Neom, Saudi Arabia‘s $500 billion giga-project, has signed a joint venture (JV) agreement with Samsung C&T Corporation to unlock an initial investment of more than SAR 1.3 billion in construction robotics. The agreement will speed up the development and implementation of advanced construction automation technology in Saudi Arabia.
The JV aims to automate rebar cage assembly through advanced robotic welding and tying techniques. This advancement enables the construction of large, pre-manufactured reinforcement cages.
By implementing automation, the adoption of rebar assembly technology is expected to reduce manual labour hours by as much as 80%, according to global average installation metrics for conventional construction methods. This transformation enhances safety and quality while minimising material waste and lowering cage assembly costs by up to 40%.
Automating labour-intensive processes
Majid Mufti, CEO of Neom Investment Fund, says: “Sustainability at Neom is a core principle that drives not only what we build, but how we build it. By automating labor-intensive processes through robotics, we are pushing the boundaries of construction innovation.
“Our partnership with global leaders like Samsung is in line with our strategy to develop global champions that catalyze supply chains, attract future value, and create a new blueprint for efficient, safe and environmentally responsible construction.”
The agreement will set up rebar cage assembly factories in Neom, generating over 2,000 skilled jobs locally. This will also satisfy the significant construction needs for The Line and other major projects in the region. As global demand for rebar fabrication rises, advancements in automated rebar technology will enhance efficiency and productivity in the construction industry worldwide.
Hojin Jung, president and head of corporate new business at Samsung C&T Corporation, says: “We see tremendous potential in the collaboration with Neom, and we are excited to be at the forefront of developing construction automation technology. Together, we aim to revolutionize the construction industry by incorporating innovative robotics and automation solutions that will redefine the delivery of regional projects within Neom.”
The Neom Investment Fund (NIF), Neom’s strategic investment arm, orchestrated the joint venture.
Bandar Ashrour, sector head of design and construction at Neom, says: “Developing an advanced industrial manufacturing economy at Neom represents a key step in our efforts to accelerate modern methods of construction across our major projects.
“The agreement, which will see a boost in local talent through the creation of thousands of jobs, aligns with the Kingdom’s vision to transform Saudi Arabia into a leader in advanced industries, ensuring long-term economic resilience and global competitiveness.”
Neom’s design and construction sector is at the forefront of modern construction, utilising new technologies and collaborating with industry leaders. It seeks to foster economic growth through quality job creation in Saudi Arabia while supporting rapid civil and infrastructure development across its planned 26,500 square kilometres.
Neom & GMT Robotics
Neom has also signed an investment agreement with GMT Robotics, one of Europe’s emerging innovators in advanced construction technology. Spearheaded by NIF, this investment will enhance the implementation of the region’s extensive capital project initiative through construction robotics, establishing Neom as a leader in contemporary construction methods, including automation.
Mufti says: “Our investment in GMT Robotics reflects Neom’s commitment to driving transformative technologies that will unlock next-generation industries. By localizing this advanced technology, we are laying the groundwork for sustainable development, high-skilled jobs and the growth of commercially viable sectors.
“It is through partnerships like these that NIF will turn visionary goals into reality and establish Neom as a global hub for innovation.”
Ashrour adds: “Enabling construction technology start-ups to align with Neom’s ambitions is fundamental to what we do. GMT’s agility and expertise in harnessing robotics for construction bring unparalleled efficiency, consistency and sustainability. We look forward to a dynamic collaboration that paves the way for a safer and more sustainable next generation of Neom-built assets.”
Robotic technology for the rebar market
Copenhagen-based GMT Robotics provides robotic technology for the rebar market. Their innovative rebar cage assembly and handling systems improve efficiency and safety in construction. Additionally, these systems cut onsite workforce needs by 90% through offsite prefabrication, enhancing productivity.
GMT Robotics will be crucial in adapting the technology, producing rebar cages in factories located in Neom. This partnership will also create new opportunities for Saudi engineers to utilise robotics in additional construction projects.
Ulrich Deichmann, CEO of GMT: “Having worked in the rebar industry in various forms for the past 30 years, it is very exciting to reach a point where the large-scale adoption of robotics and automation to improve the rebar process is happening. We share in Neom’s ambition to rethink how construction is delivered and look forward to a highly successful partnership that will help revolutionize the construction industry.”
The global construction robotics market was valued at USD 168.2 million in 2022 and is projected to reach USD 774.6 million by 2032, showing over 360% growth in 10 years. Benefits of robotics in construction include increased efficiency, lower costs, enhanced safety, and greater design flexibility.
Earlier this year, Saudi Arabia’s economy minister, Faisal Al Ibrahim, said Neom’s projects would go ahead as planned following reports that plans for The Line had been scaled back. Highlights at Neom include Trojena, a mountain resort with a ski village, a ski slope, wellness resorts and a nature reserve, and Oxagon, an octagonal floating port city.
Neom’s first destination, a luxury resort named Sindalah, opened in October.