On Wednesday, December 13th, a delegation led by the Minister of Industry and Mineral Resources of Saudi Arabia visited the Changwon plant of the global automotive parts company CTR (CityRover). The fact that the Saudi government showed interest in domestic mid-sized companies and made a visit all the way to Changwon is considered quite unusual and noteworthy.

Currently, the Saudi government is strengthening its local electric vehicle promotion policies as part of its Vision 2030 to reduce dependence on oil. As part of their efforts to enhance on-site communication and promote the local automotive industry, it is analyzed that a delegation from the Ministry of Industry and Mineral Resources, responsible for fostering the local automotive industry, visited CTR directly.

On the visit, a delegation of 10 members, including Bandar Al-khorayef, the Saudi Minister of Industry and Mineral Resources; Sultan Al-saud, a prince and the head of the Saudi Industrial Development Fund; and Saad Al-khalb, the Chairman of the Saudi Exports and Imports Bank, visited the CTR facility. The delegation from the Ministry of Industry and Mineral Resources engaged in discussions regarding current issues and support measures for the establishment of a joint automotive parts company in Saudi Arabia. They specifically discussed incentives and tax benefits overseen by the National Industrial Development Center (NIDC) and held discussions with relevant institutions such as the Public Investment Fund (PIF) of Saudi Arabia regarding the establishment of the joint venture. 

Furthermore, discussions included the selection of partner companies for the joint venture and detailed planning for the project's execution, taking into account various localization support measures under the support of the Saudi government, including incentives, low-interest loans, land provision, and tax benefits.

CTR is a global automotive parts company within the CTR Group that manufactures current and steering products. As of 2022, it is a leading company in the eco-friendly future mobility sector, with electric vehicle-related revenue accounting for 45% of its total revenue.

CTR signed a "Business Agreement for the Establishment of an Eco-Friendly Automotive Parts Joint Venture Company" with the Saudi Arabian Ministry of Investment (MISA) in October. During this recent visit, the Saudi government expressed its commitment to support CTR's local joint venture company (JV) establishment by allocating roles to various departments, indicating that the process is expected to accelerate.

CTR's CEO, Yun Yong-ho, stated, "With the Saudi government strengthening its electric vehicle promotion policy, the establishment of CTR's joint factory in Saudi Arabia will contribute to the innovative development and infrastructure creation of the local eco-friendly automotive industry." He also expressed his hope that the meeting would facilitate the smooth establishment of CTR's joint venture company.

CTR CEO Yoon Yong-ho said, "In the context of the Saudi government's strengthened electric vehicle promotion policy, the establishment of CTR's joint factory in Saudi Arabia will contribute to innovative development and infrastructure formation in the local eco-friendly automotive industry." He added, "Through this meeting, we hope that the establishment of CTR's parts joint venture will proceed smoothly. 

We look forward to Saudi Arabia and CTR collaborating to open new horizons in the eco-friendly automotive industry. We wish for continued growth and prosperity in the future.