Oman is set to strengthen its position in the global clean energy sector after Chinese company Zhongke Electric launched construction of a major lithium-ion battery anode manufacturing facility in Sohar Freezone.
The project, valued at approximately $1 billion, will become one of the company’s largest production bases outside China and one of the largest lithium-ion battery anode plants globally.
The facility will be developed through Zhongke Electric’s subsidiary, Zhongke Xingcheng, and will focus on producing anode materials used in lithium-ion batteries, a key component in electric vehicles, energy storage systems, and other advanced battery technologies.
According to the company, the Sohar plant will have an annual production capacity of up to 200,000 tonnes and will be developed in three phases.
The investment marks a significant milestone in Oman’s efforts to diversify its economy and become a regional hub for advanced manufacturing, clean energy industries, and strategic industrial investments.
The project is the result of collaboration between Invest Oman, Sohar Freezone, the Special Economic Zone at Duqm, and Zhongke Electric.
Officials say Oman’s strategic location, strong logistics infrastructure, and investor-friendly business environment played an important role in attracting the investment.
Ibtisam Ahmed Al Farooji said the project represents a major addition to Oman’s advanced industrial sector and highlights growing confidence among international investors in the Sultanate’s economic future.
She noted that the investment aligns with Oman’s economic diversification goals and supports the development of industries linked to advanced technology and renewable energy.
Industry experts believe the project could significantly strengthen Oman’s role in the global battery supply chain at a time when demand for electric vehicles and energy storage technologies continues to rise worldwide.
Zhongke Electric stated that Oman’s competitive investment environment and its position connecting Asian, Middle Eastern, African, and European markets were key factors behind the decision to establish the facility in Sohar.
The company also said the new plant will help support more resilient and diversified global supply chains while improving its ability to serve international customers.
Analysts say the investment could attract additional companies involved in battery materials, clean energy technologies, and advanced manufacturing, further enhancing Oman’s ambitions to become a regional center for future-focused industries.
