The Tesla Electric Vehicle Company on Thursday opened its first showroom in the oil-rich Saudi Arabia, owned by billionaire Elon Musk-where hybrid cars are still not a common vision.
The inauguration in the capital Riyadh comes with controversial musk for the US government, leaving Tesla sales and showrooms in the United States to work by the world’s richest person.
Saudi Arabia is a major regional ally in Washington, and US President Donald Trump had a close relationship with real ruler Crown Prince Mohammed bin Salman during his first term, promising to inject $ 600 billion in American business and investments.
However, the demand for electric vehicles in Saudi Arabia is relatively low, which is the world’s largest oil exporter, enjoying the price of bargaining-base fuel, with a one liter cost only 2.33 riyal ($ 0.62).
Cheap fuel and prolonged extreme heat in a huge desert country means that large oil -taking cars rule the highest.
Saudi economist Mohammad al-Qahatani welcomed Tesla’s move, but even more requested.
“We don’t want a showroom; we want a factory,” he said. “We want to be part of the production process, not just consumption.”
Charging infrastructure and lack of vast size of the country means that many Saudi drivers will see EVS as suitable for less visits rather than replacement for traditional vehicles.
The capital of about 950 km (590 mi) is different from the second city of Jeddah – more than the maximum range of most electric car batteries.
According to data platform statista, Saudi Arabia has only 101 charging stations, compared to 261 than 261 in the United Arab Emirates.
Although the Saudi EV market remains small, it was three times for about 800 cars last year, according to Business News Outlet Al-Ekatisadiah.
Officials are demanding a variety in the economy, which depends a lot on oil exports, aimed at installing 5,000 electric vehicle chargers by 2030.
Saudi Arabia’s sovereign money funds, PIF, now 60 percent luxury electric vehicle controls Lucid.
It has also gained a deal with South Korea’s Hyundai to set up a plant in the state for both EVS and petrol-driven cars.
Additionally, Saudi EV brand Sear launched in 2022 planned to start production in 2025.
A vehicle of lousid, which opened a factory in Jeddah after a billion-dollar Saudi investment in 2023, costs $ 92,000.
In the last May, the Chinese company BYD opened a showroom in Riyadh, and sold more affordable electric cars.
(Except for the headline, the story has not been edited by NDTV employees and is published by a syndicated feed.)
