Saudi Aramco Review 2017

King Salman with Yokogawa President and CEO Takashi Nishijima during the MoU exchange event in Tokyo

King Salman with Yokogawa President and CEO Takashi Nishijima during the MoU exchange event in Tokyo

Yokogawa fully aligned with Saudi Vision 2030

For the technology leader, Saudi Arabia is its largest market in the world and its strategic partnership with the kingdom’s Vision 2030 is increasingly profound and far-reaching

Yokogawa continues to strengthen its presence in Saudi Arabia and the wider Middle East, Africa and India through active investment in technological innovation and the development of human capital.

As part of its long-term business framework, Yokogawa has restructured to provide and develop its range of advanced control and instrumentation solutions to its increasing customer base.

Taking a leadership in the region, Yokogawa also affirms its strong relations between Saudi Arabia and Japan to achieve the national, social and economic visions of both countries.

Both Saudi Arabia and Japan are undergoing a fundamental shift in their macro-economic business models. For Yokogawa, Saudi Arabia is its largest market in the region and its strategic partnership with the kingdom’s Vision 2030 is increasingly profound and far-reaching.

Yokogawa is spearheading a proactive Saudisation policy contributing to the Saudi economy whilst providing high-quality local services across the kingdom. This global leadership with strong local partnerships is a key driver for the firm.

Two companies, Yokogawa Saudi Arabia (100 per cent foreign investment) and Yokogawa Services Saudi Arabia (a joint venture partnership), provide added value for high-end products and services.

Saudi Arabia is also Japan’s main investment destination accounting for 70 per cent of the investments in the Middle East. Historically, Japanese investments in Saudi Arabia have focused on oil and gas, infrastructure, water and power generation. Looking ahead, the two countries will work together to make high-value investments in Saudi Arabia, Japan or third countries with economic enablers to facilitate the vision.

Saudi Arabia’s Vision 2030, the overarching economic and social blueprint, aims to reinforce and leverage the kingdom’s capabilities to unleash its full strength to build a diversified and sustainable economy.


THE STRATEGIC PARTNERSHIP

Since 1955, Saudi Arabia and Japan have developed strong diplomatic and economic relations. Saudi Arabia has been the largest and a reliable supplier of oil to Japan, and Japan an important customer for Saudi Arabia. Similarly, strong mutual economic relations have been developed through trade, technology transfer and services with the supply of high quality products and technologies.

Both countries are building on this mutual trust and understanding to broaden the existing bilateral relations and establish a strong partnership for economic growth in the spirit of cooperation to realise their respective development visions.

In September 2016, the Saudi Crown Prince HRH Prince Mohammed bin Salman and Prime Minister Shinzo Abe established the Joint Group for the Saudi-Japan Vision 2030 (SJV 2030) heralding a new era of partnership between the two countries.

Prince Mohammed with Prime Minister Abe

The Saudi-Japan Vision is ‘achieving the national socio-economic visions of both countries by building on commonalities, activating complementarities and maximising synergies through three partnership pillars of diversity, innovation and revitalising the cooperative social and cultural values’.

The Joint Group is chaired by five ministries: Saudi’s Ministry of Economy and Planning (MEP); the Ministry of Commerce and Investment (MCI) and the Ministry of Energy, Industry and Mineral Resources (MEIM); Japan’s Ministry of Economy, Trade and Industry (METI) and Ministry of Foreign Affairs (MOFA).

In March 2017, the Custodian of the Two Holy Mosques, HM King Salman bin Abdulaziz Al-Saud and Abe held a summit meeting. The meeting decided the 'Saudi-Japan Vision 2030' comprising the basic directives for bilateral cooperation and specific project partnerships. The outcome of the discussions was the framework of the intergovernmental dialogue entitled ‘Joint Group for Saudi-Japan Vision 2030’, the formulation of which was decided by the Saudi Crown Prince and Prime Minster Abe.

Following the summit and under the presence of both heads of state, Hiroshige Seko, Minister of Economy, Trade and Industry (METI), and Eng Adel M Fakeih, Minister of Commerce and Planning, Saudi Arabia and other officials signed the memorandum of cooperation on the implementation of the Saudi-Japan Vision 2030. HM King Salman and Seko also held an earlier meeting discussing bilateral relations.

Yokogawa was privileged to participate in all the Saudi-Japan Vision 2030 business forum meetings as a Japanese strategic partner acknowledged by METI.


SAUDI ARAMCO AND YOKOGAWA

A memorandum of understanding (MoU) between Saudi Aramco and Yokogawa was signed in March 2017 with Yokogawa supporting Vision 2030 by helping the kingdom’s transition into a knowledge-based economy.

The MoU promotes collaborative frameworks for investment and expansion such as new technology piloting, field testing, research and development.

Under the agreement, Yokogawa and Saudi Aramco will work on boosting the investment outlook to explore opportunities for investment and expansion such as establishing a manufacturing facility in the Energy Industrial City, establishing a second global engineering centre and establishing a global training centre for niche technologies.

Research and development includes the Dhahran Techno Valley facilities close to Saudi Aramco as well technology piloting whereby Yokogawa manufactures and develops unique solutions that address Saudi Aramco’s field challenges such as new fibre sensing technologies, process simulation technologies and future trends. Other areas include digitalisation solutions for performance monitoring, developing a cloud platform and testing networks for plants and system. In addition, collaboration on research projects, knowledge sharing and specialist expertise form part of the plan.

This includes greater collaboration with academic institutions, major business including Saudi Aramco, Sabic, Saudi Electric Company and Ma’aden.




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