The Ministry of Investment in Saudi Arabia (MISA) has signed an agreement with leading French shipping company, CMA CGM Group, to promote sustainable investments in the transportation and logistics services sector. The agreement aims to support the company’s investment projects in the Kingdom and explore potential financial opportunities.
بحضور معالي @Khalid_AlFalih، وقعت #وزارة_الاستثمار مذكرة تفاهم مشتركة مع مجموعة CMA CGM الفرنسية، إحدى أضخم الشركات الرائدة في قطاع النقل والخدمات اللوجستية، بهدف دعم خطط مشاريع الشركة الاستثمارية في المملكة، وبحث الفرص الاستثمارية المحتملة. pic.twitter.com/YrAIGXfIBc
— وزارة الاستثمار (@MISA) February 21, 2024
In addition, both parties have expressed their commitment to discussing alternative fuel solutions to reduce emissions, share knowledge and best practices globally, and provide training to Saudi nationals in this field.
This collaboration aligns with the goals of the National Transport Strategy within Saudi Arabia’s Vision 2030 agenda.
Read more: Saudi logistics sector market size to grow to SAR57.4 bn by 2030
As part of its strategy, Saudi Arabia seeks to double the contribution of the logistics sector to the gross domestic product, aiming to be among the top 10 countries in the Logistics Performance Index. The strategy also includes increasing the share of public transportation to over 15 percent of total trips and annually reducing carbon emissions from the sector by 2 percent per capita.
Strategic agreements for cutting-edge technology
Saudi Arabia is actively progressing in the mobility sector, with TASARU Mobility, a subsidiary of the Public Investment Fund, signing three strategic agreements to introduce cutting-edge technology into the Kingdom. These agreements involve investments in Croatian mobility solutions company P3, Holon (a subsidiary of Benteler Group), and American tech company Recogni Inc. for the production of automated public transport vehicles.
Furthermore, the Royal Commission for AlUla has taken steps towards sustainable transport by signing a deal with Alstom, a French global leader in smart and sustainable mobility. This agreement includes the implementation of a battery-powered tramway line, which is set to become the world’s longest catenary-free line. The project emphasizes a focus on reducing carbon emissions and promoting green transportation in line with the goals of Saudi Vision 2030.
Mohammed Khalil, managing director of Alstom KSA, highlighted the significance of the project in reducing carbon emissions and advancing green technology, stating that it supports Saudi Arabia’s commitment to environmental stewardship and plays a pivotal role in achieving the country’s vision for the future.
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