Eastern Region Governor Prince Saud bin Naif bin Abdulaziz revealed new industrial initiatives in Dammam’s first and second industrial cities. The event saw notable attendance from Minister of Industry and Mineral Resources, as well as Saudi Authority for Industrial Cities and Technology Zones (MODON) Board President Bandar Alkhorayef, alongside MODON CEO Majed Al-Argoubi, the Saudi Press Agency (SPA) reported.
Prince Saud commended the advancement of the industrial sector, crediting it to the government’s backing and alignment with Vision 2030 objectives. He underscored the importance of these projects in enhancing local content and solidifying the Eastern Region as a pivotal industrial hub.
Among the projects inaugurated was a multi-story factories initiative in Dammam First Industrial City. This eight-story structure houses 78 industrial units, fostering a conducive environment for entrepreneurs and proprietors of small and medium enterprises. With unit sizes ranging from 156 to 251 square meters, these spaces are outfitted with cutting-edge technology and offer comprehensive consulting and training services aimed at promoting growth and generating additional industrial value.
Opportunities for light industries
In addition, a ready-built factories project was launched in Dammam Second Industrial City. This project involves the construction of 84 units, varying from 700 to 1,500 square meters, spread over a total area exceeding 92,000 square meters. Tailored to support light industries, it presents promising opportunities for entrepreneurs and investors in sectors such as food, medical, pharmaceutical, electrical, and electronics, as well as 3D printing technologies.
Al-Argoubi emphasized the Eastern Region’s six industrial cities, which cover more than 40 million square meters and accommodate over 1,850 facilities. He pointed out that the region’s impressive 89 percent occupancy rate signifies a thriving industrial sector.
A memorandum of understanding was also formalized between MODON and the Eastern Region Municipality to bolster regulatory and investment collaboration, enhance the industrial environment’s appeal, and streamline processes for investors.
Read more: Saudi Arabia’s Dammam port sets record with 20,645 containers handled on single ship
GDP contribution on the rise
In recent statistics released by the Saudi Authority for Industrial Cities and Technology Zones (MODON), the industrial sector in the Eastern Province continues to demonstrate robust growth. According to the MODON 2023 Annual Report, industrial cities in the region contribute significantly to the Kingdom’s manufacturing output, with more than 60 percent of total industrial production value generated there. As of 2023, MODON oversees 35 operational industrial cities nationwide, with the Eastern Region hosting six of these. The industrial output of the Eastern region grew by approximately 7.5 percent annually over the past five years, reflecting the government’s ongoing efforts to diversify the economy away from oil dependence under Vision 2030 initiatives.
Furthermore, the Saudi Ministry of Industry and Mineral Resources 2023 statistics illustrate that the industrial sector’s contribution to GDP reached 9.2 percent, up from 7.8 percent in 2019. The ministry’s reports emphasize initiatives to boost local content, with a goal to increase the industrial component in the domestic market to 70 percent by 2030. This aligns closely with the newly inaugurated projects in Dammam, which aim to foster entrepreneurship and innovation in advanced manufacturing.
Additional insights from the Saudi General Authority for Statistics (GASTAT) confirm that employment in the industrial sector within the Eastern Region has risen by nearly 12 percent in the last three years, a positive indicator of job creation tied to industrial expansion.
