The Ministry of Investment of Saudi Arabia (MISA), the National Industrial Development Centre (NIDC), global automaker Stellantis, and Petromin Corporation have signed a Memorandum of Understanding (MoU) to explore the establishment of a vehicle manufacturing project in Saudi Arabia.
The agreement was signed during the US–Saudi Investment Forum in Washington DC, highlighting deepening economic ties between the two nations.
The proposed project aims to localise production of commercial and passenger vehicles, leveraging Stellantis’ global expertise and Petromin’s market presence, while supporting Saudi Arabia’s ambition to become a regional hub for advanced manufacturing.
Under the MoU, MISA and NIDC will provide industrial and regulatory support aligned with Vision 2030, focusing on building a competitive automotive value chain and transferring advanced technologies to the Kingdom.
Petromin, a leading mobility solutions provider, is expected to act as a local investor, contributing operational know-how and market insights. Stellantis will lead efforts to localise vehicle production, with a focus on electrification and sustainability.
His Excellency Dr. Abdullah Al-Dubaikhi, Assistant Minister of Investment, said: “This MoU paves the way for a distinctive investment partnership, reflecting the Kingdom’s attractiveness as a leading destination for global investments and advancing our Vision 2030 targets in the industrial sector.”
Saleh Al-Solami, CEO of NIDC, added: “Our goal is to build a regional production hub with strong supplier capabilities. This partnership accelerates that vision by combining global technology with local market strength.”
His Excellency Amr Al-Dabbagh, Chairman and CEO of Al-Dabbagh Group, described the agreement as a milestone for domestic industrialisation. “Petromin is proud to help bring world-class automotive technologies and manufacturing scale to Saudi Arabia, reinforcing its position as a regional hub for innovation and excellence.”
Samir Cherfan, Chief Operating Officer of Stellantis Middle East & Africa, said: “This MoU is a strategic step toward building a future-ready automotive industry in the MEA region. Stellantis is committed to investing in local capabilities and supporting the region’s industrial ambitions.”
The initiative is expected to generate high-skilled employment, strengthen regional supply chains, and stimulate SME growth, supporting Saudi Arabia’s goal of becoming a global centre for advanced manufacturing and innovation.