Schneider Electric Signs Strategic Partnership with Petra Engineering to Support Saudi Arabia’s Data Center Growth
By expanding local manufacturing, the partnership will contribute to accelerating the rollout of data centers in Saudi Arabia, which has grown its capacity by 42% compared to 2023
Schneider Electric, the global leader in the digital transformation of energy management and automation, has signed a strategic partnership with Petra Engineering Industries Company , a leading manufacturer of HVAC (heating, ventilation, and air conditioning) systems. The partnership introduces a new line of Premium Efficiency Air-Cooled Chillers, specifically engineered to meet the demands of Saudi Arabia’s data centers while reducing energy consumption and carbon emissions. The partnership highlights Schneider Electric’s ongoing commitment to strengthening the Kingdom’s digital infrastructure and supporting national goals for localization, sustainability, and innovation under Vision 2030.
The agreement was signed during the second day of the Schneider Electric Innovation Summit in Riyadh by Mohamed Shaheen, CEO of Schneider Electric in Saudi Arabia, Pakistan, Yemen, and Bahrain, and Eng. Samir Hamed, General Manager of Petra Engineering Industries Company in Saudi Arabia.
The new chillers combine Schneider Electric’s global technology with Petra’s local manufacturing expertise. They are designed for high efficiency, reliability, and resilience under the region’s demanding climate conditions. Petra Engineering Industries will produce the systems at its King Abdullah Economic City facility, ensuring faster delivery, local spare parts availability, and responsive technical support.
By expanding local manufacturing, the partnership will contribute to accelerating the rollout of data centers in Saudi Arabia, which has grown its capacity by 42% compared to 2023. This growth is doubling the Kingdom’s opportunities to host advanced facilities and positioning it as a rising hub for artificial intelligence in the region.
“This partnership with Petra Engineering Industries Company is a strategic step to reinforce Schneider Electric’s leadership as the primary technology provider for the local data center market. By combining our global innovations with the agility of local manufacturing and deep understanding of the needs of the Saudi market, we have developed chillers that meet stringent requirements of AI-drive data centers and address climate-specific cooling challenges. We look forward to expanding our partnerships to deliver innovative solutions that support the Kingdom’s digital infrastructure, drive economic diversification, and accelerate transformation and sustainability.”
– Mohamed Shaheen, CEO, Schneider Electric in Saudi Arabia, Pakistan, Yemen, and Bahrain
“We are proud to partner with Schneider Electric on this landmark initiative, which reflects our commitment to innovation and localization in the Kingdom. Through our factory in King Abdullah Economic City, which is instrumental in our manufacturing efforts, we aim to contribute to meeting the growing demand for advanced data center solutions. This collaboration opens broad horizons for us to participate in upcoming mega-projects and underscores our shared commitment to supporting Saudi Vision 2030 and building a sustainable digital future.”
–Eng. Samir Hamed, General Manager, Petra Engineering Industries Company in Saudi Arabia
The partnership comes at a time when Saudi Arabia is experiencing unprecedented demand for digital infrastructure, driven by its national digital transformation agenda and rapid advancements in artificial intelligence. The Kingdom has recently been ranked among the world’s top emerging economies in AI readiness by Boston Consulting Group (BCG), further highlighting its growing importance as a regional hub for data and technology.
The second edition of the Schneider Electric Innovation Summit was held in Riyadh on September 24–25, 2025, under the theme “IMPACT today for a better tomorrow: Building a Sustainable Saudi Arabia.” The summit brought together senior government officials, diplomats, experts, and entrepreneurs from the region and around the world, with high-level participation that included representatives from the Ministry of Investment, the Ministry of Communications and Information Technology, and the Ministry of Energy. The summit focused on AI-powered data center solutions, which are expected to grow in the Kingdom at an annual rate of 37% until 2027, well above the global average growth rate of 15%. The event served as a strategic platform to strengthen Riyadh and Saudi Arabia’s position as a regional leader in sustainability and digital transformation.
Petra Engineering Industries Company is recognized as a key player in the heating, ventilation, and air conditioning (HVAC) sector, and one of the region’s leading industrial companies. The company offers a wide range of air conditioning systems and solutions, including water-cooled and air-cooled chillers, packaged and split central units as well as air handling units to meet the needs of diverse projects, from commercial buildings to large industrial complexes. Its diverse product portfolio enables it to serve multiple market segments and deliver comprehensive solutions catering to various requirements, aligning closely with Schneider Electric’s strategy of building strong local partnerships that foster innovation and localization.
With more than 44 years of presence in the Saudi market, Schneider Electric continues to play an active role in supporting Vision 2030 and the Saudi Green Initiative. The company is committed to advancing carbon neutrality, localization, and circular economy principles, while empowering customers to accelerate their energy efficiency and sustainability performance.
