- Petromin, Foton, and government bodies sign MoU for vehicle production.
- Project to support Vision 2030 by localizing truck and bus manufacturing.
- Initiative to create jobs, transfer tech, and boost local supply chains.
In alignment with the Kingdom’s Vision 2030 initiative to enhance its industrial sector and localize high-value manufacturing, a four-party memorandum of understanding (MoU) was signed by Petromin Corporation, Foton, the Ministry of Investment, and the National Industrial Development Center to investigate the possibility of creating an integrated commercial vehicle manufacturing facility in Saudi Arabia.
The effort seeks to enhance local skills in manufacturing and logistics, strengthen supply chains, and boost localization levels in the automotive industry. The production will encompass heavy-duty trucks, light-duty trucks, and buses.
Amr Al-Dabbagh, Chairman and CEO of Al-Dabbagh Group, stated, "This step aligns with our ambitions to promote a diversified economy based on industry and technology. We take pride in this partnership with Foton, who are number one in the Chinese commercial vehicle market. This partnership acts as a strong catalyst to deliver high-quality commercial vehicles that meet market expectations and support achieving Vision 2030 objectives."
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Chang Rui, Chairman of BAIC Foton, added, "We are proud of our partnership with Petromin to localize commercial vehicle manufacturing. Through this collaboration, we aim to transfer advanced technology to the Saudi market and provide innovative and sustainable mobility solutions benefiting businesses and consumers alike."
The initiative receives support from the Ministry of Industry and Mineral Resources, the Ministry of Investment, the National Industrial Development Center, the Saudi Industrial Development Fund, and the Local Content and Government Procurement Authority.
Job opportunities for national talent are anticipated, alongside support for the development of small and medium-sized enterprises, contributing to the Kingdom's transition to a sustainable and advanced industrial economy.