April 24, 2025 – A significant collaboration spanning the energy and automotive sectors has been officially announced. On April 21, Saudi Aramco Technology Company (SATC), a subsidiary of Saudi Aramco, the national oil company of Saudi Arabia, signed a joint development agreement with BYD, a leading Chinese new energy vehicle manufacturer. The two parties will engage in in – depth cooperation on new energy vehicle technologies, jointly exploring innovative approaches to enhance vehicle efficiency and environmental performance. This move also injects new impetus into Saudi Arabia’s accelerated transition to clean transportation.
As a global giant in the oil industry, Saudi Aramco boasts abundant resource reserves and robust R&D capabilities. BYD, on the other hand, holds a significant position in the new energy vehicle sector, thanks to its leading battery technology and mature electric vehicle manufacturing system. This collaboration represents a perfect complementarity of strengths. It is worth noting that Saudi Arabia has previously set a “five – year goal” to increase the domestic penetration rate of electric vehicles from 1% to 30%. However, weak infrastructure remains an urgent issue to be addressed. As of the end of 2024, there were only 101 electric vehicle charging stations in Saudi Arabia.
According to AsiaMB, Ali A. Al – Meshari, Senior Vice President of Technology Oversight at Saudi Aramco, has high hopes for this collaboration. He pointed out that the partnership between SATC and BYD is based on Saudi Aramco’s extensive R&D experience in new energy – efficiency solutions. The two sides will promote transportation efficiency through diverse means, such as innovating low – carbon fuels and exploring advanced powertrains. This initiative demonstrates Saudi Aramco’s firm commitment to multi – pathway energy transformation. Luo Hongbin, Senior Vice President of BYD, also stated that BYD has always adhered to the innovation concept of open collaboration. He looks forward to breaking boundaries in the R&D of cutting – edge new energy vehicle technologies with SATC, jointly developing solutions with high – efficiency performance and low – carbon attributes, and contributing to the global fight against climate change.