How Saudi Arabia’s National Industrial Strategy Is Driving Demand for Industrial Automation Equipment

The National Industrial Strategy drives demand for industrial automation equipment in Saudi Arabia by targeting about 36,000 factories by 2035, tripling manufacturing GDP by 2030, and pushing factories toward Industry 4.0. Every new or upgraded plant needs controllers, drives, sensors, and operator interfaces, so the strategy’s targets translate into equipment purchases, even though no official figure counts automation orders directly.

What Is the Saudi National Industrial Strategy?

The Saudi National Industrial Strategy (NIS) is a long-term plan, launched by Crown Prince Mohammed bin Salman on 18 October 2022, to grow and diversify the Kingdom’s industrial economy under Vision 2030.

•           Factories: raise the count from 10,640 in 2022 to about 36,000 by 2035.

•           Output: triple manufacturing GDP by 2030.

•           Exports: lift industrial exports to SAR 557 billion by 2030.

•           Investment: attract SAR 1.3 trillion of additional investment, with more than 800 opportunities worth SAR 1 trillion identified.

•           Technology: increase exports of advanced-technology products about sixfold.

•           Focus: 12 industrial sub-sectors, including chemicals, renewable energy, automotive, and medical and pharmaceutical products.

These are the figures announced at launch and reported by the Saudi Press Agency and major news outlets.

How Do NIDLP, Made in Saudi, and Vision 2030 Manufacturing Fit Together?

The NIS is one layer of a wider framework that links policy, local content, and exports.

•           Saudi Vision 2030 manufacturing goals: the national plan sets industry as a cornerstone of diversification away from oil.

•           NIDLP: the National Industrial Development and Logistics Program, launched in 2019, covers industry, mining, energy, and logistics.

•           Made in Saudi program: launched in March 2021, it promotes local products and non-oil exports.

•           Ministry of Industry and Mineral Resources: began work on 1 January 2020 and now publishes monthly industrial indicators.

Together these programmes explain why factories are being licensed, financed, and built at a steady pace.

How Is Saudi Arabia’s Industrial Base Growing in 2026?

Ministry data shows steady growth in the number of factories, though the total includes plants that are still being built.

•           Mid-2026: 14,228 industrial facilities at the end of June 2026, up about 14% from 12,486 a year earlier.

•           Status: the count includes factories that are operational, under construction, or temporarily idle.

•           2025: 1,660 new industrial licences worth SAR 76.1 billion, and 1,201 factories started production with investment above SAR 31 billion.

•           Employment: about 903,550 workers in licensed factories at the end of 2025, with a 31% Saudization rate.

•           June 2026 alone: 364 new licences and 164 factories entering production.

The monthly pace of new licences means new equipment needs arrive continuously, not only in occasional waves.

Why Does the National Industrial Strategy Drive Demand for Industrial Automation Equipment in Saudi Arabia?

The link is practical: the strategy’s goals cannot be reached without more automated, better-controlled plants.

1.         Output without proportional labour: tripling manufacturing GDP while building towards 36,000 factories favours automation of repetitive and hazardous tasks.

2.         Industry 4.0 programmes: the Ministry’s 2025 report said more than 1,800 factories benefited from Industry 4.0 initiatives, including 1,800 Smart Industry Readiness Index assessments and 350 advanced factory reviews.

3.         Export quality: targets of SAR 557 billion in industrial exports by 2030 require consistent, traceable quality.

4.         New plants need a control layer: each new line needs PLCs, drives, sensors, and operator displays from the start.

5.         Energy and efficiency: drives and monitoring cut power use, which supports the Kingdom’s efficiency goals.

Because no official statistic separates automation purchases, this reasoning, not a published order figure, is how the demand connection is made.

Which Industrial Automation Equipment in Saudi Arabia Benefits Most?

Most upgrades draw on the same five equipment groups.

•           PLCs and controllers: run machines and production lines.

•           HMIs and industrial PCs: let operators monitor and control processes.

•           Variable frequency drives and motors: control speed and cut energy use on pumps, fans, and conveyors.

•           Sensors and relays: position, process, and motion sensors feed controllers, and relays and actuators carry out commands.

•           Measurement and test instruments: check that automated lines make product within tolerance.

General Tech Services lists PLCs, relays, sensors, actuators, and HMIs in its Automation and Control Gear range, and carries OMRON automation products, including sensors, PLCs, HMI panels, and safety components.

Why Do Drives and Motors Often Come First?

Drives are among the quickest automation upgrades because they can be added to existing motors.

•           A drive lets a motor run at the speed the process needs, instead of running at full speed and throttling the output.

•           On centrifugal pumps and fans, power falls roughly with the cube of speed, so small speed reductions give large energy savings.

•           Soft starting reduces stress on belts, couplings, and bearings, which lowers maintenance cost.

For many new Saudi plants, motor control is the first layer of automation specified.

What Does the Made in Saudi Program Mean for Equipment Buyers?

