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Saudi Arabia Rolls Out the Red Carpet for Chinese Tech Firms

Published: Nov. 20, 2025  4:25 p.m.  GMT+8
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Lenovo breaks ground on a facility at Riyadh’s Special Integrated Logistics Zone in March. Photo: SILZ
Lenovo breaks ground on a facility at Riyadh’s Special Integrated Logistics Zone in March. Photo: SILZ

(Lisbon, Portugal) — Saudi Arabia is stepping up efforts to draw Chinese technology investment through a tax-free logistics hub in Riyadh, while also improving living conditions for expats, as China becomes one of the kingdom’s most important economic partners.

The effort has already borne fruit. Lenovo Group Ltd. is building its largest facility outside China at Riyadh’s Special Integrated Logistics Zone (SILZ) — a 3 million-square-meter (32.3 million-square-foot) regional manufacturing and distribution base adjacent to King Khalid International Airport, said SILZ Commercial General Manager Khaled Al-Otaishan.

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Explore the story in 30 seconds
  • Saudi Arabia is attracting Chinese tech investment via tax-free incentives in Riyadh’s Special Integrated Logistics Zone, with Lenovo building its largest facility outside China there for $2 billion.
  • Over 750 Chinese companies operate in Saudi Arabia, with Chinese FDI rising nearly 30% to $8.2 billion in 2023.
  • Saudi Arabia is improving expat living conditions, adding Mandarin in schools, aiming for 5 million Chinese tourists annually by 2030.
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Who’s Who
Lenovo Group Ltd.
Lenovo Group Ltd. is investing $2 billion to build its largest facility outside China, a 200,000-square-meter regional manufacturing and distribution base in Riyadh's Special Integrated Logistics Zone (SILZ). This facility will produce laptops, desktops, and servers for Saudi Arabia and the broader Middle East and North Africa region, with operations expected to begin early next year. SILZ considers Lenovo's investment a key success given its focus on attracting ICT companies.
Shein
Shein, the Chinese fast-fashion company, uses Riyadh as its regional hub for the Middle East and North Africa (MENA) market. Its presence is within the Special Integrated Logistics Zone (SILZ), leveraging the zone's proximity to Riyadh airport to reach investors and consumers across Europe, Asia, and Africa.
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What Happened When
2022:
The Special Integrated Logistics Zone (SILZ) was established in Riyadh, Saudi Arabia.
2022:
Census data recorded 14,600 Chinese nationals living in Saudi Arabia.
Last year (2024):
Chinese foreign direct investment in Saudi Arabia increased nearly 30% to about $8.2 billion.
March 2025:
Lenovo broke ground on a $2 billion facility at the SILZ in Riyadh.
September 2025:
Minister of Industry and Mineral Resources Bandar Alkhorayef stated at a conference in Beijing that there are over 750 Chinese companies operating in Saudi Arabia.
Nov. 11, 2025:
Khaled Al-Otaishan, SILZ Commercial Director, discussed Lenovo's investment on the sidelines of Web Summit Lisbon.
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