Changan Automobile eyes Middle East Localization

Wang Jun, president of Changan Automobile and CEO of Changan
Wang Jun, president of Changan Automobile and CEO of Changan
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Updated 05 September 2024
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Changan Automobile eyes Middle East Localization

Wang Jun, president of Changan Automobile and CEO of Changan

With Changan Automobile’s focus on the Middle East, the region has assumed a strategic significance in the Chinese automobile manufacturer’s global growth strategy. The company established Changan’s largest flagship store in Riyadh and is building user centers and parts distribution centers for the Middle East region — all aimed at significantly enhancing the user experience.  

Wang Jun, president of Changan Automobile and CEO of Changan Technology, said: “We consistently uphold the mission of ‘leading automotive culture and benefiting human life,’ and are actively transforming into a smart, low-carbon mobility technology company. Our strategy clearly emphasizes delivering products, technology, and services to users worldwide. Moreover, there is user demand. In recent years, we have observed that consumers in Saudi Arabia and the Middle East increasingly prefer high-tech and sustainable vehicles and have higher expectations for an enhanced mobility experience, hence aligning deeply with our product and brand philosophy.

“Through the rapid development of smart, new energy, and intelligently connected vehicles in China, Changan has achieved a high level of global leadership, giving Chinese brands a competitive edge in this area. Changan Automobile has also made significant progress in the development of smart new energy, resulting in new, competitive products and services. We aim to offer these products and services to users worldwide, including those in the Middle East, providing them with more choices for better products and higher-quality services.”

Changan is customizing its products and services to meet the unique needs and preferences of customers in the Middle East. 

Jun said: “Under the guidance of the ‘Vast Ocean Plan,’ we aim to move beyond China and integrate into local markets. We have established the Middle East and Africa Division in collaboration with investors and dealer partners, to accurately understand the local user needs, to develop versatile products and provide a customized service. 

“An adaptive approach to development is essential, alongside the understanding and modification in order to fit the unique needs of Middle Eastern customers. By conducting adaptive development of vehicles based in regional geography and climate, as well as local conditions and driving habits, the products and services are designed to suit the market. 

For example, Saudi Arabia is a very hot country, and we need the products to endure this extreme heat. With this in mind, since 2014 Changan has conducted extreme heat tests (Summer Test) for 10 consecutive years, involving more than 50 models, over 80 Changan engineers, and approximately 1 million kilometers of verification to enhance vehicle performance, durability, and safety. Due to these extreme heat conditions, Changan has focused on continuously optimizing its air conditioning system, making it one of the coolest in the market. In the future, we will further advance the localization of R&D capabilities.” 

The president said that customized services are also very important. “Though market research we found that most Saudi users park their cars outdoors, which makes the vehicles very hot when users enter. Through our collaboration with Huawei Cloud, we are launching smart and connected car solutions in the Middle East this year, enabling remote vehicle control, allowing users to turn on the air conditioning in advance, so the car is cool when users enter. The Qibla compass is also a specialized feature we designed for Muslim drivers, helping them easily determine the direction of Makkah in order to pray, fully reflecting and respecting local cultural practices. At the same time, we are preparing to establish regional subsidiaries and exploring a ‘dual-engine’ strategy for integrated operations and regional dealer partnerships. We are also setting up a regional[21]  parts distribution center in the UAE and developing a professional maintenance team to continuously improve the user experience.”

Highlighting Changan’s initiatives toward reducing its carbon footprint and promoting green technology in its vehicles, Jun said the company’s strategy is actively responding to the Saudi government’s Vision 2030 and is firmly committed to pursuing a path of high-quality development with an emphasis on ecological priorities, green, and low-carbon growth. “We will continue to strengthen ESG initiatives, promoting economic and social development in the regions where we operate, while actively fulfilling our responsibilities and obligations as a global company — specifically in areas such as resource conservation, environmental protection, and public welfare,” he added.

On the product side, Changan Automobile adheres to a multi-technology development approach. Jun said: “We have substantial technological reserves in various powertrain types, including pure electric, plug-in hybrid, range-extended, and hydrogen fuel, offering consumers a diverse range of mobility options for all scenarios. 

