Chinese EV giant BYD plans to triple its footprint in Saudi Arabia, aiming to expand from 3 showrooms to 10 by late 2026, according to its Saudi managing director Jerome Saigot.
The move comes after Tesla entered the Saudi market in April with its first Riyadh showroom, joining BYD and Geely in the Kingdom’s emerging EV sector.
Saudi Arabia is aggressively pushing to become a regional EV hub, targeting 30% EV adoption by 2030 under its Vision 2030 plan. The Public Investment Fund (PIF) has backed EV companies like Lucid Motors, launched its own EV brand Ceer, and is expanding charging infrastructure.
Despite these efforts, EVs still represent just over 1% of car sales in Saudi Arabia, due to high prices, limited charging stations, and concerns about battery performance in extreme heat.
Saigot welcomed Tesla’s entry, saying it helps raise consumer awareness of EVs. “The more Tesla communicates on marketing, the better it is for us,” he told Bloomberg.
Globally, BYD has closed the gap with Tesla, outselling the US company in Europe for the first time in April.
Analysts believe Tesla’s arrival could accelerate EV adoption in Saudi Arabia. According to Oliver Wyman, nearly half of Saudis are now considering buying an EV. However, challenges remain, including costly insurance premiums and battery degradation risks, according to Marsh UAE.