Hyundai Motor Manufacturing Middle East (HMMME), a joint venture between
Hyundai Motor Co and
PIF (the Public Investment Fund was created in 1971 for the purpose of investing funds on behalf of the Government of Saudi Arabia), recently held a ground-breaking ceremony in the recently announced King Salman Automotive Cluster within King Abdullah Economic City (KAEC), marking another step in the development of the automotive industry in the Kingdom of Saudi Arabia.
PIF owns a 70% stake in HMMME, with Hyundai holding the remaining 30%. The manufacturing plant, Hyundai's first facility in the Middle East, will roll out its first vehicle by the fourth quarter of 2026 and targets an annual production of 50,000 vehicles; these will include both internal combustion engine (ICE) vehicles and electric vehicles (EVs).
Significant milestoneYazeed A Alhumied, deputy governor and head of MENA Investments at PIF, said: “This ground-breaking event is a significant milestone for PIF as it further strengthens the automotive industry in Saudi Arabia. PIF will continue to enable and accelerate the growth of Saudi Arabia’s automotive ecosystem through partnerships. This joint venture underscores PIF’s commitment to build local capabilities, attract cutting-edge technology, and create highly skilled jobs in Saudi Arabia’s automotive and mobility sector.”
Jaewon Chang, vice Chair of Hyundai Motor Group, added: “Today’s ground-breaking marks the beginning of a new chapter for both the Kingdom of Saudi Arabia and Hyundai Motor Co, as we lay the foundation for a new era of future mobility and technological innovation. Through our joint venture, we hope to contribute to the development of talent in the region with advanced skills and capabilities under Saudi Vision 2030.”
Meanwhile, Wongyun Park, HMMME’s vice president and CEO, said: “With HMMME, we are driving change and paving the way for a new industrial future in the region. HMMME is building a foundation for a new era of automotive manufacturing in Saudi Arabia, one that will harness the skills of the local workforce and create thousands of jobs, while allowing for knowledge transfer and skills development. The localisation of Hyundai’s vehicles will accelerate the growth of Saudi Arabia’s automotive and mobility ecosystem and pave the way for a new industrial future.”