Ceer Inks $1.46 Billion Agreements with Saudi Firms to Strengthen EV Component Supply Chain
Ceer, Saudi Arabia’s first electric vehicle (EV) brand and original equipment manufacturer (OEM), has announced 11 strategic partnerships worth SAR 5.5 billion ($1.46 billion). These deals, signed during the third Public Investment Fund (PIF) Public Sector Forum, primarily involve Saudi-based companies, marking a significant milestone in Ceer’s efforts to enhance local manufacturing and supply chains.
This initiative aligns with Ceer’s localization targets of 45%, reinforcing the Kingdom’s ambitions to build a sustainable automotive industry while supporting the broader economic transformation outlined in Saudi Vision 2030.
Advancing Saudi Arabia’s EV Sector
The signing of these agreements underscores Ceer’s commitment to fostering a robust domestic supply chain by leveraging local resources and expertise. With the global EV market rapidly expanding, Ceer’s strategy ensures that Saudi Arabia is well-positioned to compete in the international automotive industry while promoting economic diversification.
By collaborating with local firms, Ceer aims to accelerate the development of an integrated EV ecosystem, creating opportunities for technology transfer, innovation, and workforce development. These partnerships will not only strengthen Saudi Arabia’s automotive infrastructure but also enhance its self-sufficiency in EV component manufacturing.
Strategic Importance of Localization
Ceer’s CEO, Jim DeLuca, emphasized the importance of local collaborations, highlighting their role in establishing a self-reliant and competitive EV industry within the Kingdom.
“While we are bringing global expertise and world-class partners to Saudi Arabia, building a robust local ecosystem is even more critical. These partnerships are crucial not only for a thriving automotive industry but also for creating future jobs and driving economic growth in the Kingdom. By working with local suppliers, we ensure access to high-quality components for Ceer vehicles while simultaneously fostering a sustainable automotive sector in Saudi Arabia.”
Ceer’s commitment to localization ensures that a significant portion of its EV supply chain will be sourced within the country, reducing reliance on imported components and fostering domestic manufacturing capabilities.
Economic Growth and Job Creation
The agreements are expected to contribute significantly to Saudi Arabia’s economy, generating thousands of new jobs across various sectors including manufacturing, logistics, and technology development. This will help in achieving Saudi Vision 2030’s goal of economic diversification, reducing dependence on oil revenues, and establishing Saudi Arabia as a leader in EV production.
With the global shift towards electric mobility, Ceer’s initiatives align with Saudi Arabia’s sustainability goals, promoting the adoption of clean energy technologies and reducing carbon emissions. The establishment of a localized EV ecosystem will also enhance Saudi Arabia’s competitiveness in the regional and global automotive markets.
Strengthening Saudi Arabia’s Position in the EV Market
The Saudi automotive industry is undergoing a major transformation, with substantial investments in electric vehicle infrastructure and manufacturing. Ceer, backed by the Public Investment Fund (PIF), plays a pivotal role in realizing Saudi Arabia’s vision of becoming a global hub for EV innovation.
By partnering with local firms, Ceer is ensuring that its vehicles are produced using high-quality, locally sourced components, positioning the Kingdom as a leader in sustainable transportation solutions. These strategic agreements lay the foundation for an advanced EV industry in Saudi Arabia, further solidifying its industrial and economic capabilities.
Future Outlook
Ceer’s multi-billion-dollar investments in localization and supply chain development signal Saudi Arabia’s growing influence in the EV sector. The company is not only contributing to the country’s economic and environmental goals but also creating new business opportunities for local manufacturers and suppliers.
As Ceer continues to expand its partnerships and investments, the company is set to play a transformative role in reshaping the Saudi automotive industry, ensuring long-term sustainability and innovation in the Kingdom’s EV market.