“On the manufacturing side, the green and low-carbon concept has been integrated into all aspects and stages of Changan Automobile’s operations. Several advanced low-carbon and energy-saving technologies have been promoted and applied. Our Chongqing, Hefei, and Hebei plants have built photovoltaic power stations with a combined capacity of approximately 79 MW, generating green clean energy for self-use. Over a year, these stations have consumed 57.6 million kWh of green electricity, reducing 50,000 tons of carbon emissions. 

“Changan is also strengthening its full-cycle carbon footprint management, concentrating on tasks such as a recycling system construction and comprehensive resource utilization. Through Changan, we are also exploring the establishment of advanced, easily replicable EPR models for automotive products. 

“Furthermore, we promote the application of low-carbon materials and technologies, and have completed research on 15 types of low-carbon and lightweight technologies, including recycled aluminum, bio-based nylon, and variable-strength hot stamping. It is also worth mentioning that we have developed and implemented low-carbon process technologies such as circular recycling of painting, cleaning solvents, reclaimed water reuse, and sludge drying, aiming to improve resource utilization rates and achieve waste resource recovery, recycling, and emission reduction.” 

Commenting on Changan’s key achievements over the past 30 years, Jun said: “We have gained global recognition and trust from our users, driven by our commitment to providing customers worldwide with new and competitive products and services. As a result, we have gained global recognition and have become the choice of over 40 million users. Furthermore, we have deconstructed the automotive industry into ‘research, production, supply, sales, and transportation’ centered around the product, and ‘buying, selling, using, repairing, and servicing’ centered around the user.”

He also mentioned the company’s partnerships with over 1,100 global suppliers and more than 9,300 global dealers, established over the years, contributing to the sustainable, high-quality development of the automotive industry.

“Our strategic goals further align with the principles of the automotive industry and are steadily advancing their implementation. Changan has always upheld the mission to ‘lead auto culture and benefit human life,’ and we are firmly committed to transforming into a smart, low-carbon mobility technology company, advancing toward becoming a world-class automotive brand. We have divided our strategic vision into specific goals for 2025 and 2030 respectively and have broken down the objectives into actionable tasks through detailed policy implementation, ensuring these goals are iterative, actionable, and achievable.”

Jun said Changan remains committed to long-termism, localization, and a focus on ESG in its globalization strategy. 

He said Changan has remained at the forefront of automotive technology, including electric vehicles, smart driving, and sustainability. “We have defined a strategic plan for intelligence and this includes ‘The Dubhe Plan,’ and ‘New Cars, New Ecosystems.’ By focusing on new intelligent automative solutions we are rapidly building Changan Automobile’s core competencies in smart technology. Digital-intelligent products, technology, manufacturing, and management is also essential.

“To strengthen the organization we have also established 16 technology and product R&D centers, all focused on areas such as electronic and electrical architecture platforms, intelligent driving, and smart cockpits. This has allowed us to build core capabilities in chips, devices, maps, cores, clouds, networks, and satellites. Additionally, we have recruited over 50 experts in software, algorithms, and AI, to assemble a team of more than 2,000 individuals dedicated to creating new vehicles.”

He said the automaker is committed to ensuring that its annual R&D investment accounts for no less than 5 percent of the revenue. “Looking ahead, we plan to invest over 200 billion yuan ($28.1 billion) in intelligence and will continue to explore and promote the establishment and operation of local R&D centers, with adaptive development for local markets. 

“It is also worth mentioning that we have a comprehensive product and technology system in place to ensure strong capabilities and support. We have established the CA-PDS development system, CA-TVS testing and verification system, and CA-DDS design management system, along with a robust ‘Iron Triangle’ supplier relationship, all centered around the entire industry chain. At the same time, we continuously iterate and innovate, driving transformative changes in the four major processes: R&D, manufacturing, supply, and marketing,” Jun added.

