SAL Logistics, Huawei sign MoU for 5G, AI-driven logistics hub in Saudi Arabia
This partnership focuses on digital transformation and operational efficiency in line with Saudi Vision 2030.
SAUDI ARABIA – SAL Logistics Services has signed a memorandum of understanding with Huawei Tech Investment Saudi Arabia to collaborate on transportation, logistics, and digital transformation, including a potential inventory and distribution hub to support Huawei’s operations in the Kingdom, according to a SAL statement.
The agreement covers the use of Huawei’s technologies, including 5G, artificial intelligence, cloud computing, and green energy, to support the digitalization of logistics zones and enhance operational efficiency.
The parties will also explore the possibility of SAL becoming an approved logistics service provider for Huawei.
Technology deployment
The collaboration brings together SAL’s logistics and supply chain management expertise with Huawei’s digital solutions and infrastructure capabilities. The partnership aims to develop integrated solutions that improve the efficiency of the logistics ecosystem and accelerate digital transformation in the Kingdom.
Meanwhile, the proposed inventory and distribution hub would leverage SAL’s operational capabilities and logistics network to support Huawei’s regional supply chain.
Huawei’s advanced technologies, including 5G, artificial intelligence, cloud computing, and green energy, would support the digitalization of logistics zones and improve operational efficiency across SAL’s network.
Strategic alignment
The MoU supports the objectives of Saudi Vision 2030, which aims to diversify the economy and develop the Kingdom into a global logistics hub.
SAL Logistics Services provides cargo handling, logistics solutions, and supply chain management throughout Saudi Arabia. SAL has been expanding its infrastructure through its subsidiary, SAL Zones, established in October 2025 to develop integrated logistics zones across the Kingdom.
In August 2026, SAL Zones entered a Shariah-compliant credit facility with Saudi Awwal Bank for SAR 2.5 billion (US$667 million) to finance capital and operating expenditures for its logistics zone projects. The facility has a 15-year term and is backed by a corporate guarantee from SAL.
SAL Zones is headquartered in Riyadh, with paid-up capital of SAR 500,000 and authorized capital of SAR 1.4 billion. It is wholly owned by SAL Saudi Logistics Services. The subsidiary is developing multi-tenant smart infrastructure facilities near airports and transport corridors, offering direct highway access and future rail connectivity.
This partnership focuses on digital transformation and operational efficiency in line with Saudi Vision 2030 and is expected to support business growth in the Kingdom and help build a more integrated logistics ecosystem.
Sign up HERE to receive our email newsletters with the latest news and insights from Africa and around the world, and follow us on our WhatsApp channel for updates.
