Ministry of Industry signs MoU with Hyundai Motors to advance Kingdom’s automotive industry

The signing of the agreement

The Ministry of Industry and Mineral Resources signed a memorandum of understanding with Hyundai Motors to advance automotive production in the Kingdom.

The MoU was signed in presence of the Minister of Industry and Mineral Resources, and Minister of Economy and Planning.

On its Twitter account, the ministry said the MoU comes in line with the strategic objectives of the National Industrial Strategy (NIS) to develop the capabilities of local manufacturing.

According to the state-run SPA, the MoU aims to strengthen the joint cooperation in automotive industry across the region to deliver the NIS develop the capabilities of local manufacturing in line with Vision 2030, which targets the diversification of the Kingdom’s economic base.

Under the memorandum, Saudi Arabia and Hyundai will plan to build a completely knocked down (CKD) plant for electric vehicles and internal combustion engines. The plant will be headquartered in the Kingdom. This came after Hyundai showed interest and revealed plans to explore investment opportunities with the Kingdom to gain leadership in business and projects that ensure environmental sustainability and safety.