Tesla to launch in Saudi Arabia on April 10

The event will feature Tesla’s entire model portfolio and products powered by solar energy.

Tesla is all set to launch in Saudi Arabia early next month. The launch event will be taking place in Riyadh on April 10. This signals that CEO Elon Musk and the kingdom have healed a rift that dates back to the billionaire's short-lived bid in 2018 to take the company private.

The dispute started when Musk tweeted in 2018 that he had "funding secured" to take Tesla private after a meeting with Saudi Arabia's sovereign wealth fund, the Public Investment Fund.

That tweet eventually led to a lawsuit from investors when a bid failed to materialise, during which tense text messages between Musk and PIF head Yasir al-Rumayyan were made public.

Tensions have eased out now, after Musk took a high-profile role in U.S. President Trump's election campaign and then new administration.

The event will feature Tesla’s entire model portfolio and products powered by solar energy. Tesla will also showcase autonomous driving tech along with new technology in AI and robotics.

"Experience the future of autonomous driving with Cybercab, and meet Optimus, our humanoid robot, as we showcase what's next in AI and robotics," the post on the website said.

The invitation on the website also asks guests which Tesla model they are interested in.

Tesla has seen a massive fall in sales and market share in Europe recently, even as demand for EVs have gone up. Tesla sold 42.6% fewer cars in Europe so far this year, according to data from the European Automobile Manufacturers Association (ACEA) on Tuesday. This is due to Musk’s recent controversies that have caused a lot of stir.

There have been many “Tesla Takedown” protests and demonstrations by activists across the United States over Musk's role leading the Department of Government Efficiency, resulting in thousands of job cuts, frozen foreign aid and cancellation of many contracts.

The Wall Street Journal reported in 2023 that Saudi Arabia was in early talks for Tesla to establish a factory in the kingdom. Musk denied this at that time.

It is interesting to note that Saudi’s sovereign wealth fund is the majority investor in Lucid Group (LCID.O), an EV start-up that is one of Tesla’s rivals in the EV space.

EVs from Lucid and China’s BYD are already available in the Saudi market. However, EV sales have been slow in Saudi Arabia, according to a 2024 report from consultants PwC putting them at just 1% of all car sales.

Tesla already has a presence in other Middle East markets like the UAE and Qatar.

Source: Reuters