Austrian Post transports 232 million packages
Jan 11, 2026 at 10:44 AM
Austrian Post increases parcel volume
Jan 12, 2026 at 8:39 AM
Barq Group and Elroy Air have signed an agreement to establish a joint venture aimed at manufacturing and maintaining autonomous cargo aircraft in the United Arab Emirates (UAE) with an investment volume of 200 million US dollars. The partnership aims to build a modern production facility in Abu Dhabi that will manufacture the autonomous hybrid-electric aircraft Chaparral. This aircraft is designed to transport up to 136 kg of cargo over a distance of 480 km. The production facility is set to serve both commercial and humanitarian customers in the MENA region upon receiving all necessary approvals.
Strategic Importance for the Region
The establishment of the joint venture occurs in a context where the demand for autonomous logistics solutions in the MENA region is rapidly increasing. Ahmed AlMazrui, CEO of Barq Group, emphasizes that the partnership with Elroy Air underscores Abu Dhabi’s position as a global leader in mobility. “This investment is more than just a manufacturing agreement; it is a commitment to building a self-sustaining aviation ecosystem in the UAE,” explains AlMazrui.
The new production facility will not only boost the local economy but also create highly skilled jobs in the aviation sector and develop a robust regional supply chain. Dr. Andrew Clare, CEO of Elroy Air, highlights that the demand for the Chaparral in the MENA region has exceeded expectations and underscores the need for infrastructure-independent logistics solutions.
Production and Future Plans
The partnership envisions that the first flight operations in the UAE will begin in 2027, initially using aircraft manufactured in the USA. Local production in Abu Dhabi is expected to start in 2028. Elroy Air has already successfully completed its first autonomous cargo delivery with the Chaparral and is experiencing growing demand from leading logistics and aviation companies, including FedEx and Bristow.
The initiative aligns with the goals of the Smart and Autonomous Vehicle Industry (SAVI) Cluster in Abu Dhabi, which supports the emirate’s strategy for sustainable mobility. Local manufacturing will not only shorten response times to customer needs but also ensure that the aircraft are built in the environment where they will later be deployed.
The collaboration between Barq Group and Elroy Air could thus make a significant contribution to the development of the aviation industry in the UAE and position the region as a hub for innovative logistics solutions.
