Hithium Energy Storage has launched a battery storage solution tailored for desert environments and will establish a joint venture factory in Saudi Arabia.

Aiming to establish a factory in the Middle East, which is rich in sunlight resources and has a favorable geographical location, Hithium Energy Storage announced during an exhibition in Saudi Arabia that it will jointly build a battery energy storage system factory.

According to reports, the company partnering with Hithium Energy Storage is Saudi MANAT, founded by Nabilah AlTunisi, the former chief engineer of Saudi Aramco. The joint venture plans to establish a BESS (Battery Energy Storage System) manufacturing plant in Saudi Arabia, with a target annual production capacity of 5 GWh.

At the 2024 Middle East Solar and Energy Storage Exhibition in Saudi Arabia, Hithium Energy Storage delivered a speech on-site and showcased its latest innovative product for the first time: energy storage solutions specifically designed for desert environments. These systems feature advanced dust and sandstorm protection and are designed to withstand extreme temperatures, supporting discharge cycles of over 12 hours. This innovative product is customized for the unique needs of the Middle East and Africa (MEA) region.

As the economy continues to develop, industrialization accelerates, and the population grows, local demand for energy in Saudi Arabia is rapidly increasing. The Vision 2030 initiative proposed by Saudi Arabia also lists clean energy sources such as solar and wind power as key pillars of its electricity supply, with photovoltaic generation expected to account for 27% of the total by 2030.

To enhance grid stability as the share of renewable energy increases, Saudi Arabia plans to construct 24 GWh of battery energy storage systems over the next two years. Currently, there are projects under construction totaling 8 GWh, and it is estimated that five additional projects totaling 10 GWh will be tendered in the second half of the year.

Before Hithium Energy Storage, Sunshine Energy signed a 7.8 GWh energy storage project in Saudi Arabia in July. Additionally, Huawei Digital Energy is building a solar energy storage microgrid project in the Red Sea New City of Saudi Arabia, which includes a capacity of 400 megawatts for photovoltaic generation and a 1.3 GWh energy storage system.

Not only energy storage systems, but also companies in China's photovoltaic industry chain are also making inroads into the Middle East. For instance, JinkoSolar and TCL Zhonghuan have announced plans to establish factories in Saudi Arabia.

TCL Zhonghuan intends to collaborate with Saudi Vision Industries to jointly promote the construction of a photovoltaic silicon wafer project in Saudi Arabia, with a first-phase target capacity of 20 GW. Meanwhile, JinkoSolar has established a joint venture with the Saudi sovereign wealth fund PIF and Vision Industries to build and operate high-efficiency photovoltaic cells and components, with an annual production capacity of 10 GW for both high-efficiency photovoltaic cells and components.