About the program
Overview of ASASAT program
Aligned with the national ambition of Saudi Vision 2030, driven by SAR’s commitment to building a strong, sustainable, and localized railway sector. The program empowers local suppliers and Small and Medium Enterprises (SMEs) to grow competitively, lead, and innovate within a resilient and effective local supply chain.
ASASAT shapes the future by advancing localization, increasing local content, and driving economic growth and positioning SAR as a pioneer and leader in the Kingdom’s railway sector.
Saudi Arabia Railways (SAR) Company is committed to transform the Railway sector in the Kingdom into a thriving and sustainable industry. Our Local Content Program, ASASAT, is a testimony to this commitment. Through this program we envision to boost the sector and its contribution to the national economy by promoting the participation of local resources and creating robust avenues for investments across our supply chain. We believe that by nurturing local talent and enterprises, we can drive innovation and resilience within the Railway industry, ultimately contributing to a prosperous economy.
Dr. Bashar bin Khalid Almalik
SAR CEO
ASASAT is a local content program that supports the localization of Saudi Arabia’s railway industry. It focuses on empowering local talent, transferring knowledge, and creating opportunities for national businesses-all in line with vision 2030, and support sustainable economic growth in the Kingdom.
Salah bin Abdullah Alomair
SAR Shared Services VP
ASASAT Local Content Program represents the vision of Saudi Arabia Railway to support the national economy, meet development requirements, and raise the railway sector’s contribution to the gross domestic product in line with the Kingdom’s Vision 2030.
In addition, The program reflects a strategic commitment to building resilient local supply chains and nurturing national talent, laying the foundation for long-term economic empowerment.
Abdulrahman Alghamdi
SAR Supply Chain Director
Strategic Objectives
Strategic Objectives and Enablers
Develop Capabilities
Key potential factors:
- Provide technical training to help local suppliers meet SAR’s standards.
- Partner with international companies to transfer technology.
- Collaborate with research institutions to develop local railway solutions.
Attract Investment
Key potential factors:
- Promote SAR’s localization mandate to attract committed investors
- Facilitate joint projects between international companies and local suppliers
- Highlight sustainable initiatives to attract environmentally conscious investors.
Realize LC Opportunities
Key potential factors:
- Implement local procurement policies that prioritize local suppliers.
- Use data analytics to identify opportunities where local suppliers can replace imports.
- Establish mentorship and business support programs for local suppliers.
Core Values
ASASAT, Strong Foundations
Saudi Railway Company (SAR) is at the forefront of innovation in the railway sector and economic transformation in the Kingdom of Saudi Arabia. In line with Saudi Vision 2030, SAR launched the ASASAT Program as a strategic local content initiative aimed at increasing local content in the railway sector by boosting localization rates, empowering local suppliers, and building strong and sustainable national capabilities.
Local content
Mechanism for calculating the local content contribution
The total spending in the Kingdom of Saudi Arabia through the participation of Saudi elements in the workforce, goods, services, assets, technologies, and the like
Percentage of Local Content
Assets
Sources and components of goods for developing production chains.
Local Content in Assets Depreciation
Total Cost of Assets Depreciation
Goods and services
Local components used in the production of goods or services.
Local Content in Goods and Services
Total Cost of Goods and Services
Labor
Workforce involved in producing goods or offering services
Local Content in Labor Compensations
Total of Labor Compensations
Technology and other
Research, development, and capacity building of Saudi workers
Local Content in Capacity Building
Total Cost of Capacity Building
ASASAT Achievements
ASASAT Program Highlights
LC CERTIFICATION
The Local Content ratio has witnessed rapid growth, rising from 36.8% in 2021 to 55.07% in 2024, reflecting steady progress toward achieving the goals of Saudi Vision 2030.
LOCALIZATION
The total spending on localized products and services has exceeded 50 million SAR, reflecting the growing economic impact of the ASASAT Program.
