Saudi Arabia’s recent announcement of a massive investment of 21 trillion won (approximately $17.5 billion) into domestic hydrogen electric vehicles has stirred considerable excitement in the automotive industry. This investment signals a significant shift in the country’s vision for the future of transportation and energy. Notably, it has also put the spotlight on Cammsys, a company pioneering specialized electric vehicles with substantial backing from the Middle East.
During a state visit to Saudi Arabia, President Yoon Seok-yeol emphasized the importance of the partnership between Korea and Saudi Arabia in a post-oil era. The President’s summit with Crown Prince Mohammed bin Salman and Prime Minister of Saudi Arabia laid the foundation for several key agreements.
One of the key outcomes of this diplomatic exchange was a memorandum of understanding (MOU) for export orders worth $15.6 billion (about 21 trillion won). This MOU signifies a significant step towards strengthening economic ties between the two nations. Importantly, it adds to the 26 projects worth $29 billion (approximately 40 trillion won) signed during Crown Prince Muhammad’s visit to Korea in November the previous year.
At the Korea-Saudi Investment Forum, Hyundai Motor Group, and Saudi Arabia’s sovereign wealth fund entered into a contract to establish an automobile assembly plant in Saudi Arabia. This venture is backed by a joint investment of $400 million (about 540 billion won), signaling a significant commitment to the growth of the automotive sector in the Middle East.
However, amid this wave of investment and collaboration, it’s a lesser-known company, Cammsys, and its subsidiary Cebo Mobility, that have been generating particular interest. Cebo Mobility recently secured an impressive 100 million euros (approximately 143 billion won) in investments from the United Arab Emirates (UAE) and embarked on a mission to develop electric vehicles tailored exclusively for the Middle East market.
Cebo Mobility’s focus centers on designing vehicle models ideally suited for the specific demands of the Middle East. Among these is a four-seater electric vehicle that is currently under in-house development. The broader strategy includes contributing to the development of the UAE’s electric vehicle industry by providing comprehensive support for KD (Knock Down) factory equipment, production technology, and the localization of related technologies. KD, in this context, refers to a method of exporting products as components, which are then assembled, produced, and sold locally.
This development underscores the potential of the Middle East’s electric vehicle market, as it aligns with global efforts to transition to sustainable and clean energy solutions. The profound impact of Saudi Arabia’s investment and collaborative initiatives with companies like Cammsys and Cebo Mobility may very well set the course for a sustainable, low-emission future in the region.