PIF sets up Tasaru Mobility Investments

Logos of the National Automotive and Mobility Investment Co. (Tasaru Mobility Investments) and Public Investment Fund (PIF)

Saudi Arabia’s Public Investment Fund (PIF) launched today, Oct. 10, the National Automotive and Mobility Investment Co. (Tasaru Mobility Investments), which specializes in developing local supply chain capabilities for the automotive and mobility industry in the Kingdom.

Tasaru Mobility Investments will drive strategic investments and partnerships with both local and global private sector companies. It aims to support sector growth and deliver long-term returns through the localization of manufacturing expertise and the latest cutting-edge technologies that will accelerate the development of Saudi Arabia’s electric vehicle (EV) and autonomous mobility ecosystem, the PIF said in a statement.

By boosting local capabilities, the company will support Saudi Arabia’s wider efforts to become a global leader in this vital industry, the statement added.

The PIF further stated that the step comes in line with its strategy to expand Saudi Arabia’s automotive capabilities to boost its global competitiveness and ultimately position it as a global leader in the sector.

The Kingdom's sovereign wealth fund has made significant investments in the future of mobility, including establishing Saudi Arabia’s first national EV brand, Ceer, in partnership with Foxconn, as well as investing in US-based Lucid Motors.

On Sept. 27, Lucid opened its first international manufacturing plant, situated in King Abdullah Economic City (KAEC), with plans to eventually produce up to 155,000 vehicles per year.

The fund appointed Michael Müller as Tasaru Mobility Investments CEO, bringing more than 25 years of experience in the automotive industry. He previously held senior management positions at Porsche AG and Volkswagen Group in Saudi Arabia as well as Central and Eastern Europe.

The company’s first investment is a joint venture (JV) with Zamil Group Real Estate Co., Abdullah Ibrahim Alkhorayef Sons Co., and Dar Al Himmah Projects Co. Ltd. to develop an automotive logistics hub in KAEC, which will serve the aftermarket parts industry.

Tasaru Mobility Investments will be a majority shareholder in the new JV, leveraging special economic zone advantages and playing a pivotal role in attracting global suppliers and enhancing trade. The investment complements KAEC’s ambition to become an automotive manufacturing and logistics hub.

“Through a combination of strategic investments and private sector partnerships, Tasaru Mobility Investments aims to enhance the local supply chain and manufacturing capabilities to strengthen the end-to-end ecosystem for Saudi Arabia’s EV and autonomous mobility industries,” Omar Al-Madhi, Co-Head of MENA Direct Investments at PIF and Chairman of Tasaru Mobility Investments, said.

“The establishment of the company demonstrates PIF’s commitment to diversify the economy, improve sustainability and localize technology and sector-specific knowledge,” he added.

Tasaru Mobility Investments will support research and development, increase the adoption of advanced technologies, and pursue sustainable opportunities in the sector.

By accelerating the transition to EVs and future mobility solutions, the company will make an important contribution towards Saudi Arabia’s climate goals, including the Kingdom and PIF’s net-zero emissions target by 2060 and 2050, respectively.