Commenting on Changan’s vision for the next decade, especially in light of the rapidly evolving automotive industry, Jun said: “Looking to the future, Changan Automobile will proactively recognize, adapt and drive change, employing strategic thinking to plan comprehensively and embrace transformation to meet any challenges. We have continually reviewed and optimized our Innovation and Entrepreneurship Plan since its 2017 launch, and we are now at version 8.0. With our focus on three major initiatives — ‘Shangri-La,’ ‘The Dubhe Plan,’ and ‘Vast Ocean Plan,’ we are fully reinforcing our development foundation. 

“Further expanding our global presence, particularly in emerging markets such as the Middle East, is also key. We will continue to adhere to the development principles of localization, long-term commitment, and sustainability, to strengthen local partnerships and launch more than 10 global products in the future.”

Jun believes that acknowledging competition and continuously improving their products is the only way to navigate the challenges of the global market, particularly in emerging economies like those in the Middle East.

“Only competition can drive innovation and development. Strategic guidance is essential, and we remain committed to realizing our grand vision of building a world-class automotive brand, and using this strategic vision to guide our development,” Jun said.

He said that product excellence is also king, and the company continuously develops new technologies and solutions to maintain its industrial dominance, by consistently providing products and services that satisfy consumers. 

“Full cooperation will also establish long-term sustainable systems, business partnerships, and strong communication with governments and the public ... Creating an environment of mutual respect and equality among different cultures will enable us to develop in a sustainable way in the long term,” Jun added.


Salam Mobile renews partnership with Zain KSA

Salam Mobile renews partnership with Zain KSA
Updated 12 October 2024
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Salam Mobile renews partnership with Zain KSA

Salam Mobile renews partnership with Zain KSA

The Integrated Telecom Company, known as Salam Mobile, has extended its strategic partnership with Zain KSA, a provider of telecommunications and digital services in Saudi Arabia. This newly signed agreement extends the collaboration until 2030, focusing on expanding and enhancing Salam Mobile’s services by leveraging Zain KSA’s cutting-edge hosting capabilities and advanced telecommunications infrastructure.

This collaboration aligns with Salam Mobile’s strategy to elevate user experiences, strengthen its presence, and expand its services across the Kingdom. By leveraging Zain KSA’s advanced 5G infrastructure and digital capabilities, Salam Mobile will deliver enhanced mobile solutions, while contributing to the Kingdom’s broader digital goals. The partnership also reinforces Zain KSA’s dedication to promoting digital inclusion and advancing Saudi Arabia’s telecommunications and smart services sectors. Through direct, strategic investments in innovation and expansion, Zain KSA empowers mobile virtual network operators like Salam Mobile, along with other digital service providers, to grow and actively participate in the Kingdom’s digital transformation journey.

Salam Mobile CEO Ahmed Al-Anqari said: “Our partnership with Zain KSA has been instrumental in supporting our growth and expansion plans, playing a pivotal role in our transformation as a key contributor to the Kingdom’s digital transformation journey. With the renewal of this strategic partnership, we will leverage one of the most advanced 5G networks in the region, enabling us to expand our coverage and enhance our service and product portfolio for both individuals and businesses. This move reaffirms our commitment to building strong partnerships and harnessing cutting-edge technologies to accelerate digital transformation and support the Kingdom’s broader objectives.”

Acting CEO of Zain KSA Saad bin Abdulrahman Al-Sadhan added: “We remain committed to supporting the realization of Saudi Vision 2030 and our leadership’s aspirations to transform the Kingdom into a global hub of innovation and a smart digital economy. As a leading telecommunications provider, we recognize our duty to promote digital inclusion, which enhances the daily experiences of our customers and helps them achieve their goals. Our responsibility also extends to our partners in this vital telecom sector, particularly mobile virtual network operators. Empowerment drives impact, and inclusive partnerships yield widespread benefits. This is why we are focused on creating a level playing field that serves everyone and improves the overall quality of services and solutions. In line with this vision, we are pleased to extend our strategic partnership with Salam Mobile until 2030, building on years of successful collaboration.”

The partnership between Zain KSA and Salam Mobile, begun in 2021.


