RIYADH: Saudi Arabia’s investment in electric vehicles reflects how the Kingdom is shaping its future through strategic, long-term bets, according to a senior minister.  

Speaking during a panel discussion at the Qatar Economic Forum in Doha, Minister of Industry and Mineral Resources Bandar Alkhorayef stated that Saudi Arabia’s push toward EV manufacturing demonstrates the Kingdom’s commitment to shaping a modern and sustainable economy. 

His comments come as Saudi Arabia ramps up efforts to position itself as a regional hub for automotive manufacturing, particularly in electric vehicles. Backed by the Public Investment Fund, the Kingdom has invested in ventures such as US-based Lucid Motors, which is building a production facility in King Abdullah Economic City.  

As part of its broader diversification drive, Saudi Arabia aims to produce over 300,000 vehicles annually by 2030. 

“Betting on EVs is also showing you how we think as a country. We are investing in the future,” he said.  

He added: “Automotive is a sector that we have been waiting to attract for many years, that our vision is a great enabler that brought the sector to Saudi. We are the largest country exporting cars with no local manufacturing, and I think it's the right move.”  

Alkhorayef emphasized that the Kingdom’s economic transformation under Vision 2030 centers on diversification, with mining and industrial development playing a key role in that shift.  

“In our vision — Saudi Vision 2030 — diversification of our economy is key, and definitely mining and industry are both areas where we can see great opportunities,” he said.  

Discussing the Kingdom’s execution capabilities, the minister said Saudi Arabia has mastered “the art of execution,” stressing that successful implementation of plans, not just strategy, is what builds investor confidence.  

He highlighted mining as a strategic sector, noting that the country has significantly reformed its regulatory framework.  

“We have been able to introduce, I would claim, one of the best — if not the best — mining investment laws globally… We have been able to reduce the licensing time from the global average of three to five years to six months,” Alkhorayef said.   

Touching on global mineral demand, he said: “We are actually in a race with time to ensure that we have the right quantities of minerals and metals to satisfy the global need in energy transition, in automation, in technology, and in defense.” 

The minister pointed to the Future Minerals Forum hosted by the Kingdom as a critical platform to address such challenges, uniting governments, private sector players, and financial institutions to improve exploration, refining, and supply chain resilience.  

On the topic of supply chains and national resilience, Alkhorayef explained that Saudi Arabia’s localization strategy goes beyond national security.  

“It is really capturing a new value. Today in manufacturing, scale is becoming less important because of new technologies that are being introduced,” he said. 

Alkhorayef continued: “Today in manufacturing, in mining, and in many of the sectors we intend to build in Saudi, are all built on new technologies. How can we ensure that while we are growing our economy, we are creating the right jobs for our people?” 

Addressing the role of governments in enabling private sector growth, Alkhorayef stressed the need for proactive governance.  

“Without government really helping the private sector to capture different value, it would be very hard to see the growth in the private sector,” he said, stressing the importance of infrastructure, regulation, and digital security in encouraging investment. 

He concluded by highlighting the Kingdom’s export achievements: “Last year is a great demonstration of the growth we have done. 2024 was the record high export of Saudi Arabia. Non-oil export — we grew from 16 percent contribution in non-oil export to 25 percent contribution of our GDP in non-oil export. The non-oil, non-petrochemical growth of exports was 9 percent last year,” he said.  

RIYADH: Saudi Arabia is well-prepared to handle fluctuations in global oil prices, thanks to its strong fiscal planning frameworks, according to the Kingdom’s Minister of Economy and Planning, Faisal Alibrahim.

Speaking at the Qatar Economic Forum during a panel discussion titled “The Geoeconomics of Growth: Finance & Economy Minister Outlook,” Alibrahim said Saudi Arabia has built resilient economic structures designed to adapt to multiple oil price scenarios.

The comments come as oil-producing nations continue to navigate price volatility amid shifting global demand and energy transition efforts.

“We’re always ready for scenarios, multiple scenarios, and we have the buffers. We have the long-term fiscal planning and medium-term frameworks that help us adjust depending on what scenario actually plays out,” the minister said. 

The world’s largest oil exporter is accelerating its economic diversification under the Vision 2030 reform agenda. Non-oil exports surged to a record $137 billion in 2024 — a 113 percent increase since the initiative was launched in 2016.

According to data from the Ministry of Finance, non-oil revenues accounted for 43.1 percent of total government income in the first quarter of 2025, representing a 2.06 percent increase compared to the same period last year.

Alibrahim noted that the Saudi budgets are no longer driven by oil. “Today, they’re driven by our priorities,” he added. “On the energy markets and oil, we’ve always been solving for long-term market stability that guarantees that investments will continue to flow to provide the right kind of supply that the global economy needs, and of course, as part of that is OPEC+ discipline.” 

The minister noted that Gulf Cooperation Council countries, including Saudi Arabia, are prioritizing long-term growth over short-term gains. “We’re always thinking about not the next 12 months, but a longer-term horizon, and that’s what most of the GCC countries are doing as well,” he added.   

Alibrahim also underscored Saudi Arabia’s commitment to Vision 2030 and beyond, stating that Gulf nations are undergoing similar transformations. “What we’re undertaking in Vision 2030 and beyond Vision 2030 is a long-term, big-picture plan that is all about restructuring the Saudi economy,” he said.   

Highlighting the region’s economic progress, the minister pointed out that non-oil economies in the GCC grew by 3.7 percent in 2024 — nearly double the global growth rate. “There’s an acknowledgement that we’ve been for a while operating below our potential,” he said, emphasizing the increasing opportunities from economic restructuring.   

On foreign investment, Alibrahim described it as a “long-term game,” with Saudi Arabia targeting FDI inflows worth 5.7 percent of the gross domestic product by 2030. The Kingdom has implemented over 900 reforms to improve its business environment, he noted. 

Alibrahim also referenced recent geopolitical developments, including US President Donald Trump’s recent visit to Riyadh — part of a broader push for regional dialogue.

“We saw President Trump in Riyadh last week. We saw the result of dialogue, what it led to, including lifting the sanctions on Syria,” he said, signaling growing momentum for economic reintegration. 

On May 13, Trump began his four-day trip to the Middle East, his first major international visit of his second term. His first stop was Saudi Arabia, where he secured a $600 billion investment commitment from the Kingdom. During his speech at the Saudi-US Investment Forum, Trump announced the lifting of US sanctions on Syria following talks with Crown Prince Mohammed bin Salman. 

The discussion shifted to Syria’s role in regional stability, with Turkish Finance Minister Mehmet Simsek stating: “Having a stable, peaceful, and prospering Syria on its own is a huge gain for the region.” Qatar’s Finance Minister Ali bin Ahmed Al-Kuwari echoed this sentiment, emphasizing the importance of Syria’s economic recovery for regional prosperity.   

Aibrahim also addressed Saudi Arabia’s international engagements, including recent diplomatic efforts with the US and China, stressing the need for stronger global economic ties. “It’s in the interest of both (the US and China) that we remain strong partners,” he said.