Saudi e-car brand Ceer in deal to set up new plant at KAEC
RIYADH, November 29, 2022
Saudi Arabia’s first electric vehicle brand Ceer said it has signed an agreement worth SR359 million ($96 million) with Emaar, the Economic City, to purchase land at King Abdullah Economic City (KAEC) that will be used to set up its manufacturing facility.
A joint venture between Saudi Arabia's sovereign wealth fund PIF (Public Investment Fund) and Hon Hai Precision Industry Company (Foxconn), Ceer will manufacture a portfolio of technologically advanced sedans and sports utility vehicles at the factory in KAEC.
The over 1 million sq m site, located in Industrial Valley (IV), is in close proximity to King Abdullah Port at KAEC.
Once complete, Ceer’s manufacturing facility will create thousands of direct and indirect high-skilled jobs, the majority of which will be filled by Saudi nationals. Construction at the site will begin early next year.
The factory will be state-of-the-art, featuring the latest technologies to ensure manufacturing efficiency whilst minimizing energy and water usage. Ceer will work towards making the factory a zero waste to landfill site. Ceer vehicles are scheduled to be available from 2025 onwards.
"We have found a place that meets all our needs. KAEC offers us a great location with world-class logistics, effective access for our global and Saudi-based suppliers, and an ideal location to base and develop our future workforce," said its CEO James DeLuca.
"KAEC will become our manufacturing hub as we work towards creating the first electric vehicle brand for Saudi Arabia and the wider region and, in doing so, contribute in a meaningful way to Saudi Vision 2030," he added.
According to him, the establishment of Ceer comes in line with the PIF strategy to focus on unlocking the capabilities of promising sectors in Saudi Arabia, including the automotive sector, as well as creating opportunities for the growth and diversification of its economy.
Cyril Piaia, CEO of Emaar, The Economic City, the master developer of KAEC, expressed delight at welcoming Ceer to KAEC and helping it make history by building the first Saudi automotive manufacturing hub in the kingdom and wider region.
"KAEC is aiming at integrating into Vision 2030 initiatives with the vision to be a global manufacturing center, and we are spearheading the creation of an electric vehicle automotive industry that will be both innovation-focused and have sustainability at its heart," noted Piaia.
"We cannot wait to see the first Saudi electric cars roll out of Ceer’s factory at KAEC in a couple of years’ time, and we are proud to be able to contribute to a project that supports so many facets of Saudi Vision 2030," he stated.
"This agreement is in line with KAEC’s new strategy to welcome third-party anchor investors, developers, and operators to realize their projects and ambitions in the city and accelerate its development," he added.-TradeArabia News Service
