Manufacturing/Assembly For Electrical AC Motor

Overview

This opportunity entails setting up a Manufacturing/assembly plant for AC motor equipment.

AC motor is an electrical device which converts electrical energy into mechanical energy. It is used in a wide range of applications such as desalination, WWTP, Brine, fruit juice ,produced water, oil industry, storm water, and dairy.

Market overview

Electrical motor is expected to witness fast growth in the coming years due to the fact that additional assets will be added to the kingdom by next mega & giga  projects (Neom, Red Sea, King Salman Park, AlOula, Amaala, King Abdullah Financial District (KAFD),Addiriyah, New Jeddah Downtown, Qiddiya, Ministry of Housing Projects). In addition to the growing markets of oil & gas and water treatment, this will have the potential to boost the market growth of  electrical motors in KSA.

As of 2017, the KSA electrical market size was valued to be 2 Billion SAR.

Manufacturing process of AC motors :

Metallurgy lab, sizing, stamping, stator winding, rotor winding, stator pressing, shaft shrinking,  dynamic balancing, assembly, testing

Other opportunities that can be localized throughout the value chain is rotor, stator, Commutator, brushes and terminals

Main raw material Iron (import) & copper (local)

  • Investment size: To be determined by the investor
  • Location: To be determined by the investor
  • Timeline: Open to starting the project as soon as possible

Investment Model

Model: Opportunity to consider different operating models

  • Pure private sector model
  • Joint venture with the government