RUF-Automobile to invest $50 million in Bahrain

MANAMA - German sports car maker, RUF-Automobile GmbH, yesterday announced its plans to set up a full-fledged service, production and marketing base in Bahrain, its first such facility outside its home-base in Pfaffenhausen.

By A Staff Reporter

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Published: Sun 3 Apr 2005, 9:48 AM

Last updated: Mon 17 Apr 2023, 8:36 AM

The new company, RUF-Middle East (RUF-ME), is being set up as a joint venture with local businessman, Rashad Janahi at an initial investment of $50 million.

In a joint announcement at a media briefing held near the Bahrain International Circuit (BIC), senior representatives of RUF and RUF-ME, said that the planned automobile production, servicing and marketing facility, is a one-of-its-kind development in the region, and is an indication of the growing maturity of the motoring market.

Explaining RUF's decision to set up a base in the region, Mr. Alois Ruf, Managing Director, RUF-Automobile GmbH, said: "The Middle East, with its strong equestrian and great outdoors tradition, has over the past several years emerged as a key market for high-speed, high-performance automobiles. RUF has had a strong relationship with this region for over 20 years, which is reflected in its increasing customer base among high net worth individuals and avid sports car aficionados who take pride in owning custom-built high-performance machines.

"Our new facility will place us in closer proximity to our customers in the region, while also affording us access to other Asian markets. It will allow us to service RUF models that are already present here, while also developing the high-end automobile market for RUF in the region."

"Obviously, Bahrain is the ideal choice for a production facility for a car manufacturer like RUF, because the Kingdom is the first in the Middle East to have a Formula 1 circuit, which will bolster the region's interest in luxury sports cars and in turn generate a surge in demand for our premium cars," he said.

Ruf further said that the friendly investment policies of the Government of Bahrain, excellent infrastructure and seamless access to the regional markets were key drivers behind the company's decision to set up a production base in the Kingdom.

Rashad Janahi, Vice Chairman, RUF-ME, said: "RUF is known as a pioneering innovator within the global auto industry and is considered one of the most respected high-performance car manufacturers in the world."

Unveiling the on-ground plans of the joint venture in Bahrain, Janahi said: "The state-of-the-art production facility will come up on 20,000 square metres adjacent to the Formula 1 circuit. The RUF production base will be landmark in Bahrain as well as in the region, since it is the first automobile manufacturing facility in the AGCC. It will also feature an advanced Research & Development center, the first such full-fledged resource in the region."

Full-scale construction of the facility is expected to commence within the next two months, and will be completed in a record time of 18-20 months.

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