Lenovo Set to Begin Saudi Production in Late 2026

Lenovo unveils its Saudi-made laptop at LEAP 2026 (Asharq Al-Awsat)
Lenovo unveils its Saudi-made laptop at LEAP 2026 (Asharq Al-Awsat)
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Lenovo Set to Begin Saudi Production in Late 2026

Lenovo unveils its Saudi-made laptop at LEAP 2026 (Asharq Al-Awsat)
Lenovo unveils its Saudi-made laptop at LEAP 2026 (Asharq Al-Awsat)

Saudi Arabia is seeking to cement its position as a regional technology manufacturing hub as Lenovo prepares to begin commercial production at its new Riyadh plant in late 2026.

The facility, Lenovo’s largest outside China, will be the company’s first worldwide to manufacture laptops, desktops, servers and Motorola smartphones at a single site. It will serve markets across the Middle East, Türkiye and Africa.

Lenovo unveiled its first laptop manufactured in Saudi Arabia at the LEAP 2026 technology conference in Riyadh, marking a shift in its partnership with Alat, a company owned by the Public Investment Fund, from investment and capacity-building to the domestic production of technology devices.

Salman Faqeeh, Lenovo’s vice president and general manager for Saudi Arabia, told Asharq Al-Awsat that the laptop represented an important milestone for the company. He said large-scale production was expected to begin in late 2026.

“The Riyadh facility has been designed to produce Lenovo’s product portfolio over time, including PCs, desktop computers, servers and Motorola smartphones,” Faqeeh said.

“Our Riyadh facility is Lenovo’s first worldwide to produce all four product categories and is also the company’s largest factory outside China.”

Faqeeh said Lenovo remained on track to begin large-scale commercial production in late 2026. The company is focused on developing a world-class manufacturing ecosystem that supports Saudi Arabia’s industrial ambitions, serves regional markets and connects with Lenovo’s global supply chain, he added.

Lenovo’s largest plant outside China

The Riyadh facility has been designed to produce a broad range of Lenovo products, including laptops, desktops, servers and Motorola smartphones.

It will be the first plant in Lenovo’s global manufacturing network to bring production across all four categories together at a single site, as well as the company’s largest factory outside China.

The facility is being built on a site covering about 200,000 square meters at Riyadh Integrated, operated by the Special Integrated Logistics Zone near King Khalid International Airport.

The project is part of a strategic partnership between Lenovo and Alat aimed at developing an industrial and technology manufacturing base serving the Middle East, Türkiye and Africa.

Lenovo officially opened its regional headquarters in Riyadh in April 2026 as part of its plans to expand its manufacturing and research and development operations.

Saudi Arabia as a manufacturing and innovation hub

Faqeeh said Saudi Arabia was becoming increasingly important to Lenovo’s global strategy, not only as a regional market but also as a center for leadership, innovation, talent development, and manufacturing.

The company has established its Middle East, Türkiye, and Africa regional headquarters in Riyadh and is expanding its innovation initiatives and local talent development programs.

Saudi Arabia will play a larger role in Lenovo’s global manufacturing, innovation, and supply-chain network in the coming years, Faqeeh said, citing accelerating investment in the Kingdom’s technology and industrial sectors.

Growing demand for AI solutions

Faqeeh said Lenovo was seeing growing demand in Saudi Arabia and the wider region for artificial intelligence-enabled devices, infrastructure, and services as organizations moved beyond experimentation towards deploying the technology more broadly.

Government, financial services, energy, manufacturing, retail, education, healthcare, and sports were among the sectors driving that growth, supported by heavy investment in digital infrastructure, he said.

Those investments were creating opportunities across the technology ecosystem, ranging from AI-ready devices to data-center solutions and edge-computing infrastructure.

Research, development and talent

Lenovo is continuing work to establish a research and development center and a customer experience center in Saudi Arabia, Faqeeh said.

The company has appointed Dr. Rabeah Alzaidy to lead its local research and development initiatives.

Areas under consideration include artificial intelligence, device innovation, smart manufacturing, and technologies tailored to local market requirements, including support for Arabic-language use.

The customer experience center will allow customers, partners, and policymakers to interact directly with Lenovo’s latest technologies and innovation capabilities, Faqeeh said.

