Tesla, owned by billionaire Elon Musk, has opened its first showrooms in Saudi Arabia, with locations in Riyadh, Jeddah, and Dammam. The launch, announced on Thursday, comes as Tesla faces global challenges, including declining sales and a drop in its share price.
Naseem Akbarzada, Tesla’s country manager for Saudi Arabia, called the launch the start of a “long-term presence” in the kingdom. Charging stations in the three cities will be operational by Friday, with plans for further expansion.
Despite the launch, electric vehicle (EV) adoption in Saudi Arabia faces significant challenges. The country’s cheap fuel prices—2.33 riyals ($0.62) per litre—and extreme heat make large, fuel-powered vehicles more practical. Additionally, the vast distances between cities, such as the 950 kilometers (590 miles) between Riyadh and Jeddah, exceed the range of most EV batteries.
Saudi Arabia currently has only 101 charging stations, compared to 261 in the smaller United Arab Emirates, according to Statista. However, the government plans to install 5,000 EV chargers by 2030 as part of its economic diversification efforts.
Economist Mohammed Al-Qahtani welcomed Tesla’s entry but urged the company to establish local production. “We do not want a showroom; we want a factory,” he said.
The Saudi EV market remains small but is growing, with sales tripling last year to nearly 800 vehicles, according to Al-Iqtisadiyah. The Public Investment Fund (PIF) now owns 60% of luxury EV maker Lucid and has partnered with Hyundai to build a plant for electric and petrol-powered cars in the kingdom.
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Yeah no one is buying tesla anymore
Unlike us Pakistanis , us population actually hates musk and his junk