Saudi Arabia reiterates commitments toward sustainable tourism at G20 ministers’ meeting

Saudi Arabia’s Tourism Minister Ahmed Al-Khateeb addressed the G20 ministers’ meeting in Brazil. X/@AhmedAlKhateeb
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Updated 23 September 2024
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Saudi Arabia reiterates commitments toward sustainable tourism at G20 ministers’ meeting

  • Minister said bolstering tourism sector will help countries grow their economies and allow individuals to connect culturally
  • Ahmed Al-Khateeb held talks with several officials on the sidelines of the meeting in Brazil

RIYADH: Saudi Arabia’s tourism minister has reaffirmed the Kingdom’s commitment to creating a sustainable tourism sector and utilizing it to forge closer cultural links between nations globally. 

Ahmed Al-Khateeb addressed the G20 ministers’ meeting in Brazil, confirming that bolstering the tourism sector will help countries grow their economies and allow individuals to connect culturally. 

Saudi Arabia has been making significant strides in the tourism industry since the launch of Vision 2030, with the Kingdom steadily diversifying its economy by reducing its dependence on oil. 

Affirming the nation’s progress in the field, a report released by UN Tourism in September revealed that the Kingdom has emerged as a leader in the sector, experiencing a remarkable 73 percent increase in international visitors in the first seven months of 2024 compared to 2019. 

According to the release, the country welcomed 17.5 million international tourists during the seven-month timeframe, showcasing its growing appeal as a global travel destination. 

“Saudi Arabia shares and celebrates the G20’s dedication to boost tourism growth and to put sustainability at the heart of our work,” said Al-Khateeb. 

He added: “There is more than just an economic benefit from the strides we are making to improve connectivity. They also provide the chance for people from around the world to explore the rich culture of Saudi Arabia and for our people to experience the wonders of other countries and cultures.” 

Al-Khateeb meets global leaders 

During the event in Brazil, Al-Khateeb also met with ministers and senior political figures from India, Italy, Spain, and Japan, where he discussed ways to bolster tourism between these nations and Saudi Arabia. 

“We discussed cooperation between our friendly countries and the importance of international efforts to build a prosperous and sustainable tourism future,” wrote Al-Khateeb on X.

The minister also met with Zurab Pololikashvili, secretary-general of UN Tourism, and Julia Simpson, president and CEO of the World Travel and Tourism Council. 

In addition to meeting with global leaders, Al-Khateeb joined a public-private dialogue session organized by WTTC, which analyzed the impacts of the pandemic on the tourism sector, as well as other areas including employment trends in the industry with a focus on youth and women. 

The G20 meeting in Brazil brought together tourism ministers of the group, of which Saudi Arabia is the only permanent member of the Gulf Cooperation Council, as well as 32 additional guest countries and international organizations. 

The Kingdom had approved the creation of the G20 Tourism Working Group during its presidency in 2020. This year’s meeting in Brazil also worked to finalize a report by the Working Group that details measures taken by its members to promote robust, sustainable, and balanced global tourism growth.

Saudi Arabia progresses in tourism sector

Having already surpassed the initial target of welcoming 100 million visitors, the nation aims to attract 150 million visitors by the end of this decade, aligned with the Kingdom’s National Tourism Strategy. 

The approach also aims to boost tourism’s contribution to the Kingdom’s gross domestic product from 6 percent to 10 percent by 2030. 

The latest UN Tourism report revealed that Saudi Arabia’s international tourism revenues also surged by 207 percent in the first seven months, compared to the same period in 2019. 

The country’s tourism sector is also crucial in reducing unemployment in the Kingdom, with the industry employing 925,000 people last year, of whom 45 percent were women. 

On Sept. 18, Saudi Arabia’s Crown Prince and Prime Minister, Mohammed bin Salman, inaugurated the first year of the ninth session of the Shoura Council and highlighted the progress made by the nation in various sectors, including tourism. 

“In the field of tourism, achievements preceded the target date, as the national tourism strategy, which was launched in 2019, set a target of 100 million tourists in 2030, and this target was exceeded and reached 109 million tourists in 2023,” he said. 

Another report released by Moody’s in September also highlighted that Saudi Arabia’s banking division is benefiting from the sector, as industries like tourism and construction provide attractive lending opportunities. 

In August, the Saudi Tourism Authority partnered with digital payment service provider Visa to launch a Tourism Data and Campaigns Management Hub in the Kingdom.

According to a press statement, this hub, touted to be the first of its kind in the Middle East region, is expected to accelerate the Saudi government’s efforts to the Kingdom’s tourism sector and visitor experience. 

The lab will also offer data-driven insights on travel and tourism trends, thus enabling the authority to make informed decisions to conduct campaigns and initiatives to strengthen the country’s sector. 


