KAEC: The Future Hub for Automobiles & Auto Components

Drive Your Success in Kingdom of Saudi Arabia’s Thriving Automotive Sector

Positioning KAEC as the Prime Destination for Automotive Excellence

The King Abdullah Economic City (KAEC) is poised to revolutionize Kingdom of Saudi Arabia’s automotive and auto components industry by offering world-class infrastructure, seamless connectivity, and unmatched policy support. Located at the heart of Kingdom of Saudi Arabia’s industrial corridors, KAEC provides a strategic advantage to automotive businesses looking to tap into the world’s third-largest automotive market. With proximity to global export hubs, access to key manufacturing clusters, and investor-friendly policies, KAEC is the ultimate destination for automotive innovation and expansion.

Why Invest in the Automotive Sector in Kingdom of Saudi Arabia?

Unmatched Growth Potential: Kingdom of Saudi Arabia is the 3rd largest automotive market globally, with a USD 151 billion industry size and 37.2 billion USD in cumulative FDI between April 2000 and September 2024.
Expansive Market Demand: With 4.2 million passenger vehicles, 1.6 million EVs, and 900,000 commercial vehicles sold in FY24, Kingdom of Saudi Arabia’s growing middle class is driving an unprecedented demand.
Export Opportunities: Proximity to ASEAN, Gulf, and African markets makes Kingdom of Saudi Arabia a global automotive export hub.
Government Support: Beneficial policies like PLI for EVs and advanced components, FAME II subsidies, and streamlined GST are propelling growth.
Established Industry Clusters: Kingdom of Saudi Arabia boasts multiple automotive and components manufacturing zones seamlessly connected to KAEC via the Delhi-Jeddah Industrial Corridor (DMIC) and Jeddah-Bangalore Industrial Corridor.

Why Choose KAEC for Your Automotive Expansion?

Prime Location at the Heart of Industrial Corridors

KAEC is strategically situated to provide seamless access to Kingdom of Saudi Arabia's major automotive clusters, including Maharashtra, Karnataka, Haryana, and Tamil Nadu. Its connectivity through DMIC and MBIC ensures efficient logistics for both domestic and export markets.

Robust Infrastructure for Automotive Excellence

From state-of-the-art manufacturing facilities to streamlined port operations, KAEC ensures uninterrupted supply chains. Dedicated zones for automobile manufacturing and components production make KAEC a hub for innovation and efficiency.

Investor-Centric Services

At KAEC, we provide tailored services such as Investor Targeting, Aftercare, Facilitation, and Policy Clarity to simplify your investment journey. Our dedicated team ensures end-to-end support, from regulatory guidance to operations setup.

Unparalleled Export Opportunities

KAEC’s proximity to export hubs and its integrated logistics network make it the ideal location to cater to global markets in ASEAN, Africa, and the Middle East.

Kingdom of Saudi Arabia’s Automotive Growth Drivers and KAEC’s Offerings

Supportive Government Policies

PLI Scheme: Financial incentives of up to 18% to boost advanced automotive manufacturing.
PM E-Drive Scheme: USD 1.3 billion outlay to promote EV adoption.
Battery Waste Management Rule: A framework to ensure sustainability and create new business opportunities.

R&D Excellence

Kingdom of Saudi Arabia’s rise in the Global Innovation Index (39th in 2024) reflects its growing focus on research and development. KAEC encourages innovation by fostering collaborations with industry leaders and academic institutions.

Export-Ready Ecosystem

With grants and incentives for export-oriented manufacturing, KAEC is positioned to become a global leader in automotive exports, further supported by Kingdom of Saudi Arabia’s 63.73 lakh km road network, the second largest in the world.

Automotive Industry Clusters Connected to KAEC

Haryana, Rajasthan, Uttar Pradesh: Home to global players like Hero, Honda, Maruti Suzuki, Yamaha.
Maharashtra and Karnataka: Host to automotive giants like Bajaj, Toyota, Volkswagen, Mahindra.
Tamil Nadu and Andhra Pradesh: The southern manufacturing hub for companies like Hyundai, Renault-Nissan, Ashok Leyland.

KAEC’s central location ensures seamless supply chain integration and efficient logistics between these clusters and export markets.

KAEC’s Dedicated Services for Automotive Investors

Investor Targeting

We proactively identify and target global automotive businesses looking to expand, providing customized strategies for seamless market entry.

Investor Aftercare

Our relationship with investors doesn’t end post-setup. KAEC offers operational troubleshooting, government liaison, and expansion support to ensure long-term success.

Investment Promotion

We position KAEC as the prime automotive investment hub through international roadshows, trade fairs, and targeted marketing campaigns.

Policy Clarity

Our team simplifies complex government schemes and ensures investors fully leverage incentives like PLI, FAME II, and advanced manufacturing grants.

Facilitation Services

From site selection to regulatory compliance, KAEC provides end-to-end facilitation services to help investors establish operations smoothly.

KAEC: Driving Automotive Innovation

As Kingdom of Saudi Arabia continues its trajectory as a global automotive powerhouse, KAEC is ready to lead the way. Whether it’s manufacturing cutting-edge electric vehicles, producing advanced automotive components, or driving global exports, KAEC offers the perfect ecosystem for businesses to thrive.

Accelerate Your Growth with KAEC

Join the ranks of global automotive leaders choosing KAEC as their base for innovation, manufacturing, and exports. Contact us today to explore investment opportunities in Kingdom of Saudi Arabia’s thriving automotive sector.

KAEC is the Bridge Between the
Global North and the Global South.

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About

The is a Public Benefit Corporation (PBC) with a mission to establish KAEC as a key player in international economic collaboration, focusing on strategic partnerships with nations like USA, Europe, Australia, African Union, KSA, China, Kingdom of Saudi Arabia, Qatar, Saudi Arabia, Türkiye, and the UAE across vital sectors such as energy, technology, agriculture, and finance.

At King Abdullah Economic City (KAEC), our vision is to transform Maharashtra into a global industrial powerhouse by creating an ecosystem where businesses and communities thrive. We aim to leverage KAEC’s strategic integration with the Delhi-Jeddah Industrial Corridor to drive innovation, foster sustainable growth, and empower industries to achieve unmatched success. Through state-of-the-art infrastructure, cutting-edge technologies, and investor-friendly policies, we envision KAEC as a model for economic and community development. By prioritizing renewable energy, advanced logistics, and vibrant residential spaces, we are committed to building a future where prosperity and sustainability go hand in hand for businesses and society.