations and pilots already underway. WeRide said it already has more than 200 robotaxis in the region.
This expansion has continued despite regional instability, including the ongoing Iran conflict. In fact, the company explicitly noted that it remained committed to long-term operations in Dubai “in challenging times,” underscoring how Gulf markets are increasingly being treated as strategic long-term growth regions rather than opportunistic tests.
Pony.ai is also moving forward. In late March, chief executive James Peng said the war had not affected the company’s application for a commercial license in Dubai, describing the conflict as a short-term issue. The company had already secured testing approval from Dubai’s Roads and Transport Authority in September and is now pursuing commercial operations in the emirate.
For robotaxi companies, regulatory approvals, fleet deployment, and local partnerships are capital-intensive and long-dated decisions. The willingness to proceed amid geopolitical tension suggests these firms view the UAE as sufficiently insulated from broader regional risk.
Baidu’s robotaxi arm, Apollo Go, has also joined the push. On April 1, the company announced that residents and visitors in Dubai could begin hailing fully driverless rides through its app, with the initial rollout starting with 50 vehicles and plans to scale to more than 1,000 robotaxis over the next few years, according to Dubai’s media office. This means Dubai now hosts parallel commercial deployments from multiple Chinese AV firms, a development that is rare even among major global cities.
The broader significance is that the Middle East, particularly the UAE, is rapidly emerging as the preferred overseas proving ground for Chinese autonomous vehicle companies.
Analysts believe there are several reasons for this. First, the region offers comparatively faster regulatory pathways and strong state backing for smart-city initiatives. Second, governments in the Gulf are actively integrating autonomous transport into long-term urban mobility strategies. Dubai, for example, has publicly targeted 25% of all journeys to be autonomous by 2030. Third, the geography and infrastructure are highly favorable.
Wide roads, modern city planning, newer transport systems, and government-led digital infrastructure make Gulf cities ideal testing grounds compared with the regulatory fragmentation often seen in Europe and North America.
This expansion trend also reflects China’s growing lead in autonomous driving commercialization. While Waymo continues expanding in the United States and testing in London and Japan, Chinese firms are increasingly building international scale through the Middle East and Europe.
The larger insight is that the global robotaxi race is becoming geographically bifurcated. U.S. companies dominate North America, while Chinese firms are rapidly locking in early-mover advantage across the Gulf, parts of Europe, and select Asian markets.
In that context, Didi’s UAE test is more than an isolated pilot. It is another sign that the Middle East is fast becoming the first major overseas battleground in the global commercialization race for autonomous mobility.