The first group of Saudi engineers has completed training at Lenovo manufacturing facilities around the world and is now supporting the company’s local operations.

Lenovo will continue investing in programs that build expertise in advanced manufacturing, engineering, research and development, and emerging technologies, allowing Saudi talent to participate in the technology industries of the future, Faqeeh said.

Partnership with Alat

Faqeeh said Lenovo’s partnership with Alat had moved from vision to implementation, citing progress in constructing the plant, the unveiling of the first Saudi-made Lenovo laptop, and the launch of initiatives to develop Saudi talent.

The partnership combines Lenovo’s global manufacturing expertise with Saudi Arabia’s industrial ambitions, he said.

It is intended to strengthen domestic capabilities, develop high-value skills, support knowledge transfer, and help build a technology manufacturing ecosystem capable of competing globally.



Riyadh to Add 94 New Trains to Boost Transport Capacity

A Riyadh Metro train travels through the Saudi capital. (SPA)
A Riyadh Metro train travels through the Saudi capital. (SPA)
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Riyadh to Add 94 New Trains to Boost Transport Capacity

A Riyadh Metro train travels through the Saudi capital. (SPA)
A Riyadh Metro train travels through the Saudi capital. (SPA)

The Royal Commission for Riyadh City has signed contracts to procure and manufacture 94 new trains for the capital’s metro network, increasing its fleet to 277 from 183, with deliveries scheduled to begin in batches in 2028.

The new trains are expected to boost the network’s overall passenger capacity by 57%, with increases varying by line: 142% on the red line, 116% on the yellow line, 57% on the blue line, 27% on the orange line and 16% on the purple line. Additional capacity will be allocated according to ridership and projected demand.

The expansion comes as the Riyadh Metro has recorded about 275 million passenger trips since December 2024. Average monthly ridership in 2026 has risen by around 25% compared with the same period in 2025.

The investment is intended to accommodate anticipated growth in travel demand as Riyadh expands and prepares to host major international events, including Expo 2030 and the 2034 FIFA World Cup.

Germany’s Siemens and France’s Alstom are carrying out the contracts, which are worth more than $5 billion in total and cover train manufacturing, systems and equipment, maintenance, training and other technical and operational services.

The trains will be delivered in stages as manufacturing is completed, then undergo testing and operational trials before gradually entering service.

The investment is part of broader efforts to develop Riyadh’s transport infrastructure, including public transit, roads and intersections, to meet the needs of the capital’s growing population and urban expansion.


Copper Steadies as Dollar Strength Counters Chile Supply Worries

Stacks of copper cathodes sit inside Glencore's Canadian Copper Refinery in Montreal, Quebec, Canada on October 3, 2026. (Photo by ANDREJ IVANOV / AFP)
Stacks of copper cathodes sit inside Glencore's Canadian Copper Refinery in Montreal, Quebec, Canada on October 3, 2026. (Photo by ANDREJ IVANOV / AFP)
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Copper Steadies as Dollar Strength Counters Chile Supply Worries

Stacks of copper cathodes sit inside Glencore's Canadian Copper Refinery in Montreal, Quebec, Canada on October 3, 2026. (Photo by ANDREJ IVANOV / AFP)
Stacks of copper cathodes sit inside Glencore's Canadian Copper Refinery in Montreal, Quebec, Canada on October 3, 2026. (Photo by ANDREJ IVANOV / AFP)

Copper prices ‌held nearly steady on Tuesday as a strong US dollar countered support from supply concerns in top producer Chile.

Benchmark three-month copper on the London Metal Exchange was little changed at $14,628.00 a metric ton by 0700 GMT, after hitting a two-week high in the previous session, said Reuters.

The most-traded copper contract on the Shanghai Futures Exchange edged 0.2% higher to 110,990 yuan a ton.

The dollar took ‌a breather ‌but hovered near an 18-month high, ‌underpinned ⁠by safe-haven demand ⁠amid escalating tensions in the Middle East. A stronger greenback makes dollar-denominated metals more expensive for holders of other currencies.

Supply concerns remained in focus after Chilean state miner Codelco partially suspended operations at its El Teniente mine following a landslide, ⁠while Antofagasta's Centinela copper mine and two ‌unions were set ‌to resume talks as a strike continued.

Copper inventories outside ‌the United States have declined in recent ‌months as shipments were diverted to the country ahead of potential tariffs on refined copper imports.

