Tesla announced that it will launch in Saudi Arabia next month. According to a post on the company’s website, the launch event in Riyadh is scheduled for April 10.
“Explore our global bestselling lineup and step into a world powered by solar energy, sustained by batteries, and driven by electric vehicles. Experience the future of autonomous driving with Cybercab, and meet Optimus, our humanoid robot, as we showcase what’s next in AI and robotics,” Tesla said, without specifying when its products will become available to purchase.
Tesla sales dip in Europe, China
The launch in Saudi Arabia comes as Tesla’s EV sales in Europe declined. Elon Musk’s brand has sold 42.6 percent fewer cars in Europe so far this year, according to data from the European Automobile Manufacturers Association (ACEA).
Tesla’s sales of its China-made electric vehicles also dropped 49.2 percent annually in February to 30,688 cars, the lowest since August 2022, as the U.S. automaker faces severe competition from Chinese rivals.
BYD, a major competitor, reported a 29 percent jump in sales from the previous year on deliveries of 4.27 million cars, including fully electric vehicles and hybrids. In comparison, Tesla’s 2024 revenue was $97.7 billion, and it delivered 1.79 million battery-powered vehicles.
Musk’s brand has also been targeted by a wave of protests in the United States since the company’s CEO became an adviser to U.S. President Donald Trump and began sweeping cuts to the federal government.
Read: Saudi Arabia’s EVIQ launches first EV charging station on Riyadh-Qassim highway
Tesla expands regional presence
Tesla’s entry into Saudi Arabia comes after its vehicles have been widely available in the UAE since 2017. The company also has a dealership in Qatar. Further expanding its global footprint, Tesla signed a lease deal to open its first showroom in Mumbai earlier this month, aligning with its plans to sell imported cars in India.
This launch aligns with the Kingdom’s target of shifting its economy away from oil. The Kingdom has set an ambitious goal to transition 30 percent of all vehicles in Riyadh to electric by 2030 as part of a larger strategy to reduce emissions in the capital city by 50 percent.
The Kingdom is also focused on building a domestic EV manufacturing sector that is expected to greatly boost its in-country value, attract talent, technology and foreign direct investment. Key players like CEER, Foxconn and Lucid Motors are central to Saudi Arabia’s EV manufacturing ambitions. Saudi Arabia’s sovereign wealth fund is a majority investor in Lucid Group, one of the EV startups looking to challenge Tesla.
