In its efforts to diversify its economy, Saudi Arabia is about to open an assembly plant for Isuzu light pick-up trucks in Dammam, Arab News reports. While the plant will employ only 800 people to start with, it is expected to develop. Within three years, officials say, the plant should have met domestic demand and be ready to start exporting vehicles to other Gulf states. There is talk, too, of producing small cars.
The plant was first planned in 2011, according to Arabian Business, and will have a target of 25K trucks produced annually.
Isuzu to export trucks with logo ‘made in Saudi Arabia’
JEDDAH: Arab News
Dr. Saleh Al Rashid, general director of the Saudi Industrial Property Authority (MODON), declared that “the Isuzu Motors factory in Dammam will launch its production this weekend”. He said that the factory is considering exportation after covering the needs of the local market. He pointed out that the factory will encourage industrial investments related to the automotive industry while at the same time working accordingly to create investment opportunities in this field.
Al Rashid’s statement came after the Industrial Cities Authority yesterday announced the production of the first light vehicle in cooperation with Isuzu Motors Ltd.
It has signed an agreement with the company to allocate the first industrial project in the area on a land area of 120,000 square meters in Dammam Second Industrial City in order to set up an integrated auto and truck-manufacturing factory.
Dr. Tawfiq Al –Rabiah, Minister of Commerce and Industry will inaugurate the factory.
“The most important benefits of the Isuzu factory in Saudi Arabia are the low prices of trucks compared to the past in terms of import and will create a conducive environment for investment in factories to support the industry. This is all in the interest of the Saudi economy,” Al Rashid pointed out.