This opportunity entails developing the value chain for the production of gears for industrial machinery to serve KSA and the broader GCC region.
The overall demand for industrial gears in Saudi Arabia has been growing, estimated at USD 97 million in 2017. Driven by the presence of several oil and gas manufacturing companies in the Kingdom, market size is forecasted to increase at an annual growth rate of 3% to reach USD 121 million by 2025. The global gears market is dominated by spur gears and bevel gears, having 50-80% market share.
Beyond the KSA market, investors in Saudi have the opportunity to tap into the wider regional market of the GCC. With many companies in the GCC establishing extraction and production plants, demand for gears in the region has been increasing and is expected to continue to increase from USD 106 million in 2017 to USD 151 million by 2025.
The main focus of this opportunity is to establish a manufacturing facility for industrial gears.
- Manufacturing: establish outsourced services offering heat treatment, machining…
- Manufacturing: establish facilities to produce locally and supply manufacturing facilities
However, additional opportunities for localization exist across the value chain of industrial gears production. These opportunities include:
- Design: potential to be part of a larger design center setup by the EPC or the OEM
- Raw materials: localize production of key materials such as PEEK, Delrin, brass, etc.
- Operations and maintenance: offer support services, including maintenance, installation and operation services
Industrial and Manufacturing
Industrial Equipment & Spare Parts
To be determined by the investor
To be assessed by investor (cost drivers and other financial figures to be shared upon request)
Open to starting the project as soon as possible
- Pure private sector model
- Joint venture with local player
Contact Our Manufacturing of industrial gears Expert
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