Saudi Aramco and BYD have entered into a joint development agreement to advance new energy vehicle (NEV) technologies. Announced on April 22, 2025, the partnership aims to leverage the research and development (R&D) capabilities of both companies to achieve innovations in the NEV sector.
BYD, a leading global electric vehicle manufacturer, has been active in Saudi Arabia since its official entry into the country’s auto market in February 2024. This collaboration with Saudi Aramco, Saudi Arabia’s state-owned oil company, follows BYD’s strategic expansion in the Middle East and underscores the company’s commitment to sustainability and technological advancement in the region.
Saudi Aramco Technologies Company (SATC), a wholly owned subsidiary of Saudi Aramco, signed the agreement with BYD to foster the development of technologies that enhance both efficiency and environmental performance in NEVs. The partnership aims to utilize Saudi Aramco’s extensive R&D experience in new energy solutions alongside BYD’s innovative technologies to drive breakthroughs in the NEV industry. This initiative supports the Saudi government’s ambitious electrification plan, which targets 30 percent of vehicles being NEVs by 2030.
Luo Hongbin, BYD’s Senior Vice President, expressed optimism about the collaboration, stating that the combined R&D efforts of both companies are expected to overcome geographical and mindset barriers, resulting in high-efficiency solutions with a low carbon footprint. This aligns with the broader goals of reducing environmental impact and enhancing energy efficiency in the automotive sector.
Since its market entry, BYD has introduced several models in Saudi Arabia, including the Han EV, Atto 3, Seal EV, Qin Plus, and Song Plus. The company launched its first Saudi store in Riyadh on May 28, 2024, which features a showroom, discovery center, and service center. BYD reported significant sales growth in the first quarter of 2025, with 1,000,804 NEVs sold globally—a 59.81 percent increase year-over-year—and 206,084 NEVs sold in overseas markets, marking a 110.51 percent year-over-year rise. Additionally, BYD is expanding its workforce in Saudi Arabia and plans to open more stores to accommodate increasing demand.
This strategic partnership between BYD and Saudi Aramco is expected to contribute significantly to the advancement of NEV technologies and support the ongoing efforts towards electrification and environmental sustainability in the region.
Source: CNeVPost
