RIYADH: The Tesla electric vehicle company, owned by billionaire Elon Musk, opened its first showroom in Saudi Arabia on Thursday, even though hybrid cars are still not a common sight in the country.

The opening in the capital Riyadh comes with Tesla sales dropping and showrooms in the United States being attacked over work by the controversial Musk, the world’s richest person, for the US government.

President Donald Trump forged close ties during his first term with Crown Prince Mohammed bin Salman, who has promised to inject $600 billion into US trade and investments.

However, demand for electric vehicles is relatively low in Saudi Arabia, the world’s largest oil exporter which enjoys bargain-basement fuel prices, with a litre costing just 2.33 riyals ($0.62).

Cheap fuel and prolonged periods of extreme heat in the vast country mean big oil-consuming cars reign supreme.

Saudi economist Mohammed Al Qahtani welcomed Tesla’s move, but urged even more.

“We do not want a showroom; we want a factory,” he said. “We want to be part of the production process, not just consumption.”

A lack of charging infrastructure and the country’s vast size mean that many Saudi drivers will view EVs as suitable for shorter trips, rather than as replacements for conventional vehicles.

About 950 kilometres separate the capital from second city Jeddah, more than the maximum range of most electric car batteries.

According to data platform Statista, Saudi Arabia has just 101 charging stations, compared with 261 in the much smaller United Arab Emirates.

Published in Dawn, April 11th, 2025