Korea’s Heavy Industries 23 “Future Industrial Complexes” in Middle East
Saudi Arabia invests 13 trillion won to create an industrial cluster exclusively for Korean firms
Hydrogen, electric vehicles, robots
High-tech companies enter the Middle East boom
Reporter Yang Yeon-ho
Korea’s heavy industry companies which boast cutting-edge technologies in EVs, biotechnology, robots, and hydrogen fuel cells, is endeavoring to realize a Miracle of the Red Sea in the Middle East. This is because Saudi Arabia, a major nation in the Middle East, is creating a “Korean Small and Medium Business Industrial Complex” comprised of Korean firms only. The participation of 23 Korean SMEs was finalized for this project, in which at least 13 trillion won will be invested.
Saudi Arabia is opening its doors to SMEs from just one country to create an industrial complex. Analysts say the reason Saudi Arabia chose South Korea over traditional technology powerhouses such as Germany and Japan, is because of the growth potential of Korean SMEs in which synergies with Saudi Arabia, a country rich in natural resources, can be formed to grow the market. There are high expectations that Korean high-tech SMEs will advance into the local market, seeking opportunities to participate in the construction of Neom City, which Saudi Arabia is touting as a national project.
On November 19th, a total of 23 Korean SMEs were included in the list of companies confirmed to participate in the Saudi-Korean Industrial Village (SKIV) obtained exclusively by Maeil Business Newspaper from the Saudi International Industrial Complex Company (SIIVC). These companies plan to sign a land contract in May at the Yanbu Industrial Complex, located on the Red Sea coast, about 300km north of Jeddah, Saudi Arabia's second city, and begin building and operating production facilities.
Companies confirmed to move into Saudi-Korean industrial complex include five firms in the renewable energy sector, including electric vehicle parts company ELB&T and hydrogen fuel cell specialist Gaon Cell, mobile phone parts company S-Connect and flexible leak detection sensor specialist YUMINST. Seven companies in the information technology (IT) and digital sectors, seven companies in the light and heavy industry sector, including PoteNit, a company specializing in the development of unmanned automated robots, and TR Beltrack, a rubber belt manufacturer, and Asta, a company specializing in in vitro medical diagnostic devices. There are four companies in the biotech and medical sector, including MiCo BioMed.
Saudi Arabia's initial investment in SKIV is 13 trillion won. Through SKIV, Saudi Arabia will endeavor to transform into a cutting-edge and eco-friendly industrial economy, and Korean firms will be able to attract large-scale investments and enter the Middle East market.
Faisal Abdulaziz, CEO of SIIVC, recently visited Korea and in a meeting with Maeil Business Newspaper, said, “We have signed agreements with 23 Korean firms, including hydrogen, EVs, biotech, and robots, to move into SKIV and attract investments.” He added, “We will build manufacturing facilities and aim to begin operation in 2024,” he said. SIIVC is leading the SKIV project under an agreement with the Saudi Jazan Royal Association.
[Reporter Yang Yeon-ho]
[ⓒ Maeil Business Newspaper & mk.co.kr Copyrights reserved]
Korea’s Heavy Industries 23 “Future Industrial Complexes” in Middle East
Saudi Arabia invests 13 trillion won to create an industrial cluster exclusively for Korean firms
Hydrogen, electric vehicles, robots
High-tech companies enter the Middle East boom
Reporter Yang Yeon-ho
Korea’s heavy industry companies which boast cutting-edge technologies in EVs, biotechnology, robots, and hydrogen fuel cells, is endeavoring to realize a Miracle of the Red Sea in the Middle East. This is because Saudi Arabia, a major nation in the Middle East, is creating a “Korean Small and Medium Business Industrial Complex” comprised of Korean firms only. The participation of 23 Korean SMEs was finalized for this project, in which at least 13 trillion won will be invested.
Saudi Arabia is opening its doors to SMEs from just one country to create an industrial complex. Analysts say the reason Saudi Arabia chose South Korea over traditional technology powerhouses such as Germany and Japan, is because of the growth potential of Korean SMEs in which synergies with Saudi Arabia, a country rich in natural resources, can be formed to grow the market. There are high expectations that Korean high-tech SMEs will advance into the local market, seeking opportunities to participate in the construction of Neom City, which Saudi Arabia is touting as a national project.
On November 19th, a total of 23 Korean SMEs were included in the list of companies confirmed to participate in the Saudi-Korean Industrial Village (SKIV) obtained exclusively by Maeil Business Newspaper from the Saudi International Industrial Complex Company (SIIVC). These companies plan to sign a land contract in May at the Yanbu Industrial Complex, located on the Red Sea coast, about 300km north of Jeddah, Saudi Arabia's second city, and begin building and operating production facilities.
Companies confirmed to move into Saudi-Korean industrial complex include five firms in the renewable energy sector, including electric vehicle parts company ELB&T and hydrogen fuel cell specialist Gaon Cell, mobile phone parts company S-Connect and flexible leak detection sensor specialist YUMINST. Seven companies in the information technology (IT) and digital sectors, seven companies in the light and heavy industry sector, including PoteNit, a company specializing in the development of unmanned automated robots, and TR Beltrack, a rubber belt manufacturer, and Asta, a company specializing in in vitro medical diagnostic devices. There are four companies in the biotech and medical sector, including MiCo BioMed.
Saudi Arabia's initial investment in SKIV is 13 trillion won. Through SKIV, Saudi Arabia will endeavor to transform into a cutting-edge and eco-friendly industrial economy, and Korean firms will be able to attract large-scale investments and enter the Middle East market.
Faisal Abdulaziz, CEO of SIIVC, recently visited Korea and in a meeting with Maeil Business Newspaper, said, “We have signed agreements with 23 Korean firms, including hydrogen, EVs, biotech, and robots, to move into SKIV and attract investments.” He added, “We will build manufacturing facilities and aim to begin operation in 2024,” he said. SIIVC is leading the SKIV project under an agreement with the Saudi Jazan Royal Association.
[Reporter Yang Yeon-ho]
[ⓒ Maeil Business Newspaper & mk.co.kr Copyrights reserved]