- Lenovo plans to start production in Saudi Arabia by 2026
- The greatest benefit is 10% compared to 245% reciprocal taxes
- The US PC market is 27% of the global market
According to reports, the main PC manufacturers such as Lenovo, HP and Dell are exploring the construction of new manufacturing plants in Saudi Arabia to avoid high rates of the United States in the goods made by the Chinese.
A new report of Sometimes (through Tom hardware) He said that Lenovo seems to be the farthest, after having announced a PC assembly and server assembly plant in January this year, backed by an investment of $ 2 billion of a subsidiary of the Saudi Public Investment Fund.
With the production to begin in 2026, OEM’s plans, based in Hong Kong, would see that it will open a new headquarters in the Middle East and Africa (MEA) in Saudi Arabia “,”,[enhancing] its global presence. “
Use Saudi Arabia to avoid Chinese tariffs
Sometimes He says that HP and Dell have also sent equipment to Saudi Arabia to explore possible factory sites after local government invitations.
The greatest attraction for manufacturers to move to Saudi Arabia are 10% reciprocal rates, compared to 245% for China.
Having a Riad base would also allow people like Lenovo, HP and Dell to have better access to Mea markets, a factor recognized by Lenovo.
In 2024, Lenovo sent 11,872 desks and notebooks to the US, which makes it the largest third in terms of volume with a market share of 17.2%, behind Dell (22.8%) and HP (25.3%).
With 69,210 PC sold in the United States last year, the country represented 27% of all global PC shipments, highlighting the purchasing power of the nation.
Lenovo, HP and Dell are not the only companies that seek to leave China to reduce costs. TSMC and Apple recently announced their own manufacturing investments within the US, with production, R&D production, training and more.
However, the immediate future of the PC market is still uncertain. “In addition to the direct impact of rates, the starting nature of advertisements and delays has issued uncertainty about consumer electronics prices this year,” explained the Canals Greg Davis analyst.
