Siemens expands its local supply chain in the Kingdom with support of Saudi Aramco and Saudi Electricity Company
Local suppliers to support construction of new landmark manufacturing, service facility
Siemens committed to contributing to Saudi industrialization drive
Siemens, the global powerhouse in electronics and electrical engineering operating in the energy, infrastructure, industry and healthcare sectors, today kicked off a two-day meeting in Saudi Arabia aimed at developing a supply chain of local companies to support construction of its planned landmark manufacturing and service facility in the kingdom, and to contribute to the country's ongoing industrialization.
The meeting, held in Al Khobar in Saudi Arabia's Eastern Province, takes place in collaboration with Saudi Aramco and Saudi Electricity Company. Siemens will cooperate closely with both companies, drawing on their extensive local expertise, towards developing a chain of local component suppliers and contractors for the Dammam Industrial City-based facility, where it will manufacture gas turbines, compressors and heat recovery steam generators, and provide repair and service works for the Saudi market. Suppliers selected for the project will be added to the Siemens global supplier network in the future.
"This meeting is a testimonial to our continuous efforts to strengthen local content in our projects. Working closely with Saudi Aramco and Saudi Electricity Company in building a local supplier chain network is part of our commitment to develop local expertise and human capital in the Kingdom," said Arja Talakar, CEO of Siemens in Saudi Arabia.
"Building up a domestic supplier network will enhance the mutual understanding of Siemens needs and supplier capabilities, establish a local supplier network with identified strategic partners, and boost Siemens innovation platform, while also identifying areas of future co-operation," Talakar added.
Siemens and its local partner E.A. Juffali and Brothers will invest jointly a three-digit million US dollar figure in the facility, which will create qualified local jobs and serve as a technology hub for knowledge transfer. Construction on the project is due to start in May 2012, with completion scheduled for late 2013.
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The Siemens Energy Sector is the world's leading supplier of a complete spectrum of products, services and solutions for power generation in thermal power plants and using renewables, power transmission in grids and for the extraction, processing and transport of oil and gas. In fiscal 2011 (ended September 30), the Energy Sector had revenues of EUR27.6 billion and received new orders totaling approximately EUR34.8 billion and posted a profit of more than EUR4.1 billion. On September 30, 2011, the Energy Sector had a work force of more than 97,000. Further information is available at: www.siemens.com/energy.
Siemens AG (Berlin and Munich) is a global powerhouse in electronics and electrical engineering, operating in the fields of industry, energy and healthcare as well as providing infrastructure solutions, primarily for cities and metropolitan areas. For over 160 years, Siemens has stood for technological excellence, innovation, quality, reliability and internationality. The company is the world's largest provider of environmental technologies. Around 40 percent of its total revenue stems from green products and solutions. In fiscal 2011, which ended on September 30, 2011, revenue from continuing operations totaled €73.5 billion and net income from continuing operations €7.0 billion. At the end of September 2011, Siemens had around 360,000 employees worldwide on the basis of continuing operations. Further information is available on the Internet at: www.siemens.com.
© Press Release 2012
