JEDDAH, 3 April 2005 — RUF-Automobile GmbH — the boutique German high performance sports carmaker renowned for its craftsmanship in upgrading, servicing and restoring Porsche models — yesterday announced its plans to set up a full-fledged base in Bahrain, its first such facility outside its home base in Pfaffenhausen, Germany.
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, 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, 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 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 Bahrain 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 also said that the friendly investment policies 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 here.
RUF was first established in 1939 as an auto service garage. Over the years RUF grew, manufacturing passenger tourist coaches and in 1963, the company began maintenance, servicing and repairing of Porsche cars. RUF began upgrading and tuning Porsche cars from 1970 onward and in 1980s began manufacturing cars under its own brand name. RUF manufactures only about 35 cars a year, each customized according to the requirements of the buyer and sells for upward of 100,000 euros, boasting a top speed of 360 km/h.
Elaborating on the company’s expansion plans, Ruf added: “We are also in the advanced stages of the development of our new, indigenous super car, which is slated to be launched next year. Our joint venture in Bahrain will supplement the production facility in Germany for the production of this car, which will be totally hand-tailored as is the case with all RUF cars. “While starting off with limited production volumes, we aim to gradually upgrade our facilities in Bahrain to increase this number to more than 20 units in the near future,” he added.
Commenting on the partnership with RUF, 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.”
Janahi added: “The development of the Formula 1 track which has catapulted Bahrain’s image globally as an exciting, modern and vibrant country, is yet another example of the visionary leadership of the rulers and the government in shaping the future of the country.”