In a significant move to bolster its presence in Saudi Arabia, Schneider Electric, a pioneer in digital transformation and energy management, has inked a deal with King Salman Energy Park (SPARK), a premier industrial ecosystem provider. The collaboration will see the construction of a 20,000 square meter manufacturing plant within the SPARK premises, strategically positioned between Dammam and Al-Ahsa. This facility will produce crucial systems such as Distributed Control System (DCS), Emergency Shutdown System (ESD), and Compressor Control System (CCS), supporting the nation’s energy sector.
This partnership marks a pivotal moment for Saudi Arabia, enhancing its stature as an advanced manufacturing hub. The initiative aligns with the Kingdom’s Vision 2030 and is set to propel the industrial domain while stimulating broader economic progress. Schneider Electric’s commitment through this agreement reaffirms its dedication to Saudi stakeholders and aligns with SPARK’s goal to localize essential services and enhance its industrial control and safety solutions. It also furthers the Kingdom’s aspirations to lead in energy efficiency and to establish itself as a major exporter of technology-driven sustainable products. This joint endeavor builds on Saudi Arabia’s pledge at COP28 in Dubai to triple the global capacity of renewable energy by 2030, showcasing its commitment alongside 110 other nations.
Schneider Electric plans to leverage its industrial acumen to guarantee that the facility operates with the utmost reliability and efficiency, prioritizing security throughout its functions.
SPARK’s President and CEO, Saif Al Qahtani, expressed enthusiasm about the partnership, stating, “We are pleased to celebrate Schneider Electric’s strategic choice of SPARK as the home for their new, state-of-the-art facility. This collaboration underscores our dedication to fostering local product and service development while simultaneously offering a platform equipped with top-tier infrastructure and services that accelerate our customers’ enterprises and deliver sustainable value to our communities. As we move forward, we remain committed in our vision to providing a world-class ecosystem for international and local companies.”
Mohammed Shaheen, Cluster President of Schneider Electric for Saudi Arabia, Yemen, and Bahrain, also highlighted the significance of the strategic alliance, saying, “This partnership not only affirms Schneider Electric’s commitment to advancing Saudi Arabia’s energy landscape but also emphasizes our focus on strengthening localization of services in the sector. Through our expertise, we aim to support SPARK’s vision and create a world-class ecosystem that fosters sustainable value for communities and accelerates enterprise growth.”
Projected for completion in the third quarter of 2025, the project is anticipated to achieve LEED (Leadership in Energy and Environmental Design) certification, an internationally recognized green building accolade.
In a strategic expansion move, Schneider Electric secured a license in November 2023 from Saudi Arabia’s Ministry of Investment and Ministry of Commerce to establish its Regional Headquarters (RHQ) in the Kingdom. This RHQ will oversee Schneider Electric’s business operations in Bahrain, Yemen, and Pakistan.
Following the acquisition of the RHQ license, Schneider Electric is committed to investing in local talent, spurring innovation, and strengthening regional partnerships, in line with its mission to be a globally integrated, locally focused partner, offering market-specific solutions.
About King Salman Energy Park (SPARK):
SPARK is a pioneering industrial ecosystem that prioritizes sustainability, forging connections within the global energy sector. It is a Saudi national megaproject driving socio-economic impact and catalyzing the Kingdom’s role in the global energy transition. SPARK provides a world-class business environment for both international and local investors and tenants.
About Schneider Electric:
Schneider Electric is dedicated to empowering individuals and organizations to utilize energy and resources efficiently, fostering progress and sustainability. Known for its commitment to digital transformation, the company integrates leading process and energy technologies, from products to services, across various industries. With a global presence and local touch, Schneider Electric champions open standards and partnerships, guided by its values of purpose, inclusiveness, and empowerment.