Al-Futtaim Auto & Machinery Company (FAMCO) and Ashok Leyland are now working together to target the Saudi market in a strategic partnership that is likely to be mutually beneficial for both heavyweights as the economy of the Kingdom booms.
The collaboration between FAMCO KSA and Ashok Leyland is a significant development that should firmly establish both companies as major players in the passenger transport segment.
Their recently announced deal brings together a regional heavyweight and the fourth-largest bus manufacturer in the world. It also reflects a forward-thinking approach to business expansion and market penetration, said both partners.
For FAMCO KSA, aligning with a globally recognised brand in the value to mid-market segment like Ashok Leyland enhances its market-reach at a time when Saudi Arabia has a loaded requirement for passenger and labour transportation. The firm is also able to install Ashok Leyland into an impressive local network it has been developing since first entering the Kingdom in 2011, while also leaning into its robust aftersales operation for the benefit of the Indian marque’s customers.
Even for an OEM that dominates its end of the commercial vehicles industry like Ashok Leyland, FAMCO KSA is likely to open up new avenues in the rapidly growing market. With Saudi Arabia continuing its aggressive push towards economic diversification under Vision 2030, partnerships like this are essential to professional fleet owners who are desperate for new vehicles to meet the requirements of their own customers.
With the deal now formalised, both FAMCO KSA and Ashok Leyland have committed to introducing advanced technology for the segments they are targeting, as well as leverage FAMCO KSA’s aftersales expertise.
The two companies are also looking to raise industry standards, explained Ramez Hamdan, Managing Director of Al-Futtaim Industrial Equipment (FAMCO & Commercial Vehicles) at the launch.
“In our pursuit to continuously enhance customer experience and broaden our offerings, we are thrilled to welcome Ashok Leyland, a globally recognised brand, to Riyadh,” he said at the partnership’s launch.
The alliance with Ashok Leyland will enable FAMCO to offer an even wider array of products and services, enhancing its ability to meet the evolving demands of the market, he added.
“This alliance not only strengthens our commitment to providing the highest level of service and support to our customers but also signifies a significant step forward in our mission to offer a diverse range of solutions tailored to meet their evolving needs.”
