Carrier has plans to build a cutting-edge manufacturing and R&D facility in Saudi Arabia that will deliver advanced heating, ventilation and air conditioning (HVAC) solutions.
The partnership will serve customers in the Kingdom, and its visionary Giga projects, such as NEOM, as well as ensure broader regional – and even global – distribution.
The agreement will leverage Alat’s financial strengths and Carrier’s technology and manufacturing capabilities to develop made-in-Saudi Arabia intelligent climate solutions, marking the first phase of the partnership with Alat.
Alat was established on 1 February, 2023, by His Royal Highness Prince Mohammed bin Salman Abdulaziz Al Saud, Crown Prince and Prime Minister, chairman of the Board of Directors of Alat.
These offerings will address the continued growth of the HVAC industry in the Middle East and North Africa (MENA) region, which is expected to become a US$10 billion addressable market by 2030 – and a US$334 billion market globally by 2030.
This market will also provide scale to develop products, such as solutions for district cooling and heating, which could be used globally.
Alat CEO, Amit Midha, said Carrier is a long-term partner in their smart buildings line of business.
Carrier chair and CEO, David Gitlin, said the company has a long presence in Saudi Arabia and looks forward to significant growth opportunities in the region.
“This partnership is the start of a longer-term partnership to co-develop innovative solutions that will redefine intelligent climate and energy solutions for the Middle East and beyond,” he said.
“The Kingdom´s vision for a more energy efficient, environmentally responsible tomorrow is well aligned with Carrier’s goals and makes this partnership a winning combination. We are excited about the future and look forward to collaborating with Alat as we further build on our long presence in this important region.”
Carrier and Alat plan to break ground later this year on an advanced sustainable manufacturing and R&D facility in the Kingdom that will provide high-volume, high-tech, energy-efficient HVAC products including variable refrigerant flow (VRF), air-cooled chillers, air handling units (AHUs) and rooftop units for MENA markets, supported by local supply chain.
R&D will focus on developing breakthrough technologies to meet region-specific requirements, such as high ambient temperature and natural/Low GWP refrigerant HVAC systems, both of which can also be exported globally. As many as 5,000 jobs are expected to be created locally to support the project.