Hempel Paints to transfer Saudi Arabia's manufacturing operations to new factory in Jeddah, plans to produce 40 million litres annually

Kingdom of Saudi Arabia – 23 November 2016

Hempel Paints, a global supplier of marine, protective and decorative coatings, announced plans to move its entire production in Saudi Arabia to its new plant in Jeddah’s Second Industrial City as part of a strategy aimed at meeting the needs of its Saudi customers. Inaugurated two years ago, the factory in Jeddah is Hempel’s first 100% water-based production factory in the Middle East, the largest in region, and the second largest in the world.  The strategic move coincides with the centennial anniversary of the inception of Hempel Group.

Commenting on the announcement, Engineer Ahmed Abdul Aziz, Sales and Marketing Director at Hempel Paints Middle East said: “We, at Hempel Paints, keep up with market developments and strive to meet customer needs and requirements. We completely understand that Saudi Arabia, in line with its Vision for 2030, will witness dynamic developments across all aspects, particularly the construction sector, which is the largest in the region. Plans are underway to build 40,000 hotel rooms by 2018 in Riyadh and Jeddah and 120 hotels by 2020 in the Kingdom. According to Raden bin Sa’afaq Al Dweish, Chairman of the Housing and Urban Development Committee of the Eastern Province Chamber of Commerce Industry, around 1.5 million residential units are in demand in the market.”

Commenting on Hempel Paints’ current annual production and 2017 expansion plans, Abdul Aziz stated: “Built on 15,000 square metres, the factory has production lines with manufacturing capacity of 32 million litres a year. The plan is to increase the maximum capacity to around 40 million litres annually.”

As for Hempel’s market share, Abdul Aziz said: “The paints and coatings market has a great growth potential, with an estimated value of SAR 3 billion a year, and Hempel Paints is aiming to double its market share in the Kingdom.”

Hempel Paints’ market share is expected to grow in the next five years due to the company’s commitment to providing its customers with best quality products and services.

Hempel decorative paints are widely used by homeowners, architects, and construction companies. Armed with over 100 years of paint expertise, the company produces a wide range of interior, exterior and floor coatings solutions.

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Hempel Paints has been present in the Kingdom for more than 45 years, controlling a considerable market share and maintaining strong market positioning thanks to its technologically-advanced paints available at its showrooms located strategically in the Kingdom.

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About HEMPEL Paints: 
HEMPEL Paints is a global company that specializes in the production of coatings and paints for products used in interior decoration and insulation to protect buildings from extreme weather conditions. HEMPEL relies mainly on R&D and advanced manufacturing technologies to produce high quality products which in turn contribute to the company’s efficient functioning. HEMPEL Saudi Arabia was established in 1973 with 4 main branches in Riyadh, Jeddah, Jubail and Yanbu and a factory in Dammam. 

HEMPEL Paints has a dominant stake in the Saudi market and has contributed to the preservation of many vital buildings in various Saudi cities through its technologically-advanced products.

The launch of the new factory comes as a part of HEMPEL Paints’ efforts to strengthen and reinforce its leadership in the Saudi market.

For more information, please contact:
Hussein Nasrallah
Senior Media Relations Manager 
Memac Ogilvy PR
Mob: +966 5 60 40 6161
E-mail: [email protected]  

© Press Release 2016