Ceer, Saudi Arabia’s first electric vehicle brand, has signed 16 commercial agreements with a total value of SAR 3.7 billion (USD 986.6 million), aimed at “strengthening local industrial value chains and enhancing readiness to build an advanced electric vehicle industry in the Kingdom,” according to the Saudi Press Agency (SPA) on Monday, February 9.

Ceer is a joint venture between the Public Investment Fund (PIF), the Kingdom’s sovereign wealth fund, and Foxconn.

Ceer Chief Executive Officer James DeLuca stated that these agreements represent a fundamental pillar of the company’s comprehensive localization strategy, which targets localizing 45% of vehicle materials and components by 2034. This will be achieved through reliance on local raw materials and empowering Saudi companies to become global suppliers, contributing to the goals of Vision 2030 by diversifying the industrial and economic base, building a national automotive industry, and driving sustainable economic growth.

He added that the group of agreements marks a major step toward building an integrated automotive manufacturing ecosystem in the Kingdom, leveraging local materials and resources while attracting advanced technologies and foreign investment. The strategy also includes localizing the manufacturing of large-scale and labor-intensive components, contributing to the reduction of carbon dioxide emissions, and creating high-value employment opportunities for Saudi citizens.

These strategic partnerships include the production or supply of key components within the Kingdom, ranging from high-tech chemical compounds to heavy automotive body equipment. This will help establish a strong and reliable supply chain for Ceer’s fleet, which is set to include seven models over the next five years, while supporting the development of a sustainable, high-tech industrial base in Saudi Arabia.

Ceer is expected to contribute more than SAR 30 billion to the Kingdom’s GDP by 2034 and improve overall macroeconomic performance by approximately SAR 79 billion. In addition, the company is projected to create around 30,000 direct and indirect jobs within the Kingdom, reflecting its significant impact on the national economy and its role in achieving Vision 2030’s industrial diversification objectives, according to SPA.