KUALA LUMPUR (Nov 4): Saudi Arabia's Crown Prince Mohammed bin Salman on Thursday (Nov 3) launched Ceer, the first Saudi electric vehicle (EV) brand, according to Saudi Press Agency (SPA).

In a report on Thursday (Nov 3), SPA said that the new brand of EVs, Ceer, a joint venture (JV) between Saudi Public Investment Fund (PIF) and Hon Hai Precision (Foxconn), is expected to add US$8 billion to the country’s gross domestic product (GDP) by 2034, and is expected to bring in US$150 million in foreign direct investment.

Taiwan-headquartered Foxconn provides electronic manufacturing services for computers, communications, and consumer electronic products, and is the world’s largest contract electronics manufacturer, with revenues of US$215 billion last year.

Meanwhile, PIF is Saudi Arabia’s sovereign wealth fund, and is one of the largest sovereign wealth funds in the world.

SPA said the EV JV from PIF is in line with the Saudi wealth fund’s 2021-2025 strategy to tap into “promising sectors locally” to aid in diversifying the country’s economy away from relying almost solely on crude oil.

The PIF announced plans in late October to invest US$24 billion in Middle Eastern and North African countries, including Bahrain, Oman, Jordan, Iraq, and Sudan in the areas of infrastructure, health care, real estate, and telecom.

The crown prince said Saudi Arabia is not just building a new automotive brand, but igniting a new industry and an ecosystem that attracts international and local investments, creates job opportunities for local talent, enables the private sector, and contributes to increasing Saudi Arabia’s GDP over the next decade, as part of PIF’s strategy to drive the economic growth in line with Vision 2030.

Ceer will design, manufacture, and sell a range of EVs for the local market as well as the broader MENA region.

Its lineup will include SUVs as well.

The vehicles will be completely designed and manufactured within Saudi Arabia.