Abdul Latif Jameel has signed a memorandum of understanding (MoU) with Japanese company Kosei Aluminum to explore the feasibility of a joint venture to manufacture wheels and aluminium components in Saudi Arabia.
Saudi Arabia and Japan last year agreed to deepen existing bilateral relations between the two countries and establish a solid strategic partnership, as part of the Saudi-Japan Vision 2030.
The MoU, signed in Tokyo, Japan, will now see both companies study the potential of tapping into Saudi Arabia’s rich aluminium deposits and competitive energy costs through a joint venture. This would contribute to the development of the manufacturing industry in Saudi Arabia – a key priority of Saudi Vision 2030. The joint venture would also explore the potential of exporting the products globally.
Fady Mohammed Abdul Latif Jameel, Deputy President & Vice Chairman, Abdul Latif Jameel International said: “This MoU has the potential to develop into an exciting joint venture, which would bring manufacturing and skills to Saudi Arabia, while contributing to the country’s domestic automotive industry.”
The signing ceremony was attended by Mohammed Abdul Latif Jameel, Chairman and Chief Executive Officer of Abdul Latif Jameel, Fady Mohammed Abdul Latif Jameel, Deputy President & Vice Chairman of Abdul Latif Jameel International, Masato Ohde, Director of Kosei Aluminum Co., Ltd.., Kazuhisa Hosoi of Kosei Aluminium Co., Ltd., Yoshifumi Asahina and Chiu Man Raymond Lai of Kosei International Trade & Investment.
The feasibility study is expected to begin in 2018 and be completed by 2019.