Arctech has marked a significant milestone in its global growth strategy with the completion of Phase II of its manufacturing facility in Jeddah, Saudi Arabia. The expansion not only strengthens Saudi Arabia’s role as a renewable energy hub but also underscores the company’s growing influence in the Middle East and North Africa (MENA) region.
The facility, built with an investment of $60 million and spanning 100,000sqm, is set to increase Arctech’s annual production capacity to 15GW. This expansion enables the local production of solar-tracking components, including posts, transmission shafts, and AI-driven control boxes. Arctech’s chairman, Cai Hao, highlighted that the MENA region, alongside China and India, now forms one of the company’s three core growth bases. Saudi Arabia, in particular, is seen as a key strategic market. Cai emphasised the importance of not just manufacturing but also fostering innovation, saying, “Our factories in Jeddah and India serve as bridges connecting regional clients with global innovation.”
Supporting Saudi Vision 2030
Arctech’s commitment to localisation is aligned with Saudi Arabia’s Vision 2030, particularly its push to increase local content in the renewable energy sector. Wang Pei, Arctech’s head of International Operations, explained that the new facility’s advanced AI control systems and SCADA monitoring will ensure long-term performance and simplify maintenance for solar tracking solutions. The company’s AI-driven control box can improve energy output by up to 8 percent through cloud- and back-tracking algorithms, while its wind-tunnel laboratory ensures tracker reliability in extreme conditions.
Key Role in UAE’s Renewable Energy Strategy
Arctech’s expansion extends beyond Saudi Arabia. The company has been integral to the UAE’s push towards renewable energy. Arctech supplied 2.1GW of its SkySmart II trackers for the Al Dhafra PV2 project in Abu Dhabi, one of the world’s largest solar farms. It also secured a 1.5GW contract in Dubai, collaborating with Masdar, EDF Renewables, and JinkoPower. These projects play a key role in supporting the UAE’s Net Zero 2050 Strategy and demonstrate the growing integration of solar energy across the GCC.
Phase III and Future Expansion
Looking ahead, Cai Hao confirmed plans for Phase III of the Jeddah complex, which will focus on energy-storage systems, cleaning robots, and further AI solutions. This will further localise Arctech’s portfolio and strengthen regional supply-chain resilience. As part of the expansion, the company also aims to complete the localisation of slew drive and control box manufacturing by next year.
Arctech is committed to enhancing sustainability through intelligent technology and innovation. The company also plans to introduce 3MW of rooftop photovoltaic systems and carport solar panels at its Jeddah plant, contributing to the region’s green transition. This is part of the company’s broader goal to integrate global innovations with local partnerships.
Arctech’s workforce in the MENA region is growing, with over 120 employees from 11 different nationalities. The company remains dedicated to developing local talent and contributing to the region’s renewable energy goals.
The continued expansion of Arctech’s operations in the MENA region highlights the increasing importance of localised renewable energy production. The company’s investments and strategic partnerships are contributing to the growth of sustainable energy infrastructure in the region, aligning with national and regional green transition goals.
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