- The Kingdom’s newly inaugurated Ras Al-Khair Special Economic Zone, invites companies to be at the forefront of the country’s innovative maritime and offshore cluster development.
- Ras Al-Khair Special Economic Zone becomes a key regional maritime player thanks to its strategic location, attractive investment incentives, and business-friendly environment
Saudi Arabia’s Ras Al-Khair Special Economic Zone has opened the investment gateway for local and foreign investors looking to tap into the Kingdom’s flourishing maritime infrastructure. Investors will benefit from the financial, strategic, and operational advantages that come with a presence in the King Salman International Complex for Maritime Industries and Services, which is one of the largest maritime yards in the world.
The inauguration of the Ras Al-Khair SEZ – operated by the Royal Commission for Jubail and Yanbu – is inviting companies to be at the forefront of an exciting new chapter in the growth of the Kingdom’s Maritime and Offshore Cluster sectors, by exploring the myriad of opportunities offered.
Building on the area’s rich maritime capabilities, Ras Al-Khair SEZ will play an integral role in accelerating and delivering innovation to the sector through state-of-the-art shipbuilding located adjacent to the Kingdom’s newest industrial port.
Ahmed M. Hassan, CEO of Ras Al-Khair City for Mining Industries, said: “Ras Al-Khair SEZ is transforming into a key global hub for strategic investments with its rapid growth and unique position at the center of the Arabian Gulf, raising its economic importance in the Kingdom and wider region, but also across the global maritime and Offshore Cluster industries”.
Companies investing in this dynamic global initiative will fulfill an essential role in driving Saudi Arabia’s ambition to develop a “state-of-art” Maritime and Offshore Cluster support industry by localizing end-to-end supply chains and creating a docking hub for regional ship repairs and maintenance.
With an initial area of 20 square kilometers, Ras Al-Khair SEZ is a rapidly expanding zone with two focus areas, The King Salman International Complex for Maritime Industries and Services, and the Offshore Cluster supply chain. Companies seeking opportunities in the SEZ benefit from globally competitive incentives, and technologies, including Artificial Intelligence (AI), access to green products and materials, renewable energy sources, and the opportunity to be part of a vibrant and innovative community that collaborates on research and development across the industry.
“Local and foreign investors will not only gain access to the largest and most technically advanced shipyard and fully integrated Offshore Cluster in the Middle East and North Africa region but will also find the facilities, and materials they need to build the maritime capabilities of the future. Whether it is building new ships, developing innovative technology and materials, or maintaining, repairing, and overhauling existing vessels such as offshore support ships, jack-up rigs, or very large crude carriers, Ras Al-Khair SEZ offers a globally recognized marine ecosystem in which to facilitate that,” said Ahmed M. Hassan.
Connectivity is key with the SEZ offering direct links to the Kingdom’s mines and Ras Al-Khair Industrial Port via the KSA North-East Rail link. In addition, King Fahd International Airport (the country’s third largest airport) is just two hours away with connectivity to 43 local and international destinations.
Flexible regulations to attract talent help to set Ras Al-Khair SEZ apart along with attractive investment incentives, including a 5% corporate income tax rate for up to 20 years, and a permanent 0% withholding tax for any profits repatriated from the SEZ to overseas countries. There is also a 0% customs duties deferral for goods inside Ras Al-Khair SEZ, and 0% Value Added Tax (VAT) for all goods exchanged either within the SEZ or with other zones.
Opportunities abound within Ras Al-Khair SEZ, from shipbuilding, maintenance, and repair services to manufacturing, technology, and logistics. Seventy percent of ships produced in Ras Al-Khair SEZ will supply regional markets. A key joint venture with the International Maritime Industries (IMI), Saudi Engines Manufacturing Company (MAKEEN), and McDermott is set to propel the region’s maritime focus, including shipbuilding, constructing offshore rigs, and performing repairs, and maintenance. The Ras Al-Khair SEZ is expanding it’s capabilities, building on its existing infrastructure with a skilled workforce and reputation as a premier global destination for strategic investments.
