General Electric Co. (NYSE: GE) stated on Monday that $1 billion worth of projects would be implemented by 2017 with the Saudi Arabian Industrial Investments Co., which is formed in 2014 by royal order to boost the country's manufacturing industry, an action which is indicative of the kingdom's ambitious plan to wean itself off crude oil.
GE, based in Connecticut, has worked in Saudi Arabia for over 80 years. It has more than 2,000 employees in the kingdom working in the aviation, health care, oil, utilities and transportation sectors. Under the deals announced Monday, GE hopes to expand its workforce in Saudi Arabia to 4,000 people by 2020.
GE said its agreement with the organization would see it help develop industry and manufacturing in the kingdom, as well as create jobs for Saudi youth, citing that $400 million would go toward building a forging and casting manufacturing facility for the marine and energy industry in the kingdom, with hopes of it being operations by 2020 and providing over 2,000 jobs.
“In the future, there's a possibility of another $2 billion in projects coming as well after 2017”, the company said.
Aside from tons of cash invested in, there are also other projects that GE did not offer monetary values for include boosting the local aviation repair industry, offering digital services to factories, working on manufacturing LED lights in the kingdom and training young men and women.
“The project showed the company wanted to expand its long-time presence in Saudi Arabia in a new and visionary way.” Jeffrey Immelt, GE's chairman and CEO, said. “Together, we will create quality jobs for Saudi youth, boost exports, enhance economic competitiveness and support the vision and aspirations of Saudi Arabia”.