Analysts at BMI raised their average copper price forecast for 2026 ‌to $13,500 per ton from $12,700, citing tariff-related market distortions and persistent supply constraints.

"For the ⁠remainder ⁠of the year, prices are set to oscillate sharply in response to tariff-policy headlines, with the eventual US decision likely to dictate near-term price direction," BMI said.

Among LME metals, aluminium was down 0.4% at $3,039 after touching an eight-month low on Monday, zinc lost 0.7% to $3,729.50, lead rose 0.4% to $1,891, nickel gained 0.2% to $15,640 and tin eased 0.6% to $52,870.

Among SHFE metals, aluminium slipped 1.1%, zinc fell 1.7%, lead rose 1.3%, nickel dipped 0.1% and tin dropped 0.4%.


IMF Forecasts Saudi Economy to Grow 7.9% in 2027

General view of the Kingdom Tower in downtown Riyadh, Saudi Arabia, October 12, 2026. Picture taken with a mobile phone. REUTERS
General view of the Kingdom Tower in downtown Riyadh, Saudi Arabia, October 12, 2026. Picture taken with a mobile phone. REUTERS
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IMF Forecasts Saudi Economy to Grow 7.9% in 2027

General view of the Kingdom Tower in downtown Riyadh, Saudi Arabia, October 12, 2026. Picture taken with a mobile phone. REUTERS
General view of the Kingdom Tower in downtown Riyadh, Saudi Arabia, October 12, 2026. Picture taken with a mobile phone. REUTERS

The International Monetary Fund (IMF) expects the Saudi economy to record strong growth of 7.9 percent in 2027, reflecting a projected recovery in energy production and exports, as well as the gradual restoration of regional trade flows as war-related disruptions ease and the Strait of Hormuz reopens under the report’s baseline scenario.

The forecast highlights the Saudi economy’s ability to regain momentum after the pressures caused this year by disruptions to energy production and transportation. Saudi Arabia is expected to benefit from its diversified oil export routes and infrastructure, which allow part of its exports to be shipped via the Red Sea rather than through the Strait of Hormuz.

In its October World Economic Outlook, the IMF projected that Saudi Arabia’s economy would contract by 3.3 percent in 2026 before rebounding to 7.9 percent growth in 2027.

In its April forecasts, the Fund had expected growth of 3.1 percent in 2026 and 4.5 percent in 2027, reflecting a significant shift in projections due to developments in the conflict and assumptions regarding the resumption of economic activity.

Export Infrastructure Supports Economic Resilience

Saudi Arabia benefits from alternative oil-export outlets, most notably the East-West Pipeline, which transports crude oil from the Eastern Province to the Red Sea port of Yanbu with a capacity of approximately 7 million barrels per day.

The Kingdom aims to raise pipeline capacity to 10 million barrels per day, enhancing the flexibility of its export system in the face of maritime disruptions.

These alternatives strengthen Saudi Arabia’s ability to mitigate the impact of shipping interruptions on oil flows. Under the IMF’s forecasts, the gradual recovery of production and exports is expected to support economic activity next year.

Gulf Recovery Driven by Rebound in Energy Production

The strong growth forecast is not limited to Saudi Arabia. The IMF also expects several Gulf economies to recover sharply in 2027 as production, exports, and logistics services rebound.
Projected growth rates for 2027 are Qatar 18.8%, Kuwait 17.1%, Bahrain 13.9%, the United Arab Emirates 7.7% and Oman 2.2%.

These forecasts follow severe pressure during 2026, when the IMF expects Kuwait’s economy to contract by 16.7%, Qatar’s economy by 15.6%, Bahrain’s economy by 11.3% and the UAE economy to contract by 3.9%.

Meanwhile, Oman is expected to achieve growth of 4.1 percent in 2026.

The IMF’s baseline scenario assumes that the Strait of Hormuz will begin reopening in March 2027, with a broad return to pre-war conditions by October 2027. This would allow energy flows, shipping, insurance services, and payment systems to recover gradually.

The pace of this recovery remains dependent on the course of the conflict and the stability of maritime navigation. Nevertheless, Saudi Arabia’s diversified export routes provide an important buffer, enhancing the economy’s capacity to absorb shocks and restore growth as regional conditions improve.