Johnson Controls International Arabia launches its largest manufacturing facility at KAEC  

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JCI chairman and CEO George Oliver, JCIA CEO Mohanad Al-Shaikh and other officials cut the ribbon at the inauguration of the YORK Manufacturing complex at KAEC. (Supplied)
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George Oliver and delegates from JCI during a tour in the Oben Blue Center at KAEC. (Supplied)
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Updated 20 November 2022
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Johnson Controls International Arabia launches its largest manufacturing facility at KAEC  

  • At 200 sq. km, this YORK factory is also the largest in Africa, South Asia, Latin America and Europe
  • JCIA was the first to provide energy services to private sector companies

JEDDAH: Johnson Controls International Arabia inaugurated its novel and largest YORK Manufacturing Complex in the Kingdom and the Middle East on Nov. 6 at King Abdullah Economic City.  

At 200 sq. km, this YORK factory is also the largest in Africa, South Asia, Latin America and Europe. In addition, it is the company’s only factory equipped with its Open Blue research and development center and four testing facilities, all under one roof.  

Mohanad Al-Shaikh, CEO of JCIA, said, “This retrofit project is the largest in recent history worldwide and one of the largest ever made. So truly, it’s a historic milestone for us, not only the integration but also the signing of this important strategic project for Saudi and the world.”  

The earliest records of Johnson Controls International go back over 100 years, starting in Cairo and in Saudi Arabia. The company installed YORK air-conditioning systems for the first time at Kandara Palace Hotel in Jeddah in 1955.  

Delegates from JCI, led by Chairman and CEO George Oliver, attended the inauguration of the complex.  

Oliver said, “Today, we’re looking forward to the future with the inauguration of the new YORK factory and the opening of our latest Open Blue innovation centers. Recognizing that we only have a few of these centers globally, it’s special to have one within this facility.”  

The newly opened factory will address residential, commercial and industrial segments for Saudi Arabia, the Gulf Cooperation Council and 20 other countries in the Middle East, Asia and Africa.  

In an exclusive interview, Oliver told Arab News, “All of the products you see manufactured here are going to contribute to decarbonizing buildings; it sets the stage for the transformation Saudi Arabia is going through.”  

As part of the company’s development strategy, the net-zero innovation center provides R&D capabilities. In addition, it provides a comprehensive view of how to upgrade buildings and make them smarter using artificial intelligence.  

“The Open Blue technology helps decarbonize buildings, representing about 40 percent of the global carbon,” Oliver said.  

He added: “The R&D center will be our next generation of innovation that will lead the buildings and infrastructure development as part of this transformation that’s happened within Saudi Arabia.”  

Another milestone for this inauguration is the technology transfer of YORK’s YVAA chiller. Saudi Arabia will only be the third country after the US and China to make this great chiller with huge market potential.  

“Producing the YVAA chiller here in Saudi will provide us with the key advantages in terms of cost, delivery time and growth in market share,” Oliver said.  

He added: “I think over the next decade, there’ll be $7 trillion toward the whole transformation of Saudi Arabia, and I think not only to continue to drive sustainability, renewable energy but also making sure that we are diversifying the industrial base.”  

Located near King Abdullah Port, the YORK manufacturing complex will improve Saudi heating, ventilation and air conditioning exports.  

“YORK Manufacturing Complex caters to 70 percent of our domestic company HVAC sales in line with the ‘Saudi Made’ project objectives. We export 30 percent of our production to 25 countries spanning the Middle East, Africa, South Asia and beyond. At JCIA, we are keen on uplifting the local industry to meet regional and global advanced industrial standards, while providing leading technological solutions at the right cost and job opportunities for Saudi talents with local and international visionary goals,” Al-Shaikh said  

JCIA is the first company in the Kingdom to provide energy services to private sector companies, complementing its track record of providing these services to public sector projects.  

This service ensures that energy consumption costs are reduced by replacing existing solutions in private sector facilities with more modern and advanced solutions produced in the YORK industrial complex.  


Aramco’s 13% rally helps Saudi stocks post second weekly gain

Updated 12 March 2026
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Aramco’s 13% rally helps Saudi stocks post second weekly gain

RIYADH: Saudi Aramco extended its year-to-date rally to nearly 13 percent on Thursday, helping the Kingdom’s benchmark stock index secure a second straight weekly gain despite a weaker final trading session.  

Saudi Aramco shares, which carry the heaviest weighting on the Saudi Exchange, closed at SR26.86 ($7.16), leaving the stock 12.72 percent higher since the start of 2026. The stock also remained 3.09 percent above last week’s close, even after falling 1.1 percent in Thursday’s session.

The rise in energy shares came as escalating tensions in the Middle East pushed oil prices above $100 a barrel, after attacks on tankers in the Gulf and the Strait of Hormuz heightened concerns over supply disruptions.

The Tadawul All Share Index maintained its weekly uptrend, rising nearly 1.07 percent week on week to close at 10,778.32, despite falling 0.45 percent in Thursday’s session. Compared with the first trading day of the year, the index has gained 4.01 percent.

Total trading turnover on the benchmark index reached SR5.05 billion at Thursday’s close, with 88 stocks advancing and 176 declining.

Aramco’s performance continued to anchor sentiment after the company reported adjusted net income of $104.7 billion for 2025 earlier this week, while net profit fell 12.1 percent year on year to $93.39 billion, compared with $106.25 billion in 2024, as lower crude prices weighed on earnings despite higher sales volumes across oil, gas and refined products.

On a March 10 earnings call, Aramco CEO Amin Nasser warned that prolonged disruption in the Strait of Hormuz could have severe implications for global energy markets. Roughly 20 percent of the world’s oil normally passes through the waterway each day, but shipments have been largely blocked.

“There would be catastrophic consequences for the world’s oil markets and the longer the disruption goes on ... the more drastic the consequences for the global economy,” he said.

“While we have faced disruptions in the past, this one by far is the biggest crisis the region’s oil and gas industry has faced.”

Saudi equities showed mixed performance in Thursday’s session. The MSCI Tadawul Index fell 5.99 points, or 0.40 percent, to close at 1,476.76.

The Kingdom’s parallel market Nomu gained 132.47 points, or 0.6 percent, to close at 22,370.4, with 38 stocks advancing and 34 declining.

On March 11, the International Energy Agency announced the release of 400 million barrels of oil from its reserves, the largest such move in its history. As part of that, the US said it would release 172 million barrels starting next week.