An agreement worth SR7 billion ($1.87 billion) was struck between Saudi Global Ports and a Chinese company to advance green operational capacities at the Kingdom’s ports.

The deal — hailed as the world’s largest single contract for the manufacture and supply of electric trucks — was signed by the Public Investment Fund subsidiary and China’s SANY for King Abdulaziz Port in Dammam, according to a statement from the Kingdom’s ports authority.

As per the contract, SANY will deliver 80 electric trucks to the port, added the release from the authority, also known as Mawani.

This move is part of Saudi Arabia’s strategy to position itself as a major global logistics hub, connecting three continents, in line with its National Transport and Logistics Strategy.

The facility, honored as “Port of The Year” for 2024 at the ShipTek awards, will boast the largest fleet of electric vehicles in the Middle East upon completion of the deal.

Electric trucks play a major role in safeguarding the environment at ports by producing zero exhaust emissions, thereby reducing air pollution and greenhouse gas emissions.

They also offer enhanced energy efficiency and cost savings in operations and maintenance.

Omar Hariri, president of Mawani, highlighted in the statement that the contract signing contributes to the port’s development and modernization into a flexible and sustainable logistical center.

He emphasized the depth of the strategic partnership between Mawani and SGP, aiming to establish a pioneering model for operational excellence and logistical efficiency.

Hariri also stressed that this reflects the pivotal role of King Abdulaziz Port in supporting commercial movement, aligned with the objectives of the national strategy for transport and logistics services.

In the long term, it aims to contribute to clean air and combat climate change, aligning with the objectives of the Saudi Green Initiative and Vision 2030’s sustainability goals.

Earlier this year, the Chinese firm delivered 50 dump trucks to the Kingdom, where they joined over 1,700 units of SANY machines already deployed on site for the construction of NEOM, marking a significant contribution to the development.

The agreement was signed during the Transport Logistics China exhibition in Shanghai, being held from June 25 to 27.

The event will feature over 700 exhibitors showcasing their offerings across 50,000 sq. m. of exhibition space, allowing visitors to explore the latest developments and trends through the conference program.

ARAB NEWS