The number of industrial units in Saudi Arabia experienced a 10 percent increase in 2023 compared to the previous year, reaching a total of 11,549.
According to the Saudi Ministry of Industry and Mineral Resources, the surge in the number of factories aligns with Saudi Arabia’s plan to enhance industrialization and achieve a goal of 36,000 plants by 2035. Additionally, in 2023, a total of 1,379 new industrial licenses were issued, with investments exceeding SAR81 billion. Furthermore, production commenced in 1,058 factories during the same year, with investments totaling SAR45 billion.
بيان صحفي | وزارة #الصناعة_والثروة_المعدنية : ارتفاع عدد المصانع بنسبة 10 % في عام 2023 pic.twitter.com/tJDyc24XT4
— جراح بن محمد الجراح (@Jarrah_4) February 26, 2024
Read more: Foreign, joint investments in Saudi industry surpass SAR542 billion
11,549 newly established factories
Jarrah Al-Jarrah, the spokesman for the ministry, revealed that the 11,549 newly established factories in Saudi Arabia were distributed among 25 industrial activities. The total investments for these factories were estimated to be SAR1.541 trillion ($410.89 billion). The top four manufacturing activities in terms of the number of licenses issued were food products, non-metallic mineral products, formed metal products, and rubber and plastic products.
Al-Jarrah also highlighted that the newly issued licenses were distributed across 25 industrial activities. The manufacturing of food products secured the highest number of permits with 244, followed by the production of non-metallic mineral products with 176 licenses, and the manufacturing of formed metal products with 165 licenses. Moreover, 123 licenses were granted to factories engaged in the production of rubber and plastic products.
Vision 2035: 36,000 factories and automation
Saudi Arabia aims to increase the number of factories to 36,000 by 2035, including 4,000 that will be fully automated. This ambitious vision positions the country to establish a dynamic and innovative production landscape. By embracing advanced technologies such as artificial intelligence, 3D printing, and robotics, Saudi industries are poised to become global leaders in this revolution.
The industrial sector in the Kingdom has been experiencing sustained growth, with manufacturing investments amounting to $132 billion since the launch of the economic diversification strategy, Vision 2030, in 2016.
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