Saudi Arabia Just Got Its First Hyundai Factory—Here’s Why It Matters

by Anjay Put Juni 19, 2025 Posting Komentar

On Wednesday, Hyundai Motor Company initiated construction of the Hyundai Motor Manufacturing Middle East (HMMME) plant situated within the King Salman Automotive Cluster in Saudi Arabia. This marks Hyundai’s inaugural manufacturing site in the Middle Eastern region. The development of this facility has been facilitated via collaboration with the Saudi Arabian Public Investment Fund as part of their strategic initiative.

HMMME is a partnership where Hyundai owns a 30% share, while the remaining 70% belongs to the Saudi Arabian Public Investment Fund. This plant is expected to start operating in the fourth quarter of 2026, capable of producing up to 50,000 vehicles per year, including both electric cars and models with traditional gasoline-powered engines.

Yazeed Alhumied, who serves as the Deputy Governor of the Saudi Arabian Public Investment Fund, highlighted the importance of this initiative. He mentioned that the HMMME will be a key step forward in advancing Saudi Arabia’s automotive industry. Additionally, he noted that their continued partnership with Hyundai will help stimulate the expansion of Saudi Arabia’s overall mobility environment.

During his speech at the event, Hyundai Motor Vice Chairman Chang Jaehoon stated that the groundbreaking ceremony signifies the beginning of a new epoch for both Hyundai and Saudi Arabia. He further mentioned that this occasion sets the stage for initiating a fresh period marked by advancements in future mobility and cutting-edge technology.

Saudi Arabia is advancing a nationwide plan known as Vision 2030, aimed at transforming the nation’s economic landscape away from its primary reliance on oil towards new industries including manufacturing and hydrogen power. This ambitious undertaking, led by the Saudi Arabian Public Investment Fund, forms the core component of an overarching scheme designed to strengthen the kingdom's automobile sector.