Study on local assembly of Korean cars under way

Study on local assembly of Korean cars under way
Updated 04 October 2013

Study on local assembly of Korean cars under way

Study on local assembly of Korean cars under way

Korean investors are conducting a feasibility study on setting up car assembly plants in Saudi Arabia.
This was revealed by Yang Gi-shin, Korea’s consul general in Jeddah, in an interview with Arab News on the opening day of the Third Korean Catalogue Exhibition at the Jeddah Chamber of Commerce and Industry (JCCI).
“Korean businesspeople who have investments in the Korean car industry are conducting a feasibility study to determine the number of Korean-made cars in the Kingdom.” If the study favors investment, work would start on this “huge project, which would be the first of its kind between the Kingdom and Korea.”
Over 100 Korean companies from 12 sectors participated in the exhibition, which was opened by Mazin Batterjee, JCCI’s vice-chairman. It aims to boost and develop commercial and economic ties between the two countries. Officials from the Korean consulate and many Saudi and Korean businessmen attended the event.
Shin said investors in the Korean car industry are thinking of setting up the assembly plants in Riyadh and Jeddah.
“The project will be officially announced once the feasibility study is finalized, and all relevant factors studied and assessed,” he said. “There is a solid and stable investment environment in the Kingdom due to the robust Saudi economy,” he said.
Meanwhile, the JCCI signed a cooperation agreement Thursday with the Korean International Trade Association (KITA). Batterjee said that trade between South Korea and Saudi Arabia in 2012 stood at SR183 billion, an increase of 40 percent from the previous year.
“The agreement to enhance trade and economic ties with South Korea is really very important. South Korea is one of the Asian tigers, while Saudi Arabia and South Korea are both members of the G20’s leading nations.”
“South Korea is also a very important trade partner of Saudi Arabia. It is in our best interest to acquaint ourselves with Korean expertise in industry, commerce and investment, and to benefit from Korean experience in information technology, telecommunication networks, software and many other areas.”
“We also hope that the agreement will help the two countries overcome any hurdles or difficulties that stand in the way of commercial and investment cooperation,” he said.