Saudi Arabia’s Ceer signs $2bn deal with Hyundai Transys to supply EV drive systems

Saudi Arabia’s pioneering electric vehicle brand, Ceer, has secured a monumental SR8.2 billion ($2.18 billion) agreement with Hyundai Transys, a South Korea-based company, to supply “EV Drive Systems” for its vehicles.

Ceer stated in a press release that Hyundai Transys’ integrated Electric Drive System is a revolutionary three-in-one solution incorporating a motor for propulsion, an inverter, and a reduction gear. This innovative approach eliminates power loss typically associated with separate components and enhances vehicle space configuration.

James DeLuca, CEO of Ceer, hailed the partnership as a significant stride toward advancing the Saudi automotive sector.

He expressed excitement over integrating Hyundai Transys’ cutting-edge EDS technology into Ceer’s electric vehicles, further solidifying its position as a global leader.

Ceer emphasized that this advanced EDS system will not only reduce vehicle size and weight but also enhance power efficiency, streamline the EV design process, and improve cost competitiveness.

Steve Yeo, CEO of Hyundai Transys, echoed DeLuca’s sentiments, expressing confidence in the project’s success and anticipating a fruitful long-term partnership between the two companies.

Ceer was launched in November 2022 by Saudi Arabia’s Crown Prince Mohammed bin Salman as the Kingdom’s first EV brand. A joint venture between the Public Investment Fund and Foxconn, Ceer leverages BMW’s licensed component technology in its vehicle development process.

According to Saudi Arabia’s Ministry of Industry and Mineral Resources, Ceer is projected to contribute SR30 billion to the Kingdom’s GDP by 2034. The ministry also anticipates that Ceer’s factory will attract over SR562 million in foreign direct investment and create up to 30,000 direct and indirect jobs, further underscoring its significance in driving economic growth and job creation in the Kingdom.