Local manufacturers aiming to supply domestic and export markets need production lines that deliver consistent quality.

•           New factories need complete control and instrumentation packages from the start.

•           Export customers expect documented quality, which depends on controlled and measured processes.

•           Buyers benefit from suppliers who can provide stock, technical advice, and calibration locally.

Equipment sourced through an established distributor also simplifies spares and support after commissioning.

Why Is the Eastern Province Important for Automation Demand?

The Eastern Province is one of the Kingdom’s two largest industrial regions, and it is where General Tech Services has its Saudi office, in Dammam.

•           At the end of 2025, the Eastern Province had 2,626 operating factories, more than 25% of the national total.

•           It also had 514 factories under construction, about 21.4% of those being built nationwide.

•           Riyadh led with 3,808 operating factories (36.6%) and 1,061 under construction.

Many plants in the region sit close to oil, gas, and petrochemical activity, so local supply of control and measurement equipment shortens lead times.

How Do the Priority Sub-Sectors Shape Equipment Needs?

Each sector the strategy targets leans on a different mix of control and measurement equipment.

•           Chemicals and plastics: process sensors, drives for pumps and mixers, and gas and leak detectors for safety.

•           Automotive and machinery: PLCs for production lines, precision dimensional measuring tools such as Mitutoyo calipers and micrometers, and torque tools for controlled assembly.

•           Food and agriculture: temperature monitoring, conveyors with variable-speed drives, and packaging line controls.

•           Construction materials: heavy motors, drives, and conveyors for crushers, kilns, and mixers.

•           Pharmaceutical and medical products: environmental monitoring and calibrated instruments to support documented quality.

Matching equipment to the sector helps procurement teams specify one coordinated package instead of buying piece by piece.

How Do Smart-Factory Programmes Change What Plants Buy?

Industry 4.0 readiness depends on collecting reliable data at the machine, so sensors and communications matter as much as controllers.

•           Sensors and drives that report status and faults make it possible to see problems before a stoppage.

•           PLCs and HMIs with network connections feed that data to supervisory systems and dashboards.

•           Readiness assessments, like the 1,800 carried out by the Ministry in 2025, typically start by checking how much of a plant is measured and connected.

For many factories, the first practical step is adding measurement and connectivity to existing machines, rather than replacing them.

What Are the Limits and Risks of This Demand Picture?

A national target does not guarantee equipment orders, and a balanced view helps buyers plan.

•           Long horizons: the main targets run to 2030 and 2035, so progress is gradual.

•           Counts are not orders: factory and licence statistics show industrial activity, not automation spending.

•           Sources vary: analysts quote the targets in riyals or dollars and for different years, so always cite the source and the date.

•           Skills: automation equipment needs trained technicians to install, tune, and maintain it.

Treat the strategy as a strong tailwind for automation spending, not a fixed order book.

Why Do Measurement and Calibration Matter for Automated Plants?

Automation only improves quality if the sensors and instruments feeding it are accurate.

•           Control loops act on sensor readings, so a drifting transmitter or temperature sensor pushes the process off target without warning.

•           Export customers and auditors expect calibration certificates traceable to recognised standards.

•           Process instruments are commonly recalibrated every 12 months.

General Tech Services has supplied industrial equipment across the GCC for more than 25 years and provides technical and calibration support to Saudi customers from Dammam.

How Should Procurement and Maintenance Teams Prepare?

Planning ahead avoids rushed purchases during project peaks.

1.         Audit existing controllers, drives, and instruments, and list obsolete items.

2.         Start with quick wins, such as drives on large pumps and fans.

3.         Standardise on a few brands to simplify spares and training.

4.         Set a calibration schedule for instruments that feed control loops.

5.         Choose suppliers that can offer stock, technical advice, and calibration together.

FAQ: Saudi National Industrial Strategy and Industrial Automation

Q: What is the goal of the Saudi National Industrial Strategy? To diversify the economy by growing industry, including about 36,000 factories by 2035, tripling manufacturing GDP by 2030, and raising industrial exports to SAR 557 billion by 2030.

Q: How many factories does Saudi Arabia have now? The Ministry reported 14,228 industrial facilities at the end of June 2026, counting operational, under-construction, and temporarily idle plants.

Q: What is the Made in Saudi program? It is a programme launched in March 2021 to promote Saudi products and increase non-oil exports.

Q: Does the strategy mention Industry 4.0? Yes. The Ministry reported that more than 1,800 factories benefited from Industry 4.0 initiatives in 2025, including readiness assessments and advanced factory reviews.

Q: What equipment should a new Saudi factory buy first? Many plants start with motor control (drives), PLCs, and HMIs, then add sensors, safety components, and monitoring.

Equip Your Saudi Plant for the Next Phase of Growth

From PLCs and sensors to drives and HMIs, General Tech Services supplies industrial automation equipment, including OMRON automation products and motors and VFDs, with local support from Dammam. Get in touch to plan your next upgrade.

Talk to us (Saudi): +966 569 289 544