Riyadh - Sharikat Mubasher: Hyundai Motor Manufacturing Middle East (HMMME), a joint venture between the Public Investment Fund (PIF) and Hyundai Motor Company, broke ground on its new manufacturing plant in the King Salman Automotive Cluster within King Abdullah Economic City (KAEC).
The new plant, Hyundai's first facility in the Middle East, will roll out its first vehicle by the fourth quarter of 2026 and targets an annual production of 50,000 vehicles, the company announced in a statement yesterday.
The plant will include both internal combustion engine (ICE) and electric vehicles (EV).
The groundbreaking ceremony was attended by the Minister of Industry and Mineral Resources, Bandar Alkhorayef, and several senior officials from the PIF, Hyundai Motor Group, and HMMME. It represented a significant milestone towards developing the automotive industry in Saudi Arabia.
Yazeed Alhumied, Deputy Governor and Head of MENA Investments at PIF, said: “This groundbreaking is a significant milestone for PIF as it further strengthens the automotive industry in Saudi Arabia. PIF will continue to enable and accelerate the growth of Saudi Arabia’s automotive ecosystem through partnerships.”
He affirmed the fund’s commitment to building local capabilities, attracting cutting-edge technology, and creating highly skilled jobs in Saudi Arabia’s automotive and mobility sector.
For his part, Jaehoon Chang, Vice Chair of Hyundai Motor Group, commented: “Today's groundbreaking marks the beginning of a new chapter for both the Kingdom of Saudi Arabia and Hyundai Motor Company, as we lay the foundation for a new era of future mobility and technological innovation.”
He highlighted that the JV with the PIF will enable the group to contribute to the development of talent in the region with advanced skills and capabilities under Saudi Vision 2030.
Meanwhile, Wongyun Park, Vice President and CEO of HMMME, stated that the facility will become a platform for growth and industrial excellence in the heart of the Kingdom.
HMMME aims to bolster the automotive manufacturing in Saudi Arabia by harnessing the skills of the local workforce. Additionally, the new plant will create thousands of jobs and allow for knowledge transfer and skills development.