ASG Plastic Factory Company expects to commence construction of its fourth expansion project in Sudair Industrial and Business City by the end of the third quarter of 2026.

The project, estimated to cost 50 million Saudi riyals ($13.18 million), is expected to be completed in the first quarter of 2028, with commercial production starting at the same time, the company said in a statement to the Saudi stock exchange.

ASG Plastic signed an industrial land lease contract in June with the Saudi Authority for Industrial Cities and Technology Zones (MODON) for a 100,377-square-metre plot.

The company is currently in discussions with several suppliers and consultants regarding the execution of the construction works, the statement said.

The project will be self-financed, with the option to secure funding from programmes and facilities offered by the Saudi Industrial Development Fund or other financing entities.

The expansion is part of ASG Plastic’s strategy to increase production capacity and meet growing market demand, in line with Saudi Arabia’s industrial development initiatives.

(Editing by Anoop Menon) (anoop.menon@lseg.com)

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