Saudi Arabia’s sovereign wealth fun has partnered with Foxconn Technology Group to establish a new electric vehicle brand dubbed Ceer.
Crown Prince Mohammed bin Salman is looking to diversify the nation’s economy to reduce its reliance on the oil industry and having already invested heavily into Lucid, Saudi Arabia has decided that it is time to join the EV race with a brand of its own, according to The Wall Street Journal.
In addition to entering a joint venture with Foxconn, Saudi Arabia’s EV brand will license component technology from BMW. Meanwhile, Foxconn will develop the “infotainment, connectivity and autonomous driving technologies” of the future EVs, although it is not yet clear if the Taiwanese company will invest its own capital in the joint venture.
Read: Lucid Has Just Opened Its First Studio In Saudi Arabia
Foxconn has been cozying up with the Saudis for quite some time and has been in discussions since last year about establishing a $9 billion multipurpose facility in the country that could make microchips alongside electric vehicle components and other pieces of electronics. Foxconn has also offered to build a dual-line foundry for surface-mount technology and wafer fabrication in Neom, the new city being established by the sovereign wealth fund.
Saudi Arabia says Ceer could attract as much as $150 million of foreign direct investment and may create as many as 30,000 jobs.
Ceer plans to launch a series of sedans and SUVs and could begin deliveries of its first model as early as 2025. It is unclear whether these vehicles will be positioned as affordable, mass market EVs that will sell in high numbers or as high-end models that could occupy a similar space in the market to those from Lucid.