Tesla is set to launch its electric vehicles in Saudi Arabia on April 10, 2025. The event will take place at the Bujairi Terrace in Riyadh. Tesla, led by CEO Elon Musk, is already present in other Middle Eastern countries but has not yet established operations in Saudi Arabia, the largest market in the Gulf region.
This launch aligns with Saudi Arabia’s broader strategy to reduce its reliance on oil revenue. By promoting electric vehicles, the Kingdom aims to support its move towards sustainability. The country plans to achieve net-zero emissions by 2060, and Tesla’s entry will contribute to this goal.
At the event, Tesla plans to showcase its best-selling models. Attendees will also get a chance to explore the future of technology with autonomous driving and Tesla’s humanoid robot, Optimus. The company has invited families to experience how its vehicles are powered by solar energy and sustained by batteries. Although the launch event is set for April, Tesla has not yet revealed when the vehicles will be available for purchase in the Kingdom.
This expansion into Saudi Arabia comes at a challenging time for Tesla. Sales have declined in key markets, including Europe and the United States. In 2025, Tesla’s sales dropped by 42.6% in Europe, despite the overall growth of electric vehicle sales. Additionally, protests have taken place in the US against Elon Musk after his appointment in the Trump administration.
The Saudi government is eager to support the electric vehicle (EV) industry as part of its economic diversification efforts. Tesla’s entry will complement the Kingdom’s investments in other EV companies. Saudi Arabia’s Public Investment Fund is the major investor in Lucid Group, a competitor to Tesla. Lucid Motors has recently launched its first manufacturing plant in Saudi Arabia and aims to produce 5,000 electric cars annually.
To foreign investments, Saudi Arabia is also developing its own EV brand, Ceer. Announced by Crown Prince Mohammed bin Salman in November 2022, Ceer is expected to contribute $7.9 billion to the Kingdom’s economy by 2034.
Tesla’s arrival marks another step in Saudi Arabia’s push to become a leader in the electric vehicle sector.