New Murabba participates in Riyadh career fair

New Murabba participates in Riyadh career fair
Updated 12 October 2024
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New Murabba participates in Riyadh career fair

New Murabba participates in Riyadh career fair

New Murabba Development Company participated in the 10th edition of the Step Ahead Career Fair in Riyadh, as part of its aim to attract the very best Saudi talent of the future. The exhibition featured a large gathering of more than 873 local and international employers within the Kingdom.

“New Murabba is committed to collaborating with various Saudi companies and sectors to attract highly skilled and ambitious talent. Our New Murabba Graduates Program is designed for both male and female graduates from local and international universities. This program aims to provide specialized and high-quality training to integrate and engage graduates, contributing to the company’s objectives and supporting Saudization plans and targets,” said Mamdouh Al-Quraishi, chief corporate services officer.

Al-Quraishi highlighted the significant engagement and attendance at the company’s exhibition pavilion, with notable interest from visitors and prospective candidates. Both male and female national talents expressed their keenness to join the New Murabba team. The company’s representatives warmly received them, addressing their queries regarding job applications and providing information about the New Murabba Graduate Program.

New Murabba is building a vibrant, modern destination in Riyadh, where innovation and technology harmonize with nature and sustainability. 

This landmark destination is set to captivate the world and pave the way for a new era in the bright future of the Kingdom.


Tetra Pak launches ‘Made, Consumed and Recycled in Saudi Arabia’ campaign

Tetra Pak launches ‘Made, Consumed and Recycled in Saudi Arabia’ campaign
Updated 12 October 2024
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Tetra Pak launches ‘Made, Consumed and Recycled in Saudi Arabia’ campaign

Tetra Pak launches ‘Made, Consumed and Recycled in Saudi Arabia’ campaign

Tetra Pak has launched its “Made, Consumed and Recycled in Saudi Arabia” campaign, marking 44 years as an industry champion of economic development, sustainability efforts, and food security in the Kingdom. The campaign enforces the company’s commitment to the economic diversification of the Kingdom’s economy and embraces the opportunity to highlight Tetra Pak’s role in reinforcing Saudi Arabia as a regional hub for food packaging and manufacturing in the Middle East.

Since its establishment in Saudi Arabia in 1980, Tetra Pak has significantly contributed to the Kingdom’s industrial and economic growth. The Jeddah factory that produces millions of products annually has been instrumental in positioning Saudi Arabia as a central hub for food packaging in the Middle East. This factory exports 40 percent of its products to 11 countries and has produced more than 165 billion products since its inception in 1998.

“Tetra Pak’s 44-year journey in Saudi Arabia is a testament to our unwavering commitment to the Kingdom’s economic development and Vision 2030 goals,” said Niels Hougaard, managing director of Tetra Pak Arabia. “Our world-class local production contributes to Saudi Arabia’s food security and supports local food and beverage customers in rolling out innovative food products in the local and export markets.”

As a first mover in carton packages recycling in the Kingdom, Tetra Pak invested $3 million in Saudi Arabia’s first comprehensive carton packages recycling solution. 

Partnering with Obeikan Paper Industries and Saudi Top Plastics, the recycling facility has the capacity to recycle 8,000 tons of carton packages annually, demonstrating the company’s commitment to supporting customers’ sustainability goals and aligning with Saudi Vision 2030’s circular economy targets.

Tetra Pak plays a pivotal role in supporting Saudi Arabia’s food and beverage industry, with more than 80 percent of local businesses relying on Tetra Pak’s processing equipment and packaging products to build and operate their plants efficiently in the Kingdom.


Saudi Arabia’s NSK Consultants signs partnership with Chinese private sector partners

Saudi Arabia’s NSK Consultants signs partnership with Chinese private sector partners
Updated 11 October 2024
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Saudi Arabia’s NSK Consultants signs partnership with Chinese private sector partners

Saudi Arabia’s NSK Consultants signs partnership with Chinese private sector partners

A leading Saudi company has announced the signing of a strategic partnership with private sector partners from China, marking a first-of-its-kind initiative to foster collaboration between two of the world’s largest economies. 

NSK Consultants, a Saudi-owned company founded in 2006 and based in Riyadh, and Beijing NAR International Consulting Company Limited, alongside the National Advanced Company, have signed two major partnerships in Saudi Arabia.