Lucid’s move into Alkhobar marks a new phase in Saudi Arabia’s EV transition

Updated 38 min 17 sec ago
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Lucid’s move into Alkhobar marks a new phase in Saudi Arabia’s EV transition

ALKHOBAR: Lucid opened its first showroom in Alkhobar on Dec. 5, completing its presence across Saudi Arabia’s three largest regions and underscoring the rapid progress of the Kingdom’s electric-mobility push under Vision 2030.

The new Eastern Province location targets one of the nation’s highest-spending markets and reflects the deepening US-Saudi partnership behind Lucid in manufacturing, research and development, and talent.

For the EV maker, the move reflects pure market demand, according to interim CEO Marc Winterhoff.

“We didn’t have any coverage of the eastern region. It’s the third-largest market in KSA, and therefore it’s important for us to be here as well, closer to our customers,” he said.

Saudi Arabia has become one of Lucid’s most critical markets globally, not only as a buyer, but as a manufacturing base and a long-term strategic partner.

Winterhoff said the company is “super important in all of those categories,” highlighting how the Public Investment Fund’s backing enabled Lucid to grow jobs in the US while establishing its first international facility in the Kingdom.

“It’s widely known that we are majority funded by PIF, meaning the Kingdom of Saudi Arabia, which enabled us to build actually a lot of jobs in the US. Over 90 percent of our jobs … are in the US,” he said.

Lucid interim CEO Marc Winterhoff. Khalil Alazwari

At the same time, Lucid is expanding its assembly plant in King Abdullah Economic City and preparing to hire “thousands of people” as it ramps up production by the end of next year.

Alignment with Vision 2030, particularly the shift toward sustainability and the creation of entirely new industries, is becoming a defining pillar of Lucid’s strategy in the Kingdom. “Our vision is very much aligned with Vision 2030,” Winterhoff said.

He pointed to the emergence of a Saudi automotive cluster for the first time, with Lucid among the first manufacturers and others now entering the market. “There was no automotive industry before … and yeah, that wouldn’t be possible without the support.”

Regionally, Lucid Middle East President Faisal Sultan said the Gulf is entering a new phase of EV adoption driven by consumer readiness and government action.

“The whole country is going through a transformation right now. There is a renewed focus on sustainability and diversification to non-oil GDP,” he said.

While global supply chain issues briefly slowed EV momentum, demand in Saudi Arabia is now growing faster than in several other GCC countries.

Sultan said the Alkhobar showroom will play a direct role in accelerating adoption by exposing more customers to the vehicles.

“Once the customer is inside the car and sees a beautiful car that has amazing performance attributes, then the conversion is a sure deal,” he said.

Market behavior also shaped the decision to expand east. Many Eastern Province customers had been traveling to Riyadh to buy vehicles, a barrier Lucid sought to address. “It is a little bit of an inconvenience … so we really needed to be here,” Sultan explained.

The location’s economic weight also played a role. “There’s a lot of buying power here, and Lucid vehicles are a highly technological luxury vehicle. So it is the right place for Lucid to be.”

On charging, Lucid is working on a two-track approach: building infrastructure and educating customers. The company is pushing back against common assumptions around range anxiety by highlighting its vehicles’ capabilities.

“We are the longest-range vehicle in the world — 835 (km) to 838 km on a single charge,” Sultan said. He added that many drivers can travel from Alkhobar to Riyadh and might even go back on one charge.

The Lucid Air showcased inside the new Alkhobar studio. Khalil Alazwari

Lucid now provides a free home charger and free installation with every purchase, ensuring most customers rarely run low on battery in daily use.

The company is also expanding public charging through partnerships with hotels and offices. “We have about 50 of them across the country, and anybody can use it,” he said.

The localization push, a major pillar of Vision 2030, is another area where Lucid is scaling quickly. “We are 70-plus percent Saudized. That is an amazing feat because we are a technological company,” Sultan said.

The firm is also investing in a new R&D center in Riyadh, training Saudi engineers in the US through Human Resources Development Fund’s programs, and building a talent pipeline with institutions including KAUST, King Abdullah Economic City’s training academy NAVA, and technical universities.

Sultan said this effort is essential as the plant transitions next year from assembly to a complete build-unit factory with a planned annual capacity of 150,000 vehicles.

“You’re gonna need a large workforce,” he said. “This is all in preparation to localize the workforce and having the right skills available.”

With the Eastern Province now covered, Lucid’s footprint matches the Kingdom’s three economic engines: Riyadh, Jeddah, and Alkhobar, positioning the company at the center of Saudi Arabia’s EV transition.

And as both executives made clear, the Kingdom is not just a sales market for Lucid, but a core part of its global future.