The deal aims to enhance joint cooperation in the automotive industry across the region in order to achieve the objectives of the National Strategy for Industry in developing local manufacturing capabilities.

It is also in line with the objectives of Saudi Vision 2030, which seeks to diversify the Kingdom’s economic base.

The memorandum was signed in the presence of Minister of Industry and Mineral Resources Bandar Alkhorayef and his deputy Osama Al-Zamil, Minister of Economy and Planning Faisal Al-Ibrahim and the CEO of the Saudi Industrial Development Fund, Ibrahim Al-Mojil.

Hyundai was represented by Heung Soo Kim, its executive vice president and head of global operations.

Under the memorandum, Saudi Arabia and Hyundai plan to build a manufacturing plant for electric vehicles and internal combustion engines to be based in the Kingdom.

Th agreement came after Hyundai revealed plans to explore investment opportunities in Saudi Arabia.