Saudi Arabia planning $500 million car manufacturing company

For quite some time, Saudi Arabia has represented the next frontier in industrial and economic growth, and now we are one step closer to the front; with a capital investment of $500 million, the country plans to start its first auto manufacturing company, and have a prototype out within two years. A South Korean manufacturing firm will help set the new company up.

Up to 15% of the capital investment for the new venture will be put up by King Saud University, 30% will be covered by the South Korean firm, and the rest will be offered to investors.

King Saud University president Abdullah al-Othman said that he hoped that Saudi Arabia could make its first car suitable for export to other Gulf States and various countries in North Africa.

– By: Stephen Calogera

Source: Automotive News (Subscription Required)