This collaboration aligns with the shared vision of boosting industrial integration between the Kingdom and China, in line with Saudi Arabia’s Vision 2030, which seeks to diversify the economy and attract foreign investments. Trade between the two nations exceeded $87 billion in 2023, underscoring the strong economic ties between Saudi Arabia and China.

The partnership was signed in the presence of representatives from both sides, with a mutual commitment to providing specialized industrial consulting to Chinese companies looking to enter the Saudi market. This partnership will offer an excellent opportunity for Chinese companies to understand the Saudi market, assist with compliance reviews, and help them navigate Saudi tax and legal regulations. Additionally, it will provide the necessary technical and logistical support to ensure the success of these investments. The strategic relationship is formed at a time when Chinese investments in Saudi Arabia have surpassed $35 billion, primarily focusing on infrastructure, energy, and technology sectors. Conversely, Saudi investments in China have reached over $10 billion, concentrated in the oil and petrochemical sectors.

Through this partnership, the three offices will facilitate trade relations and provide the expertise needed to transfer knowledge and technology, contributing to the development of Saudi Arabia’s industrial sector. The agreement is expected to create new job opportunities and reinforce Saudi Arabia’s position as a regional and global industrial hub.

Dr. Nasser S. bin Kadasah, chairman of NSK Consultants, said: “We are delighted to sign this strategic partnership with our Chinese partners, and we aim to achieve tangible results that enhance our industrial capacities and increase bilateral trade between our two nations. We are committed to providing all necessary support to attract Chinese investments and foster a conducive environment for growth.”

He added: “This collaboration underscores the strong and growing relationship between Saudi Arabia and China, supporting ongoing efforts to enhance economic partnerships and promote the development of local industries to benefit both nations.”

The parent company of NAR International has already achieved success in Saudi Arabia, working closely with the Saudi private investment sector in engineering, procurement, construction, and operation projects related to smart farming. It plans to introduce relevant industrial facilities for agriculture through this partnership.

The collaboration is being facilitated by three international offices located in Riyadh, Beijing, and Suzhou, with the goal of attracting leading Chinese manufacturers to invest in the Saudi market, enhancing bilateral trade, and providing industrial consultancy services.


Jeddah International Motor Show set to welcome 300,000 visitors

Jeddah International Motor Show set to welcome 300,000 visitors
Updated 10 October 2024
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Jeddah International Motor Show set to welcome 300,000 visitors

Jeddah International Motor Show set to welcome 300,000 visitors

The city of Jeddah is gearing up to host the latest edition of Jeddah International Motor Show. The event will take place at the Jeddah Superdome from Oct. 29 to Nov. 2, bringing together the latest models, cutting-edge technologies, and advanced designs from the automotive world. This year’s show is set to feature an exclusive launch by one of the world’s leading automotive brands, further establishing the event as a global platform for the latest industry developments.

As one of the most eagerly awaited events in the Middle East, the motor show draws the attention of both car enthusiasts and industry experts. It serves as a major meeting point for the unveiling of new models and automotive innovations. The event’s significance is bolstered by projections that car sales in Saudi Arabia will reach 779,000 units by 2032, giving the Kingdom a 37 percent market share in the MENA region. This positions Saudi Arabia at the forefront of regional markets and highlights its pivotal role in shaping the future of the automotive industry.

Expected to draw over 300,000 attendees from across the globe, Jeddah International Motor Show 2024 promises to be not just an exhibition but a one-of-a-kind experience full of excitement and unforgettable moments. Visitors can enjoy thrilling SUV and off-road vehicle shows, interactive karting tracks, and simulation races. The opportunity to test drive dream cars adds a personal, hands-on dimension to the event, making it a must-attend for car lovers.

The show’s venue itself is a marvel that enhances the event’s grandeur, with the Jeddah Superdome — the world’s largest pillarless geodesic dome — holding a Guinness World Record. This architectural wonder underscores Jeddah’s status as a global hub for premier exhibitions and a beacon of excellence in the automotive industry.