Saudi Arabia’s first electric vehicle (EV) brand and original equipment manufacturer (OEM), Ceer, has signed a SR8.2bn ($2.2bn) partnership deal with South Korea-based Hyundai Transys for the supply of electric vehicle drive systems (EDS) for Ceer vehicles.

According to Ceer chief executive James DeLuca, the landmark deal is a step forward in its mission to ignite the Saudi automotive sector. 

He said the deal will allow Ceer "to integrate this cutting-edge EDS technology in our world-class electric vehicles”.

Unlike a typical EDS, which comprises separate motors inverters, and reduction gears, resulting in power loss between connecting cables and limitations in vehicle space configuration, Hyundai Transys’s integrated EDS is a three-in-one system that combines a motor required to drive the EV, an inverter and a reduction gear, which converts power to control the motor’s torque.

According to Ceer, the advanced system significantly reduces size and weight while enhancing power efficiency, which is expected to streamline the EV design process and boost cost competitiveness.

Ceer plant project

The Ceer EV manufacturing facility in Jeddah's King Abdullah Economic City (KAEC) has made significant progress. Beijing-headquartered Metallurgical Corporation of China won a subcontract in May to supply and install the steel structures for the production facility at KAEC.

In February, the client awarded a SR5bn contract to local contractor Modern Building Leaders (MBL) to build its first EV production plant.

The project’s construction will be undertaken in phases at an estimated cost of SR7bn.