King Salman Energy Park (SPARK), the leading industrial ecosystem provider, signed an agreement with Schneider Electric, a global leader in digital transformation and energy management and energy efficiency, for a multi-faceted manufacturing facility. The 20,000 sq. meters, facility will be built within SPARK, located between Dammam and Al-Ahsa. The facility will manufacture key systems including Distributed Control System (DCS), Emergency Shutdown System (ESD) and Compressor Control System (CCS) to support Saudi Arabia’s energy value chain.
This agreement is a major step in strengthening Saudi Arabia's role as a leader in advanced technology manufacturing. The new facility not only boosts the industrial sector in the Kingdom but also serves as a key driver for its overall growth, in line with the Vision 2030.The agreementdemonstrates Schneider Electric’s unwavering commitment to its customers and stakeholders in Saudi Arabia as well as elevates the company’s growth and expansion within the Kingdom. The agreement supports SPARK’s ambition to localize key services in the sector and advance its offerings across industrial control and safety mechanisms. It also aligns with the Kingdom’s commitment towards energy efficiency and its goal of becoming a global leader in sustainable technology-driven exports. This collaboration between Schneider Electric and SPARK builds on Saudi Arabia's goal of tripling the world's renewable energy capacity by 2030, a commitment that was pledged at COP28 by the Kingdom among a total of 110 countries in Dubai, UAE in 2023.
This agreement will leverage Schneider Electric’s industry expertise and aims to ensure the reliable and optimal functioning of industrial processes, with a focus on security and efficiency through the facility's operations.
Saif Al Qahtani, President, and CEO of SPARK commented, “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, Saudi Arabia,Yemen and Bahrain, added: "This strategic partnership with King Salman Energy Park, not only affirms Schneider Electric's commitment to advancing Saudi Arabia's energy landscape but also highlights our dedication to strengthening localization of services in the sector. Through our industry expertise, we will support SPARK’s vision and create a world-class ecosystem that fosters sustainable value for communities and accelerates the growth of enterprises. We look forward to a successful collaboration that embodies innovation and excellence in the energy sector."
The project is expected to be completed in Q3 2025 and is planned to receive a LEED (Leadership in Energy and Environmental Design) green building certification, recognized by the world's most widely used green building rating system.
In November 2023, Schneider Electric announced the acquisition of a license from the Ministry of Investment and the Ministry of Commerce in the Kingdom of Saudi Arabia to establish its Regional Headquarters (RHQ) in the country. This RHQ will oversee operations in Bahrain, Yemen, and Pakistan for Schneider Electric’s business in the region.
Following the RHQ license acquisition, Schneider Electric is investing in local talent, fostering innovation, and creating closer collaborations with stakeholders in the region. This move is aligned with the company’s vision to become a local partner with a global footprint, with solutions tailored to the needs of each market.