SABIC to Supply Carbon Black for a Saudi Tire Plant
Saudi Tire Production
SABIC has signed an agreement to supply polybutadiene rubber and carbon black to a Saudi joint venture aiming to produce 3.5 million tires each year, a significant step for domestic Saudi tire production.
A Localisation Milestone
The agreement is with the joint venture established between the Public Investment Fund (PIF) and Pirelli, and it supports local content in the Kingdom through the NUSANED localisation initiative. It will supply the raw materials needed for producing car tires locally within the Kingdom, and it is described as a first of its kind for supplying feedstock to tire manufacturing in the country.
Signed at the PIF Forum
The deal was signed on the first day of the PIF Private Sector Forum 2026 in Riyadh. The tire plant itself is located in the King Salman Automotive Cluster at King Abdullah Economic City, positioning raw-material supply directly alongside the country’s emerging domestic tire manufacturing base.
A New Local Brand
Alongside Pirelli tires, a bespoke Saudi trademark will be launched to provide passenger vehicle and car manufacturers in the region with tires, extending the Kingdom’s output beyond a single international brand and tying the raw-material supply into a wider industrial push.
Driving Vision 2030
The fourth edition of the PIF Private Sector Forum is framed as a platform that connects PIF companies, government agencies, investors and private sector firms to facilitate new partnerships and drive a new wave of private-sector projects that support business growth. The carbon black and rubber supply agreement slots directly into the country’s broader Vision 2030 goals of building domestic industrial capability and localising supply chains across the economy.
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- Advanced Tire Pyrolysis Technology
- Feasibility Studies for Waste-to-Value Projects
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