Schneider Electric boosts UAE manufacturing with new AI-powered facility

Schneider Electric has inaugurated a state-of-the-art manufacturing facility in the UAE, designed to produce AI-ready prefabricated modular data centers, a critical component in addressing the region's growing demand for advanced digital infrastructure. Located in the Hamriyah Free Zone, this facility marks a significant milestone for the company, aligning with the UAE’s industrial growth strategy and its ‘Make it in the Emirates’ campaign. This initiative promotes local production and enhances in-country value, further integrating the private sector into the national economy.

This launch is expected to significantly support the UAE’s evolving energy management landscape, particularly in the areas of digital transformation and automation. Schneider Electric’s new plant is specifically tailored to produce energy-efficient, scalable data center solutions. By focusing on the region’s increasing need for digital infrastructure, the facility aims to meet customer demands with innovative solutions that ensure predictability, reduce total ownership costs, and expedite deployment times.

Amel Chadli, President of Gulf Countries at Schneider Electric, highlighted the importance of this expansion in local manufacturing capabilities. According to Chadli, the facility represents Schneider’s broader commitment to driving sustainability and fostering economic growth in line with national priorities. This facility aims to not only meet the UAE's growing digital needs but also contribute significantly to local job creation. The company has committed to maintaining up to 70% local content across various functions, including supply chain management and maintenance, as it scales up operations.

The facility underlines Schneider Electric’s focus on sustainability by incorporating advanced manufacturing practices that minimize environmental impact. The launch comes at a time when the global market for digital infrastructure, particularly data centers, is growing rapidly, driven by increased reliance on cloud computing, AI technologies, and the need for secure and resilient IT systems. The UAE, with its strategic location and business-friendly policies, has become a hub for innovation, and Schneider’s new facility is positioned to capitalize on these trends.

The opening of this plant is part of Schneider’s broader push to strengthen its position in the region and respond to rising demands from sectors such as finance, telecommunications, and government services. Given the UAE’s emphasis on becoming a digital-first economy, this new facility is seen as a critical component in supporting that vision.

The company's decision to base its new facility in the Hamriyah Free Zone also reflects the increasing appeal of the UAE’s economic free zones, which offer several advantages, including tax benefits, streamlined regulations, and ease of access to international markets. This strategic location positions Schneider Electric to not only serve customers in the UAE but also to expand its operations across the Middle East, Africa, and South Asia.