SUPPLIER DEVELOPMENT
The Supplier Development Program has been designed as one of the strategic initiatives under the ASASAT Program, aiming to support local suppliers and enhance their competitive capabilities.
Development of Local Capabilities
More than 97% of total spending was directed to local suppliers. Collaboration also included over 33 small and medium enterprises (SMEs), with total spending exceeding SAR 209 million underscoring the active role in supporting national entrepreneurship and enhancing local capabilities.
Key Programs and Initiatives of ASASAT
Nine key programs and initiatives have been identified to drive the ASASAT Program toward achieving its strategic objectives.
Supplier Development Program
Enhances local suppliers' skills through training and mentorship to meet SAR's quality and service standards.
Mentorship programs
Develop mentorship programs where experienced suppliers can guide and support local suppliers
Workforce Skill Enhancement Programs
Offers regular training, apprenticeships, and internships to upskill Saudis for specialized roles at SAR.
Joint Ventures Initiative
Encourage joint ventures between local and international suppliers to transfer knowledge and technology.
Local Content Incentivization Initiative
Rewards businesses using Saudi resources, labor, and materials in SAR contracts to boost local content.
Technology Transfer & Localization Initiative
Fosters collaboration with global firms to localize advanced railway technologies in Saudi Arabia through tech transfer.
Saudi Made Quality Mark
Creates a certification mark to promote high-quality Saudi-made products among businesses and consumers.
Green Rail Initiative
Promotes green tech adoption among local suppliers and invests in renewable energy infrastructure to meet SAR’s sustainability goals.
Innovation Hubs Initiative
Establish innovation hubs where local suppliers can collaborate with SAR on R&D projects
ASASAT Program Initiatives
SAR Pioneers Employment Program
About the Initiative
The “SAR Pioneers Program” is one of the distinguished national initiatives launched by the Saudi Railway Company (SAR). It aims to attract young national talents from Saudi and international universities and prepare them to work in the transport and logistics sector. The program offers a comprehensive 12-month training journey that combines on-the-job training with specialized courses. Upon successful completion, participants are offered direct employment opportunities, thereby contributing to the empowerment of national talents and supporting the objectives of Saudi Vision 2030.
ASASAT Program Initiatives
ENABLING SME PARTICIPATION
Enhancing the participation of local Small and Medium Enterprises (SMEs) in the railway sector’s supply chain by increasing spending with SMEs through dedicated SME development plans.
ASASAT Program Initiatives
Technology Transfer and Localization Initiative
In line with our strategic objective to empower the Railway Sector and attract investors for in-country development, we have identified several opportunities for local manufacturing and development.
Register NowLocalization Opportunities and Feedback
Localization Opportunities with the ASASAT Program
Localization Opportunities with the ASASAT Program The ASASAT Program by Saudi Railway Company (SAR) supports local manufacturers in meeting the sector’s needs within the Kingdom, thereby strengthening the localization of industries and services related to the railway sector. The available localization opportunities exceed SAR 1 billion and cover various fields such as equipment, technical services, operating systems, and spare parts. More than 60 products and services have already been localized. The program also encourages suppliers and contractors to source from national factories, contributing to localization targets and supporting the national economy. Furthermore, the program plays a vital role in attracting long-term investments and building a sustainable industrial and service future that aligns with the objectives of Saudi Vision 2030.
Supported sectors
Safety & Security Services
Freight Transport
Passenger Trains
Infrastructure
Investor Support
Localization
Opportunities
& Remarks
Products
Localized Products & Services
SIM Cards for GSMR
Hardware (hoses,, cables, pins, terminal lugs etc.)
Repair and Overhaul Services (Overhaul, Cleaning, Welding, etc..)
Repair and Overhaul Services (Radiator Overhaul, Cleaning, Fabrication Welding, etc..)
Gasket, Valves, Nuts, Bolts, Screws, Springs, Top Fittings, etc.
Valves
Our Partners
