Chinese energy storage company ZOE Energy Storage has entered into a joint venture with a Saudi partner to establish Saudi Arabia’s first battery energy storage system (BESS) manufacturing facility, marking a major step in the Kingdom’s clean energy ambitions.
The planned factory will become ZOE Energy’s second international production base following the company’s 6 gigawatt-hour (GWh) facility in Hungary. The Saudi project is set to deliver a total production capacity of 18GWh and will be developed in two phases across a 150-acre site.
Under the first phase, the plant will produce 6GWh of battery storage systems annually, with operations expected to begin in the first quarter of 2027.
According to the company, the manufacturing hub will cater to growing demand for energy storage solutions across the Gulf region, the Middle East and North Africa (MENA), Central Asia, and Africa.
The investment supports Saudi Arabia’s wider renewable energy targets, which include reaching 130 gigawatts (GW) of renewable energy capacity, deploying 48GWh of energy storage, and generating 50 percent of its electricity from clean energy sources by 2030.
As part of the initiative, ZOE Energy also announced plans to establish a Green Energy Academy within the manufacturing complex to train local talent and strengthen technical expertise in the Kingdom.
Huang Jun, Chairman of ZOE Energy Group, said the facility would focus on developing energy storage technologies designed specifically for extreme desert environments, adding that the project could set new benchmarks for similar climate regions globally.
The company did not disclose the identity of its Saudi partner, the exact location of the facility, or the total value of the investment.
